September 27, 2020

Volume X, Number 271

September 25, 2020

Subscribe to Latest Legal News and Analysis

September 24, 2020

Subscribe to Latest Legal News and Analysis

CFTC Whistleblower Program Awards Whistleblower who was “Heavily Relied” on During Investigation

Yesterday, the Commodity Futures Trading Commission (CFTC) awarded a whistleblower who assisted the Commission by providing information that led to an enforcement action under the Commodity Exchange Act (CEA).

According to the CFTC Whistleblower Office award order, the information the whistleblower provided was “sufficiently specific, credible, and timely to cause the Commission to open an investigation.”

“Claimant 1 also provided Commission staff with assistance throughout the course of the Commission’s investigation, including crucial information that Commission staff heavily relied on against the defendant.”

Financial awards are available to U.S. citizens and non-U.S. citizens who blow the whistle on potential commodities frauds. Similar to other qui tam whistleblower reward laws, the CFTC Whistleblower Program grants awards to anonymous and confidential claimants based on sanctions recovered from enforcement actions.

“Despite the coronavirus pandemic, the CFTC continues to process whistleblower awards,” said Stephen M. Kohn, whistleblower attorney at Kohn, Kohn & Colapinto. “This is critical for ensuring accountability and protecting the public interest.”

Whistleblowers who voluntarily provide the CFTC with original information of violations of the CEA that lead to successful enforcement actions resulting in $1,000,000 or more in sanctions can qualify for awards. Monetary awards range between 10 and 30% of the amount recovered.

Additional Resources:

CFTC Award Order – April 20, 2020

How to qualify for whistleblower rewards under the Commodity Exchange Act (FAQs)

Ben Kostyack also contributed to this article.

Copyright Kohn, Kohn & Colapinto, LLP 2020. All Rights Reserved.National Law Review, Volume X, Number 113

TRENDING LEGAL ANALYSIS


About this Author

Mary Jane Wilmoth whistleblower protection Qui Tam/False Claims Attorney Kohn Kohn & Colapinto Law Firm
Managing Partner

Mary Jane Wilmoth is the firm’s managing partner, and works closely with the partners at KKC, specializing in environmental and nuclear whistleblower protection, Qui Tam/False Claims litigation, and labor and employment law. She joined the firm in 1992, and works on cases and hearings that involve complex nuclear and environmental regulations. In her efforts to assure such safeguards are upheld in the American workplace, she has helped to strengthen whistleblower rights in licensing and enforcement proceedings with the Nuclear Regulatory Commission. She has also defended whistleblowers at...

202-342-6980