Whistleblowers Cash In with Record $98 Million SEC Payout
Two Whistleblowers Bag Huge SEC Awards
The U.S. Securities and Exchange Commission (SEC) has handed out a whopping $98 million to two whistleblowers whose tips triggered major enforcement actions. The first snatched the lion’s share – a staggering $82 million – for kickstarting the investigations and staying on board throughout. Meanwhile, the second whistleblower earned $16 million for crucial information that came in later.
SEC Chief Praises Game-Changing Tips
Creola Kelly, head of the SEC’s Office of the Whistleblower, hailed the impact of these brave insiders. She said, “Whistleblower information and cooperation play an integral role in the SEC’s enforcement efforts. Without these whistleblowers’ information, the violations would have been difficult to detect.”
How the Whistleblower Fund Works
- The awards come from a fund set up by Congress, paid for by fines from those breaking securities laws.
- Eligible whistleblowers can pocket 10 to 30 percent of the money recovered when fines top $1 million.
- The SEC keeps whistleblowers’ identities strictly confidential under the Dodd-Frank Act, shielding them from retaliation.
This blockbuster payout underscores the SEC’s commitment to rewarding those who blow the whistle on financial wrongdoing. For the latest no-nonsense updates, follow TSG News across all your favourite social platforms.
