OLD Media Moves

Need to Know News at center of federal investigation

August 12, 2013

Posted by Chris Roush

Brody Mullins and Scott Patterson of The Wall Street Journal write Monday about Need to Know News, a news service owned by the Deutsche Börse stock exchange where clients pay up to $375,000 a year.

Mullins and Patterson write, “Concerns about the fairness of this, along with suspicions that market-moving data sometimes leak out a fraction of a second early, are leading some in the government to rethink whether the current system still works. The suspicions of leaks also lie behind a long-running, still-unresolved federal investigation that has entailed scrutiny of a wide range of news organizations.

“Need To Know News has been close to the center of this probe. A look at the service sheds light on growing concerns about data releases.

“In 2011, the Securities and Exchange Commission subpoenaed computer hard drives used by Need To Know News’s reporters, documents reviewed by The Wall Street Journal show.

“The same year, the Federal Bureau of Investigation installed a hidden camera at a Labor Department room where reporters gather to see economic reports a half-hour in advance of their release, under a news-embargo system that is known as a ‘lockup.’

“Last year, the Labor Department took the unusual step of essentially banning Need To Know News from its lockups.

“Need To Know News retained access at other federal agencies as well as several foreign governments and private groups that release market-sensitive reports.”

Read more here.

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