Insider Trading is illegal. That’s what he’s being accused of here. He cannot trade on information that is material to the stock price before it is made public. A vulnerability of this magnitude is unquestionable material non-public information. If these trades were the result of his learning about the breach, this is a pretty easy case for the SEC. I really doubt that he executed these trades, as that would be the dumbest thing an executive has done in a while.