Whistleblower receives more than $10 million from SEC

Steffy Bogdanova
November 1, 2022 10:04 am

The Securities and Exchange Commission (SEC) revealed it has awarded a whistleblower with over $10 million.

The whistleblower provided the regulator with information and assistance which significantly contributed to a successful SEC enforcement action.

Additionally, SEC noted that the individual provided important documents and met with Enforcement staff on two occasions.

Creola Kelly, Acting Chief of the SEC’s Office of the Whistleblower said:

The whistleblower awarded today provided information that resulted in the return of a significant amount of money to harmed investors. This illustrates how the Whistleblower Program works to benefit, via financial remediation, investors who are victimized by those who violate our securities laws.

Whistleblower

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 August, the regulator issued whistleblower awards to two individuals of more than $16 million.

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Experienced writer and journalist, working in the global online trading sector, Steffy is the Editor of LeapRate. She has previous experience as a copywriter and has been with the company since January 2020. Steffy has a British and American Studies degree from St. Kliment Ochridski University in Sofia.
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