This Business News Story Was Uncovered By Us From: http://www.youngupstarts.com/2019/04/05/what-to-know-about-the-sec-whistleblower-program/
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When a person becomes a whistleblower, it takes tremendous courage. Along with possible retaliation from their employer, they also realize their lives may be turned upside down in many other ways. Because of this, the Securities and Exchange Commission has what is known as the SEC Whistleblower Program. Established in 2010 as part of the landmark congressional legislation Dodd-Frank Wall Street Reform and Consumer Protection Act, this option gives whistleblowers the chance to reveal information to law enforcement and regulatory investigators while being protected from employer retribution.
As an extra incentive to ensure reliable tips are received by the SEC office, an award program is in place for those whistleblowers whose information eventually leads to sanctions being placed on a company. While the amounts awarded to whistleblowers vary, they generally receive anywhere from as little as 10% to as much as 30% of the sanctions levied against a company. Applying to individual whistleblowers as well as groups who come forward, this aspect has been a key part of the program’s success. To date, more than $153 million has been paid out to employees who have helped the federal government find and prosecute corporate corruption within the financial industry.
While some employees choose to not conceal their identities when blowing the whistle on a company’s corrupt practices, others decide to remain anonymous during the process. For those who choose this option, the SEC Whistleblower Program’s guidelines are very specific regarding how information garnered from these sources is handled. To begin with, any whistleblower using anonymous reporting is required to have representation from an attorney or law firm. Next, the individual or group must submit to their legal co… Read More
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