The Congress passed the Consumer Protection and Dodd-Frank Street Act in 201. The law was and remains the strictest laws in regulating the financial sector in the United States after the Great Depression. In the act, a new whistleblower program, it offers employment protections and economic initiatives for people who report any securities violations to the SEC One important voice that played a major role in this was Jordan A. Thomas. He assisted in the development of the program and also in the drafting of a proposed legislation and implementation guidelines.
About the SEC Whistleblower Rewards
Under this system, the SEC is supposed to pay an eligible whistleblower at least 10% of the total cash sanctions collected from successful SEC enforcement action that exceeds $1 million. The qualified candidate must meet the target and to get additional awards depending on the financial sanctions they have collected in similar cases brought in by other law enforcers and regulatory organizations. It is important to hire a SEC whistleblower solicitor whenever there are challenges or doubts.
So far the program has paid over $ 54 million to around 22 eligible whistleblowers since the law was enacted. The SEC spent over 37 million dollars on eight candidates in the 2015 fiscal year alone. Nonetheless, the most publicized case was where a candidate was given more than 39 million dollars for providing sufficient information that resulted in a successful enforcement. To date, it remains the highest reward to be given under the SEC program.
Protecting the Whistleblower
Any deserving and qualified whistleblower is protected against revenge. Under this law, an employer is not supposed to dismiss, demote, or discriminate against a whistleblower for giving information. If an employer chooses to hit back, the law enforcers offer relief which may include reinstatement, compensation, for accrued expenses, and double payback. The whistleblower lawyer can help in following up the legal proceedings.
The program grants anonymity until the whistleblower gets the award; whatever the case, they never reveal the identity to either private or public sources. The original information they provide leads to a successful enforcement action, or it can reopen an investigation or new inquiry. Also, it can apply when the matter was already under investigation, and the original details resulted to a successful action.
Determining the Award
The SEC looks at all available facts, evidence and uniqueness of a case to know the award percentage.