SEC Awards Largest-Ever Whistleblower Bounty of almost double this time

May 8, 2023: Friday, the nation’s top securities regulator declared it had given a $279 million prize to its whistleblower schedule, the biggest in its history.

The Securities and Exchange Commission stated that the unnamed whistleblower provided information and assistance that led to a successful enforcement action, which the agency didn’t describe. The payout is well over double the second-biggest award of $114 million, issued in October 2020.

The vast sum is intended to incentivize notices to disclose potential securities of the rule violations and “reflects the tremendous over of our whistleblower program,” Gurbir S. Grewal, director of the SEC’s Division of Enforcement, stated in a statement released Friday.

He added that the program also directly benefits investors because whistleblowers have aided enforcement actions which resulted in the return of over $4 billion in ill-gotten profit and interest.

The SEC did not offer much information about the case or the whistleblower different than they gave “sustained assistance including multiple interviews and written submissions were critical to the success of these actions,” stated Creola Kelly, chief of the SEC’s Office of the Whistleblower.

The agency stated a record amount of civil penalties in the fiscal year 2022, totalling over $4.1 billion across 760 enforcement actions. That year, Allianz Global Investors and three portfolio managers agreed to pay $1 billion to resolve defrauding investors, and 16 Wall Street firms, including Credit Suisse and Goldman Sachs, settled at over $1.1 billion for widespread recordkeeping and communications failures.

The 2010 Dodd-Frank Act protects the identity of whistleblowers. Whistleblower payments are retired from an investor protection fund founded by Congress. Rewards can range from 10% to 30% of the money gathered when sanctions exceed $1 million.

Editor's Choice

Posts You Might Like

A Leader in Unrivalled Security | Joseph McGee

Following a distinguished Law Enforcement career Joe McGee founded The Securitatem Group to provide contemporary global operational specialist security and specialist security training products and services for private clients, corporate organisations, and Government bodies. They deliver a wide range of services, including complete end-to-end protection packages, close protection, residential security, protection drivers, and online and physical installations. They provide covert and overt investigations and specialist surveillance services with a Broad range of weapons and tactical-based training, including conflict management, risk and threat management, tactical training, tactical medicine, and command and control training.

Styling the Perfect Wine | Jay Wright

Jay Wright, CEO and Co-Owner of Virgin Wines infectious energy, enthusiasm, passion and drive has been instrumental in creating an environment that encourages talent to thrive and a culture that puts the customer at the very heart of every decision-making process.

Leading Farmacosmo with Vision and Innovation | Fabio de Concilio

Fabio de Concilio is the visionary CEO & Chairman of the Board at Farmacosmo, a leading organization dedicated to mental health and community support services. With a deep commitment to identifying and meeting customer needs, Fabio ensures that high standards are maintained across the board.

Creating A Cleaner & Healthier Environment | David CM Carter

Character Determines Destiny – so said Aristotle. And David CM Carter believes that more than anything else. For David, it has been numerous years of research into codifying Entelechy Academy’s 54 character qualities that underpin everything he stands for as a leader and teacher.

The-corporate-magazine-15

Leave us a message

Subscribe

Fill the form our team will contact you

Advertise with us

Fill the form our team will contact you​