On July 15, the U.S. Securities and Exchange Commission (SEC) issued a whistleblower award of $1.2 million to an individual who “provided SEC staff with valuable information and ongoing assistance,” according to the SEC’s press release.
Through the SEC Whistleblower Program, qualified whistleblowers are entitled to a monetary award of 10-30% of funds recovered by the government. In addition to monetary awards, the SEC Whistleblower Program offers anti-retaliation protections to whistleblowers. One of these protections is confidentiality; thus, the SEC does not disclose any identifying information about award recipients.
According to the award order, the whistleblower “alerted the Commission to the securities law violations prompting the opening of a new investigation into the alleged conduct, participated in a voluntary interview with Commission staff, and provided documents and additional information that assisted the staff in its investigation, saving Commission time and resources.”
“Today’s whistleblower played a critical role in the SEC bringing an enforcement action,” said Emily Pasquinelli, Acting Chief of the SEC’s Office of the Whistleblower. “The whistleblower timely reported the securities law violations to the Commission and then played a key role in the successful resolution of the action.”
This award continues a record year for the SEC Whistleblower Program. Since the 2021 fiscal year began on October 1, 2020, the SEC has awarded approximately $377 million to 76 individuals – both fiscal year records. Overall, the SEC has awarded more than $939 million to 182 individuals since issuing its first award in 2012.
Gary Gensler, the Chair of the SEC, will be delivering keynote remarks at the National Whistleblower Center’s virtual event celebrating National Whistleblower Day 2021. Prior to his confirmation as SEC Chair, Gensler pledged strong support for the SEC Whistleblower Program.