Cases

SEC Whistleblower

If you learn of securities violations such as bribery, theft, corporate fraud or accounting irregularities within a company, you’re in the position to prevent or even stop this misconduct before it causes significant injury by reporting it to the Securities and Exchange Commission (SEC). Reporting such misconduct not only benefits company investors and helps to preserve the integrity of the U.S. capital markets, but it may also result in a substantial monetary reward for the whistleblower.

The SEC whistleblower program is currently the only program that ensures the complete anonymity of the whistleblower, provided that the whistleblower is represented by an attorney. Additionally, persons reporting violations related to securities, bank, mail or wire fraud, or other federal law relating to fraud against shareholders may be protected from employer retaliation through the Sarbanes Oxley Act.

SEC Whistleblower Attorney

Motley Rice attorneys have represented whistleblowers in cases related to hedge fund fraud, accounting irregularities and conflicts of interest, among others.

For additional details on specific protections that would apply to your potential claim, contact Motley Rice SEC whistleblower attorney Bill Norton at 1.800.768.4026 for a confidential, free consultation.

SEC Whistleblower Program and the Dodd-Frank Act

Of all whistleblower protection provisions, the SEC whistleblower program established by the 2010 Dodd-Frank Act contains some of the strongest.

The Dodd-Frank Act protects SEC whistleblowers by creating a federal private right of action against employer retaliation. Employers may not fire, demote, suspend, threaten, harass or discriminate against a covered whistleblower. Those who do suffer from employee retaliation may sue for reinstatement, back pay and any other damages incurred.

There are numerous types of improper acts that give rise to an SEC whistleblower claim, including:

  • Broker fraud
  • Corporate bribery
  • Corporate fraud
  • Failure to file required reports
  • Insider trading
  • Market manipulation
  • Misappropriation of securities
  • Theft of funds

The SEC Whistleblower Program is also authorized to provide eligible whistleblowers with monetary awards amounting to anywhere between 10 and 30 percent of the total fines and penalties collected by the SEC if their information leads to the SEC bringing an action with fines and penalties in excess of $1 million.