The Securities and Exchange Commission announced giving a more than $800,000 award to a whistleblower who provided information that caused an investigation to open and two successful SEC enforcement actions.
Jane Norberg, Chief of the SEC’s Office of the Whistleblower commented:
The whistleblower provided the Commission with a detailed analysis that alerted staff to the underlying securities violations. Today’s award again demonstrates the Commission’s commitment to awarding individuals who provide high-quality independent analysis that leads to successful enforcement actions.
So far, the agency has awarded over $562 million to total of 107 individuals since the first award was issued in 2012. Payment of the awards is taken out of an investor protection fund set up by Congress. It is financed through monetary sanctions of security law violations paid to SEC.
To be eligible for award, a whistleblower needs to voluntarily provide the commission with reliable information that leads to successful enforcement action. The awards range between 10 and 30 % of the money collected by SEC when the sanction is for more than $1 million.
According to the Dodd-Frank Act, SEC must protect the identity of the whistleblower and not disclose any information that could reveal it.
Read More:
