Ex-White House Teleprompter Operator Fined $172K for Trump Speech Bets

CFTC Penalties and the Kalshi Settlement

The CFTC ordered Perez to disgorge $107,539.02 in unlawful profits and pay a $65,000 civil penalty. According to the agency’s news release, the financial penalties represent a substantial discount attributable to what regulators termed Perez’s exemplary cooperation during the investigation. In addition to the monetary fines, Perez agreed to a three-year trading ban and a cease-and-desist order barring further violations of federal laws prohibiting market manipulation.

Kalshi lead lawyer Bobby DeNault welcomed the decision in a post on X, stating that violators will face consequences regardless of who they are, according to BBC coverage. Kalshi’s surveillance systems first flagged unusual trading patterns in March on mention markets—contracts where users predict whether a speaker will use specific words or slogans. The platform froze Perez’s account, locking more than $90,000 in profits, and referred the case to federal regulators after determining the trader was a federal employee.

White House Fallout and Policy Response

Perez left his post amid the mounting investigation, though it remains unclear whether he resigned or was fired, according to federal filings and white house reports. Karoline Leavitt, White House press secretary at the time, described the reports of insider trading as deeply unfortunate and a disgrace. Public records on LegiStorm show Perez worked across both of Trump’s presidential terms in technical and teleprompter roles, starting as a technical adviser for the White House Office in January 2025.

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The scandal prompted internal administrative action. Administration officials told CBS News that the White House Management Office sent a letter to aides in July instructing them not to place bets on prediction markets using nonpublic information. The White House has not formally commented on the final CFTC settlement, though officials previously confirmed Perez was no longer employed by the administration as of July.

Broader Scrutiny on Prediction Markets

The case highlights widening federal scrutiny over insider trading within online prediction markets, where users place speculative bets on real-world political events and policy trends. Four months prior to Perez’s fine, federal prosecutors indicted U.S. soldier Gannon Ken Van Dyke for allegedly making a $400,000 bet on the Polymarket platform regarding the removal of Venezuelan President Nicolás Maduro. Kalshi also announced penalties in April against three political candidates who wagered on their own election bids.

Despite these compliance breaches, Donald Trump has defended the prediction market industry, noting family business ties to the sector. Trump has argued against individual states regulating prediction markets, maintaining that oversight should instead be carried out by the CFTC.

Frequently Asked Questions

Who is Gabriel Perez?

Gabriel Perez is a former White House teleprompter operator who earned an annual salary of $175,000 and worked across two presidential administrations in technical roles.

What penalties did the CFTC impose?

The CFTC ordered Perez to surrender $107,539.02 in profits, pay a $65,000 civil penalty, accept a three-year trading ban, and adhere to a cease-and-desist order.

How was the insider trading discovered?

Kalshi’s automated surveillance systems detected abnormal buying and selling patterns on mention contracts, froze Perez’s account, and referred the verified data to federal regulators.