SEC Issues $2.4 Million Whistleblower Award
FOR IMMEDIATE RELEASE
Washington D.C., Sept. 21, 2020 —
The Securities and Exchange Commission today announced an award of $2.4 million to a whistleblower whose timely submission of information prompted the agency to initiate an investigation and bring an enforcement action that stopped ongoing misconduct, and whose assistance throughout the investigation contributed to all of the charges brought by the SEC.
"The whistleblower awarded today quickly came forward with critical information and helped investigative staff target key information and identify important witnesses," said Jane Norberg, Chief of the SEC's Office of the Whistleblower. "Information from whistleblowers has again proven to be crucial in helping the Commission detect violations and better protect investors and the marketplace."
The SEC has awarded approximately $523 million to 97 individuals since issuing its first award in 2012. This marks the sixth award the Commission has made in the past three weeks alone. All payments are made out of an investor protection fund established by Congress that is financed entirely through monetary sanctions paid to the SEC by securities law violators. No money has been taken or withheld from harmed investors to pay whistleblower awards. 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 10-30% of the money collected when the monetary sanctions exceed $1 million.
As set forth in the Dodd-Frank Act, the SEC protects the confidentiality of whistleblowers and does not disclose information that could reveal a whistleblower's identity.
For more information about the whistleblower program and how to report a tip, visit www.sec.gov/whistleblower.