The Logbook: The first time the SEC sued a minor

In 2000, the U.S. Securities and Exchange Commission (SEC) sued 15-year-old high school student Jonathan Lebed for manipulating the stock market. It was the first instance the agency sued a minor. This is the story of the events that led up to this case.

At 13-years-old, after some success at a CNBC-sponsored stock-picking contest, Jonathan Lebed convinced his parents to open a stock trading account. Then, the SEC claimed that, beginning on August 23, 1999 Lebed began engaging in a “scheme” using Internet messaging boards and microcap stocks.