Annual SEC Report Notes $50M Paid to Whistleblowers
The Securities and Exchange Commission’s (SEC) Office of the Whistleblower issued its annual report. The report details that the government paid over $50 million in rewards to whistleblowers. Also, over the past 5 years, the SEC has paid over $160 million. They also insist that whistleblowers provided tremendous value to its enforcement efforts and directly contributed to hundreds of millions of dollars returned to investors.
Higher Whistleblower Awards
The report suggests that the SEC’s whistleblower program has successfully grown. This includes the volume of the tips received, and whistleblower award amounts continue to grow. The SEC gave three of the largest ten whistleblower awards this year. In January, a whistleblower’s tip led to almost a total recovery of investor funds. The whistleblower also received a $20 million award. Also this year, three whistleblowers will split a $7 million award. They helped the SEC stop an investment scheme that defrauded hundreds of investors. Additionally, a company insider who revealed ongoing fraud received a $5.5 million award.
Experts predict that these settlements will continue to become larger as more and more people step forward and report fraud.
Whistleblowers Instrumental in Catching Fraud
In a recent study completed by Association of Certified Fraud Examiners’ Global Fraud Study, they found that whistleblowers caught almost half of all fraud. Plus, over 20% reported the fraud to their direct supervisor. These tips can come in a variety of ways: hotline, email, online form and even a mailed letter. The main point is that the government needs these tips to keep coming. This is why they reward whistleblowers. Several laws provide whistleblowers with financial rewards when they submit information that helps the government recover funds from companies or individuals committing fraud. Whistleblowers could receive up to 30% of recovered assets.
Premier Complex Litigation Attorneys
The Michael Brady Lynch Firm has successfully represented thousands of consumers and recovered millions of dollars for their clients. Our team of attorneys has been recognized as some of the most experienced and successful in the country. Our award-winning staff is also sought after for our knowledge on complex litigation, scientific evidence development, negotiation strategies and trial tactics.
Most of all, our law office is resourceful and dedicated to pursuing any compensation you are due. Because of this, we have received a high degree of peer recognition and professional achievement, such as inclusion on numerous Plaintiff Steering Committees. We will take whatever legal measures are necessary when fighting for your rights to damages.
Therefore, if you believe you have uncovered evidence of fraud involving a government-funded program, contact us today. Our attorneys have represented many clients in the past with complex cases. We will work tirelessly to obtain results on your behalf.