SEC Issues Awards Totaling $98 Million to Two Whistleblowers
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23 August 2024 The Securities and Exchange Commission announced awards of more than $98 million to two whistleblowers whose information and assistance led to an SEC enforcement action and an action brought by another agency. The first whistleblower’s tip prompted the opening of the investigations, and thereafter provided critical additional information and ongoing assistance. As a result, this whistleblower will receive an award of $82 million. The second whistleblower, whose information was provided later, significantly contributed to one aspect of the actions and will receive an award of $16 million. “Whistleblower information and cooperation play an integral role in the SEC’s enforcement efforts,” said Creola Kelly, Chief of the SEC’s Office of the Whistleblower. “Without these whistleblowers’ information, the violations would have been difficult to detect.” 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. To find out more details please visit : https://www.sec.gov/ |