The SEC announced an award of more than $300,000 to a whistleblower whose high-quality information and continuing assistance significantly contributed to a successful enforcement action.
According to the press release, the whistleblower became aware of the potential securities law violations in connection with audit-related responsibilities. Although individuals with audit or compliance responsibilities are generally not eligible for awards, a whistleblower who reasonably believes that an entity is engaging in conduct that would impede the investigation falls within one of the exceptions to that rule. Here, the whistleblower had a reasonable basis to believe that the entity would impede the Commission’s investigation. This is the fourth time the agency has paid a whistleblower with internal audit or compliance related responsibilities.
Have a securities law question? Call Sallah Astarita & Cox at 212-509-6544.
Related Articles
- Allison Herren Lee Named Acting Chair of the SEC
- Top Stocks To Short Today As Indices Hit New Records On Inauguration Day
- Kimberly Hamm, Chief Counsel to SEC Chairman, to Conclude Tenure
- Three New Whistleblower awards for $1.1 Million
- Stocks This Week: Sell Short General Dynamics And Transocean
- JPMorgan Posts Record $12.1 Billion Profit–Shattering Expectations Despite Pandemic Highs
- Fee Rate Advisory #2 for Fiscal Year 2021
- SEC Awards Nearly $600,000 to Whistleblower
- Elon Musk Falls To World’s Second Richest Person
- Acting Enforcement Director Marc P. Berger to Depart the Commission
Introductions and Primers
- What is Securities Arbitration?
- Overview of the Securities Arbitration Process
- The Firm’s Lawyer or Your Own Lawyer?
- Finders Explained – Be Careful
- Federal Securities Law, a Securities Lawyer Guide
- Introduction to State Securities (Blue Sky) Laws
- Expungement of Customer Complaints
- Guide to Broker-Dealer Registration