January 24, 2021

Volume XI, Number 24

Advertisement

January 22, 2021

Subscribe to Latest Legal News and Analysis

SEC Announces Record-Breaking $114 Million Award to Whistleblower

On October 22, 2020, the SEC announced an award of over $114 million to a whistleblower who, after reporting internally to their employer, provided the SEC with information and assistance that led to the successful enforcement of SEC and related actions.  The $114 million award consists of an approximately $52 million award in connection with the SEC case and an approximately $62 million award arising out of the related actions by another unidentified agency.  The combined $114 million is the largest amount ever awarded under the SEC’s whistleblower program and far surpasses the next-largest award of $50 million made to an individual in June 2020.

SEC Chairman Jay Clayton noted that “[w]histleblowers make important contributions to the enforcement of securities laws and we are committed to getting more money to whistleblowers as quickly and as efficiently as possible.”  Jane Norberg, Chief of the SEC’s Office of the Whistleblower, added, “[t]he actions of the whistleblower awarded today were extraordinary,” explaining that “[a]fter repeatedly reporting concerns internally, and despite personal and professional hardships, the whistleblower alerted the SEC and the other agency of the wrongdoing and provided substantial, ongoing assistance that proved critical to the success of the actions.”

Since the inception of the whistleblower program in 2011, the SEC has awarded approximately $676 million to 108 individuals.  The order granting this record-breaking award can be accessed here.

Advertisement
© 2020 Proskauer Rose LLP. National Law Review, Volume X, Number 307
Advertisement

TRENDING LEGAL ANALYSIS

Advertisement
Advertisement

About this Author

Lloyd B Chinn, Financial, Whistleblower Attorney, Proskauer Law Firm
Partner

Lloyd B. Chinn is a Partner in the Labor & Employment Law Department and co-head of the Whistleblowing & Retaliation Group. He litigates employment disputes of all types before federal and state courts, arbitration tribunals (e.g., FINRA, JAMS and AAA), and before administrative agencies in New York and across the country. Lloyd's practice ranges from litigating compensation disputes to defending whistleblower, discrimination and sexual harassment claims. Although he represents employers in a wide range of industries, including law, insurance, health care, consulting, media,...

212-969-3341
Pinny Goldberg Labor and Employment Lawyer Proskauer Rose Law Firm
Associate

Pinny Goldberg is an associate in the Labor & Employment Law Department. Pinny represents employers in a broad array of matters before federal and state courts, FINRA and other arbitration panels, and administrative agencies, including the EEOC and its state equivalents, and in pre-litigation negotiations. Matters he works on include discrimination and harassment, wage and hour, wrongful discharge, whistleblowing and retaliation, covenants not to compete, breaches of fiduciary duty, unjust enrichment, and tort and contract claims. 

In...

212.969.3074
Advertisement
Advertisement