Google Engineer Faces Charges After $1.2 Million Insider Trading Bet

GOOG•

2026-05-28

Prosecutors charged Google security engineer Michele Spagnuolo with wire fraud, commodities fraud and money laundering for allegedly using confidential Year in Search data to win $1.2 million on Polymarket bets. Arrested May 27 in New York, he was released on a $2.25 million bond while facing CFTC insider trading charges.

1. Charges and Allegations

Prosecutors allege that Michele Spagnuolo used non-public Year in Search data to place correct bets on singer d4vd becoming Google’s most searched person of 2025, netting $1.2 million on Polymarket. He faces charges of wire fraud, commodities fraud and money laundering.

2. Arrest and Bond Details

Spagnuolo was arrested in New York on May 27 and released on a $2.25 million bond. He is also facing a civil insider trading case brought by the Commodity Futures Trading Commission.

3. Implications for Google and Markets

The case raises questions about Google’s internal data controls and could prompt closer regulatory scrutiny of prediction markets. Investors may watch for any broader compliance reviews or policy changes at Alphabet.