Why It Matters
A federal indictment out of Delaware highlights the ongoing risk of insider trading in the energy sector, particularly as aging nuclear facilities return to service amid surging demand from technology companies. The case carries potential prison time exceeding 100 years on the combined charges.
What Happened
Casey Muggleston, 44, of Wilmington, Delaware, was indicted by a federal grand jury on one count of securities fraud and four counts of insider trading. U.S. Attorney Benjamin L. Wallace announced the charges on June 24, 2026.
Muggleston worked as an engineering manager at a publicly traded energy company. Prosecutors allege that between May 2024 and September 2024, he received confidential internal communications and progress updates about a nuclear reactor restart through the ordinary course of his job — information that was not available to the general public.
The reactor in question had been shut down since 2019. When the company moved toward bringing it back online, Muggleston allegedly used that knowledge to purchase call option contracts through his personal brokerage account, in direct violation of company policies that explicitly prohibited insider trading and barred employees from buying or selling company call options.
On September 20, 2024 — the same day the company publicly announced the reactor restart and a power purchase agreement with a major technology firm — Muggleston sold 550 call option contracts, netting approximately $1.48 million in proceeds. The facts in the indictment align with Constellation Energy’s announcement that day of the restart of Three Mile Island Unit 1 in Pennsylvania, paired with a 20-year power purchase agreement with Microsoft.
By the Numbers
$1,480,380.67 — proceeds Muggleston allegedly collected from selling the call options on the day of the public announcement.
550 — number of call option contracts sold on September 20, 2024.
5 counts total — one securities fraud charge and four insider trading charges comprise the indictment.
Up to 25 years in federal prison on the securities fraud count alone; up to 20 years on each insider trading count, for a combined maximum exposure well over a century.
20 years — the term of the power purchase agreement between the energy company and the technology firm, the announcement of which triggered the stock movement Muggleston allegedly anticipated.
Zoom Out
The case underscores a broader pattern federal regulators have tracked in recent years: as the energy transition drives major corporate announcements — plant restarts, grid contracts, and capacity deals — insider trading risks grow for employees with access to pre-announcement information.
Nuclear energy has attracted renewed investor attention as large technology companies seek carbon-free power sources for data centers and artificial intelligence infrastructure. High-profile transactions in the sector create concentrated windows of material nonpublic information, making energy companies a growing focus for SEC enforcement.
Federal courts have been active in securities fraud prosecutions tied to emerging energy and technology deals. A recent federal court ruling in Colorado illustrated that judicial scrutiny of administrative authority continues to shape how agencies like the SEC and USDA exercise regulatory power.
What’s Next
The case, filed as No. 1:26-cr-105-UNA in the U.S. District Court for the District of Delaware, is being prosecuted by Assistant U.S. Attorneys Corey J. Hauser and Bryan C. Williamson. The FBI’s Baltimore Field Office, through its Wilmington and Dover resident agencies, led the criminal investigation in coordination with the Securities and Exchange Commission.
Muggleston faces arraignment and trial proceedings in federal court. An indictment is a formal charge and does not constitute a finding of guilt; the defendant is presumed innocent unless proven guilty beyond a reasonable doubt.