The Securities and Exchange Commission (SEC) announced on June 3, 2013, that it had awarded more than $875,000 to be split between two whistleblowers.
Through the SEC whistleblower program, whistleblowers with original information regarding violations of federal securities can receive an award if the Government recovers over $1 million as a result of the whistleblower’s information. The award can range from 10% to 30% of the Government’s recovery.
The SEC, which must protect the confidentiality of whistleblowers, stated only that “[these whistleblowers provided original information and assistance that enabled us to investigate and bring a successful enforcement action in a complex area of the securities market.” According to the SEC order determining the award amount, the individuals received the maximum award of 30%.
Since the SEC whistleblower program was enacted in 2011, the SEC has issued awards to a total of eight whistleblowers.
The SEC Press Release and Award Order can be found here:
For a free consultation about a potential SEC whistleblower case, please contact the Rabon Law Firm.