SEC Awards $6 Million to Joint Whistleblowers
The SEC awarded approximately $6 million to joint whistleblowers whose information prompted an examination and provided a roadmap for a successful enforcement action.
The Securities and Exchange Commission announced a $6 million award to joint whistleblowers for providing information that led to a successful enforcement action. The award was drawn from the investor protection fund, which is financed by monetary sanctions paid by securities law violators. Under the Dodd-Frank Act, whistleblowers are eligible for 10 to 30 percent of collected funds when sanctions exceed $1 million.
The Securities and Exchange Commission has announced an award of approximately $6 million to joint whistleblowers. The original, timely, and credible information provided by these individuals prompted an SEC examination and served as a roadmap for a successful enforcement action. This award is paid out of the agency's investor protection fund, which is funded entirely through monetary sanctions collected from securities law violators. According to the Dodd-Frank Act, whistleblowers may be eligible for awards ranging from 10 to 30 percent of collected funds when sanctions exceed $1 million. The SEC continues to maintain strict confidentiality regarding the identities of whistleblowers. This payout highlights the agency's ability to leverage tips to initiate investigations and subsequent litigation.
Exhibits & Attached Documents (1)
Extracted insights
- $6.00M $6 million $1M–$10M
- $1.00M $1 million $1M–$10M
- company investor protection fund
- person jonathan carr
- agency monetary sanctions paid to sec by securities law violators
- agency Securities and Exchange Commission
- person whistleblower awards
- Securities And Exchange Commission announced award of approximately $6 million to joint whistleblowers
- Jonathan Carr said agency can leverage whistleblower information in various ways
- Payments To Whistleblowers are made out of investor protection fund
- Investor Protection Fund is financed entirely through monetary sanctions paid to SEC by securities law violators
- Whistleblowers may be eligible for award when they provide SEC with original, timely, credible information that leads to successful enforcement action
- Whistleblower Awards can range from 10 to 30 percent of money collected when monetary sanctions exceed $1 million
- SEC protects confidentiality of whistleblowers
The Securities and Exchange Commission today announced an award of approximately $6 million to joint whistleblowers who provided new information that led to the opening of an examination and provided a roadmap for an enforcement action that resulted in the covered action. “Today’s award illustrates that the agency can leverage whistleblower information in various ways, including by prompting an examination,” said Jonathan Carr, Acting Chief of the SEC’s Office of the Whistleblower. “If that examination ultimately results in an enforcement action, the whistleblower may be eligible for an award.” Payments to whistleblowers are made out of an investor protection fund, established by Congress, which is financed entirely through monetary sanctions paid to the SEC by securities law violators. Whistleblowers may be eligible for an award when they voluntarily provide the SEC with original, timely, and credible information that leads to a successful enforcement action. Whistleblower awards can range from 10 to 30 percent of the money collected when the monetary sanctions exceed $1 million. As set forth in the Dodd-Frank Act, the SEC protects the confidentiality of whistleblowers and does not disclose any information that could reveal a whistleblower’s identity. For more information about the whistleblower program and how to report a tip, visit www.sec.gov/whistleblower.
The Securities and Exchange Commission today announced an award of approximately $6 million to joint whistleblowers who provided new information that led to the opening of an examination and provided a roadmap for an enforcement action that resulted in the covered action. “Today’s award illustrates that the agency can leverage whistleblower information in various ways, including by prompting an examination,” said Jonathan Carr, Acting Chief of the SEC’s Office of the Whistleblower. “If that examination ultimately results in an enforcement action, the whistleblower may be eligible for an award.” Payments to whistleblowers are made out of an investor protection fund, established by Congress, which is financed entirely through monetary sanctions paid to the SEC by securities law violators. Whistleblowers may be eligible for an award when they voluntarily provide the SEC with original, timely, and credible information that leads to a successful enforcement action. Whistleblower awards can range from 10 to 30 percent of the money collected when the monetary sanctions exceed $1 million. As set forth in the Dodd-Frank Act, the SEC protects the confidentiality of whistleblowers and does not disclose any information that could reveal a whistleblower’s identity. For more information about the whistleblower program and how to report a tip, visit www.sec.gov/whistleblower.