News & Analysis as of

Dodd-Frank Wall Street Reform and Consumer Protection Act Enforcement Actions Whistleblower Protection Policies

The Dodd-Frank Wall Street Reform and Consumer Protection Act is a United States federal statute signed into law on July 21, 2010. The Act was passed in response to the Great Recession of the late 2000s and... more +
The Dodd-Frank Wall Street Reform and Consumer Protection Act is a United States federal statute signed into law on July 21, 2010. The Act was passed in response to the Great Recession of the late 2000s and includes broad reforms related to many aspects of the financial and banking industry. Notable sections of the Act include stricter regulations of the derivatives market, as well as the Volcker Rule, which restricts the trading practices of FDIC-insured institutions.    less -
Kohn, Kohn & Colapinto LLP

Fifth Circuit Ruling on Whistleblower Awards from Bankruptcy Collections Underscores Shortcoming With SEC Program

Whistleblowers who exposed what has been called “one of the biggest frauds in Texas history” are not eligible to receive Securities and Exchange Commission (SEC) whistleblower awards based on the collections recovered in a...more

Troutman Pepper

Prioritize Document Review for SEC Whistleblower Rule Compliance

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If you have not recently reviewed your company’s documents to ensure they comply with Securities and Exchange Commission (SEC) whistleblower protection rules, you should put it at the top of your to-do list. On September 9,...more

Foley & Lardner LLP

SEC’s Focus on Whistleblower Protection Practices Continues

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On September 9, 2024, the U.S. Securities and Exchange Commission (SEC) announced that it settled charges against seven public companies for alleged violations of Securities Exchange Act Rule 21F-17. According to the SEC,...more

WilmerHale

SEC Continues Scrutiny of Provisions That Might Impede Whistleblowers

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On September 9, 2024, the Securities and Exchange Commission (SEC) announced settled charges against seven public companies for violations of certain whistleblower protections provided by Rule 21F-17 under the Securities...more

Ballard Spahr LLP

Are Whistleblower Protection Violations the New SEC Sweep?

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The Securities and Exchange Commission (SEC) continues to investigate companies for including language in their employment and separation agreements or retail client settlement agreements that potentially discourages...more

Kohn, Kohn & Colapinto LLP

False Narratives Around False Whistleblower Reporting: Finding the 0.0027%

Critics of whistleblower award laws commonly claim that whistleblower awards will lead to frivolous and speculative complaints aimed at damaging the reputation of individuals or companies. However, a close look at the data...more

Kohn, Kohn & Colapinto LLP

OECD Recommendations and U.S. Anti-Corruption Strategy Show U.S. Should Award Whistleblowers who Report to Media

Both the Organisation for Economic Co-operation and Development (OECD) and the U.S. Strategy on Countering Corruption recognize that the news media plays a vital role in the detection of bribery and other acts of corruption...more

DarrowEverett LLP

Actions vs. J.P. Morgan, Monolith Serve as SEC Compliance Check Reminders

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The Securities and Exchange Commission (SEC) recently settled charges against J.P. Morgan Securities LLC (JPMS) for impeding hundreds of advisory clients and brokerage customers from reporting potential securities law...more

Kohn, Kohn & Colapinto LLP

SEC’s Record Sanction Against JP Morgan for Impeding Whistleblowing is a Major Step

On January 16, the U.S. Securities and Exchange Commission (SEC) announced a record $18 million sanction against JP Morgan for Rule 21F-17(a) violations, sending the strongest message yet that the SEC is cracking down on...more

BakerHostetler

Employers Beware: Broad Confidentiality and Severance Clauses May Violate Whistleblower Protection Laws

BakerHostetler on

Employers should check their confidentiality and severance agreements for a common oversight that, for some, is becoming a costly error. Recent enforcement activity by the Securities and Exchange Commission (SEC) of Rule...more

Troutman Pepper

SEC's Whistleblower Program Sees Record Increase in Tips but Fewer Payouts

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Despite a 50% increase in whistleblower tips over fiscal year (FY) 2022, the number of whistleblowers who received awards from the Securities and Exchange Commission (SEC) decreased significantly in FY 2023. This trend...more

Kohn, Kohn & Colapinto LLP

SEC, CFTC Pass $2 Billion Award Milestone but Reforms are Still Needed

Combined, the Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) have awarded more than $2 billion to whistleblowers. The agencies’ whistleblower programs, which were created...more

Kohn, Kohn & Colapinto LLP

The SEC is Receiving More Whistleblower Tips than Ever, Underscoring Importance of Reform

On October 25, Gary Gensler, Chair of the U.S. Securities and Exchange Commission (SEC), revealed that in the 2023 Fiscal Year the SEC Whistleblower Program the SEC Whistleblower Program received 18,000 whistleblower tips, a...more

Thomas Fox - Compliance Evangelist

Pre-Taliation Continues to Rear It’s Ugly Head

DE Shaw, a prominent financial services firm, recently settled a retaliation case with the Securities and Exchange Commission (SEC) for a staggering $10 million. It was settled via an Administrative Order. This settlement...more

Wiley Rein LLP

Think Because You Are a Private Company the SEC Is Not Your Problem? Think Again (and review those separation agreements)

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What: Twice this month, the Securities and Exchange Commission (SEC) announced settled actions against entities for violating SEC Rule 21F-17(a) related to language in their separation agreements, including one against a...more

Holland & Knight LLP

SEC to Issuers: Retaliating Against or Impeding Whistleblowers Is Not Zen

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Public companies should be mindful not to interfere with or retaliate against whistleblowers, and stretching is best reserved for the yoga mat, not the numbers in a company's public disclosures. So says the U.S. Securities...more

Troutman Pepper

SEC "Levels Up" in $35M Resolution of Alleged Whistleblower Protection Violations and Compliance Program Failures Against...

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On February 3, the U.S. Securities and Exchange Commission (SEC) announced that video game developer Activision Blizzard, Inc. (Activision) agreed to pay $35 million to settle accusations that it violated whistleblower...more

Holland & Knight LLP

Overblown? SEC's Aggressive Enforcement of Rule 21F-17 for Whistleblower Protection

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Section 21F, titled "Whistleblower Incentives and Protection," is a set of provisions within the Securities Exchange Act of 1934 that govern, among other things, the rights and obligations of SEC whistleblowers and the...more

Foley & Lardner LLP

Whistleblower Newsletter Q2 2022

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Whistleblower Developments is a periodic report covering significant cases, decisions, proposals, and legislation related to whistleblower statutes and how they may impact your business. Recent developments include:...more

Orrick, Herrington & Sutcliffe LLP

Largest Single Whistleblower Award Ever under Dodd Frank

The Commodity Futures Trading Commission awarded approximately $200 million to a single whistleblower earlier this month based on the individual’s “significant contribution” to the success of a CFTC action and two Related...more

Katten Muchin Rosenman LLP

Gensler-Led SEC Demonstrates Continued Support for Whistleblowers - Capital Markets Compass | Issue 1

On August 5, the Securities and Exchange Commission (SEC) announced interim procedures effectively nullifying amendments to the SEC's whistleblower program adopted less than a year ago under former SEC Chairman Jay Clayton....more

Foley & Lardner LLP

Review of Recent Whistleblower Developments - October 2021

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Whistleblower Developments is a periodic report covering significant cases, decisions, proposals, and legislation related to whistleblower statutes and how they may impact your business... SEC to Study Amended...more

Kohn, Kohn & Colapinto LLP

Over $100 Million Awarded to Whistleblowers from CFTC Enforcement Actions

Approximately $123 million in awards has been awarded to whistleblowers since the Commodity Futures Trading Commission’s (CFTC) Whistleblower Program was created under the 2010 Dodd-Frank Act. ...more

Kohn, Kohn & Colapinto LLP

SEC Acts to Save the “Related Action” Whistleblower Rule

On August 5, 2021, the U.S. Securities and Exchange Commission (SEC) issued a “ seeking to address regulatory roadblocks that have hindered the administration of the whistleblower reward program. This Statement follows just...more

Kohn, Kohn & Colapinto LLP

SEC Announces Whistleblower Awards Totaling More Than $4 Million

Yesterday, the U.S. Securities and Exchange Commission announced whistleblower awards totaling over $4 million to four anonymous individuals whose assistance was critical to an investigation into securities fraud....more

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