SEC Whistleblower Lawyer Blog
On June 17, 2024, the U.S. Securities and Exchange Commission (SEC) announced a $37 million dollar whistleblower award, marking this the first whistleblower award of 2024. While the Dodd-Frank Act mandates confidentiality regarding the whistleblower’s identity and enforcement action, this substantial award underscores the SEC’s ongoing commitment to investor protection.
Chief of the SEC’s Office of the Whistleblower, Creola Kelly, emphasized, “Today’s award illustrates the importance of the SEC’s whistleblower program, as the whistleblower’s information helped the agency return millions of dollars to harmed investors.”
According to the SEC’s order, that the whistleblower’s information significantly expedited the enforcement action. Their tip allowed the SEC to efficiently identify relevant witnesses, pinpoint necessary documents, and determine key testimonies, ultimately conserving valuable time and resources.
SEC whistleblower lawyer Scott Silver commented, this award highlights the importance of whistleblower’s coming forward with new or original information even after an investigation has commenced. The SEC order recognized that the whistleblower added tremendous value to their investigation even though the SEC had already begun looking into the underlying facts.
While the exact award percentage remains undisclosed, the SEC’s enforcement action resulted in monetary sanctions exceeding $1 million. As per § 240.21F-5, whistleblower awards range from 10 to 30 percent of the collected funds when sanctions surpass $1 million. These awards are funded entirely by monetary sanctions paid to the SEC by securities law violators, ensuring no cost to taxpayers.
This whistleblower award highlights the value of submitting timely and well-prepared tips or TCRs (Tips, Complaints, and Referrals) to the SEC. Properly submitted information aids the SEC and the public in swiftly identifying and addressing securities law violations, enhancing market integrity and investor protection.
Retaining Experienced SEC Whistleblower Attorneys
Whistleblowers help everyone by notifying the SEC of conduct that harms the investing public, while also earning financial compensation for themselves. Hiring experienced SEC counsel can increase the probability that the SEC will initiate an investigation based on your information. If you wish to remain anonymous, you need an attorney to represent you and submit everything on your behalf.
Silver Law Group and the Law Firm of David R. Chase jointly have experienced SEC whistleblower lawyers, including a former SEC Enforcement attorney on the team. Our SEC whistleblower attorneys can help you if you have information regarding false filings, securities or investment fraud, violations of federal securities laws, market manipulation, or other misconduct. You must provide timely, credible, and original information or analysis to be eligible.
Contact us through our online form or at (800) 975-4345 for a consultation. Our attorneys work on a contingency fee basis, so it costs you nothing to hire us, and we collect our fees only if you receive an SEC bounty. We have the incentive to help you collect the maximum award available because we get paid when you do.