The money that whistleblowers earn as rewards
This is the second biggest award from the whistleblower program run by SEC. SEC has been in operation for six years. During that period, they have worked with various parties to help expose wrongdoing in various sectors. The arrangement is that the whistleblowers receive a minimum of 10 percent and a maximum of 30 percent of all the funds recovered in a successful enforcement process.
High-quality information led to sanctions
According to Labaton Sucharow, the whistleblower provided vital information. The high-quality information effectively led to the sanctioning of one of the main players in financial markets. Such individuals are allowed to remain anonymous if they feel that it is the best option for them. That is what happened in this case. One of the main benefits of remaining anonymous is that the whistleblower can effectively avoid being blacklisted, or retaliation action. SEC also tries to avoid indirectly revealing the revealer of information by not disclosing specific cases in question.
Some industry leaders were comfortable with the wrongdoings
SEC whistleblower lawyer, Jordan Thomas, said that his client chose to go against the odds. He revealed that there are those in the financial services industry who were comfortable with the wrongdoings that were harming investors. He also pointed out that future big and significant reports will all be because of the courage of whistleblowers.
Reporting federal securities violations
The protection offered by SEC, and the incentives given to whistleblowers, makes them able to report even federal securities violations. This is also done unanimously. The whistleblower does not have to worry about losing their employment. In addition to that, they can enjoy monetary awards for their courage. The funding of the awards is protected by legislation by the Senate.
More about SEC
SEC is mandated by law to receive information about any violation of the federal securities laws from whistleblowers. It works closely with a whistleblowers program established through the Dodd-Frank Act. This act was enacted by the Senate. Among the many functions of SEC is to ensure that whistleblowers are protected and that those who have information are motivated to give it to the organization for action against the wrongdoers.