FBI Director Kash Patel's Krispy Kreme Stock Purchase Raises Conflict of Interest Concerns

FBI Director Kash Patel purchased $15,000 to $50,000 in Krispy Kreme stock on May 9, 2025, at a decade-low price of $3.17 per share, while the FBI was actively investigating the ransomware group ‘Play’ responsible for a major Krispy Kreme data breach that exposed personal data of over 160,000 customers. The purchase occurred as the company faced mounting shareholder lawsuits over the 2024 cybersecurity incident. During September 6, 2025 testimony before the House Judiciary Committee, Colorado Rep. Joe Neguse questioned Patel about purchasing individual stocks while serving as FBI Director. Patel defended the purchase, stating ‘I just follow certain industries, and I thought they would be a good investment.’ His public endorsement of the stock during testimony caused Krispy Kreme shares to jump 11.5% briefly before erasing most gains. Despite the clear conflict of interest—the FBI chief investing in a company under his bureau’s active investigation—Patel’s financial disclosure listed the purchase with ’no current conflict exists.’ Federal ethics rules lack adequate safeguards preventing officials from trading in companies under their agency’s scrutiny, demonstrating systemic failures in government accountability.