In the Matter of the Claim for Award
The SEC awarded a whistleblower approximately $2.4 million, or a percentage of monetary sanctions, after they voluntarily provided original information about securities law violations—first internally to their employer, then to the SEC—leading to a successful enforcement action with significant assistance through documents, meetings, and witness identification.
The U.S. Securities and Exchange Commission (SEC) awarded a whistleblower approximately $2.4 million, representing a percentage of monetary sanctions collected in a covered enforcement action. The claimant voluntarily provided original information after initially reporting concerns internally to their employer, which prompted an SEC investigation that led to the action. The claimant significantly assisted the SEC by meeting with staff, providing documents, and identifying potential witnesses, leading the Commission to approve the award under Section 21F of the Securities Exchange Act of 1934.
The U.S. Securities and Exchange Commission (SEC) awarded a whistleblower approximately $2.4 million, representing a percentage of monetary sanctions collected in a covered enforcement action. The claimant voluntarily provided original information about alleged securities law violations, first reporting concerns internally to their employer, which prompted the SEC to open an investigation. The claimant then significantly assisted the SEC by meeting in person with staff, providing critical documents, and identifying potential witnesses, substantially advancing the case. The Claims Review Staff recommended the award, and the Commission adopted the recommendation under Section 21F of the Securities Exchange Act of 1934. The order confirms the whistleblower’s actions were timely, credible, and instrumental to the success of the enforcement action. No specific entity, individual, or nature of violations was disclosed due to redactions in the public record. The award underscores the SEC’s commitment to incentivizing internal and external reporting of securities fraud through its whistleblower program.
Extracted insights
- $2.40M $2.4 million $1M–$10M
- person Claimant
- person claims review staff
- person Eduardo a. Aleman
- person preliminary determination
- agency Securities and Exchange Commission
- Claims Review Staff issued Preliminary Determination
- Claims Review Staff recommended whistleblower award of approximately $2.4 million
- Claimant provided original information to the Commission
- Claimant alerted Commission staff of alleged securities laws violations
- Claimant reported concerns internally to Claimant's employer
- Commission ordered Claimant shall receive an award of *** percent of the monetary sanctions
UNITED STATES OF AMERICA Before the SECURITIES AND EXCHANGE COMMISSION SECURITIES EXCHANGE ACT OF 1934 Release No. 92622 / August 10, 2021 WHISTLEBLOWER AWARD PROCEEDING File No. 2021-81 In the Matter of the Claim for Award in connection with Notice of Covered Action ORDER DETERMINING WHISTLEBLOWER AWARD CLAIM The Claims Review Staff (“CRS”) issued a Preliminary Determination recommending that (“Claimant”) receive a whistleblower award of approximately $2.4 million, which represents percent ( %) of the monetary sanctions collected or to be collected in the above-referenced Covered Action (the “Covered Action”). The recommendation of the CRS is adopted. The record demonstrates that Claimant voluntarily provided original information to the Commission, and that this information led to the successful enforcement of the Covered Action. 1 In reaching this determination, the Commission considered that Claimant alerted Commission staff of alleged securities laws violations after initially reporting concerns internally to Claimant’s employer, prompting staff to open an investigation that led to the Covered Action. Claimant also provided significant assistance by meeting in person with Commission staff, providing documents, and identifying potential witnesses. Accordingly, it is hereby ORDERED that Claimant shall receive an award of percent ( %) of the monetary sanctions collected or to be collected in the Covered Action. By the Commission. 2 Eduardo A. Aleman Deputy Secretary
UNITED STATES OF AMERICA Before the SECURITIES AND EXCHANGE COMMISSION SECURITIES EXCHANGE ACT OF 1934 Release No. 92622 / August 10, 2021 WHISTLEBLOWER AWARD PROCEEDING File No. 2021-81 In the Matter of the Claim for Award in connection with Notice of Covered Action ORDER DETERMINING WHISTLEBLOWER AWARD CLAIM The Claims Review Staff (“CRS”) issued a Preliminary Determination recommending that (“Claimant”) receive a whistleblower award of approximately $2.4 million, which represents percent ( %) of the monetary sanctions collected or to be collected in the above-referenced Covered Action (the “Covered Action”). The recommendation of the CRS is adopted. The record demonstrates that Claimant voluntarily provided original information to the Commission, and that this information led to the successful enforcement of the Covered Action. 1 In reaching this determination, the Commission considered that Claimant alerted Commission staff of alleged securities laws violations after initially reporting concerns internally to Claimant’s employer, prompting staff to open an investigation that led to the Covered Action. Claimant also provided significant assistance by meeting in person with Commission staff, providing documents, and identifying potential witnesses. Accordingly, it is hereby ORDERED that Claimant shall receive an award of percent ( %) of the monetary sanctions collected or to be collected in the Covered Action. By the Commission. 2 Eduardo A. Aleman Deputy Secretary