The Securities and Exchange Commission (SEC) revealed it has awarded a whistleblower with over $20 million.
The whistleblower provided the regulator with significant information and continued assistance that helped Enforcement Division staff investigate complex issues.
Creola Kelly, Acting Chief of the SEC’s Office of the Whistleblower said:
Today’s whistleblower played a crucial role in the ultimate success of the enforcement proceeding. Whistleblowers can help advance existing investigations in meaningful ways when their information saves the agency time and resources, and when their contributions allow SEC staff to better understand complicated issues.”
Payment of the awards is taken out of an investor protection fund set up by Congress. It is financed through monetary sanctions of security law violations paid to SEC.
To be eligible for the award, a whistleblower needs to voluntarily provide the commission with reliable information that leads to successful enforcement action. The awards range between 10 and 30 % of the money collected by SEC when the sanction is for more than $1 million.
According to the Dodd-Frank Act, SEC must protect the identity of the whistleblower and not disclose any information that could reveal it.
Earlier in November, the regulator issued awarded a whistleblower with more than $10 million.
