FBI Director Kash Patel Missed Required Disclosure Deadline On MSTR Stock Purchase

FBI Director Kash Patel failed to disclose a purchase of between $100,001 and $250,000 in shares of Strategy (MSTR), the largest publicly listed Bitcoin holder, according to a report from nonpartisan outlet NOTUS. Patel reportedly bought the shares on November 21 but did not report the trade until May 26, months past the legal deadline.

Patel Cites Miscommunication

Under the STOCK Act, senior executive branch officials must publicly disclose stock trades over $1,000 within 45 days. Patel told the Office of Government Ethics the delay was due to an unspecified miscommunication and that the transaction had been “inadvertently omitted.”

Watchdogs Raise Conflict Of Interest Concerns

The purchase has drawn scrutiny given Strategy’s business ties to federal agencies, including past work with the Justice Department. The company holds 847,363 BTC, worth more than $50 billion. A Justice Department official said in a May letter that the purchase did not represent a conflict of interest, though government watchdog groups disagreed, with one calling the delayed filing a clear violation of the law.

No Penalty Issued Despite Violation

First-time STOCK Act violations typically carry a $200 fine, but the Justice Department has not penalized Patel. His disclosure has since been amended and approved. Strategy’s stock has fallen roughly 50% since Patel’s purchase.