On August 12, 2011, the SEC’s Dodd-Frank whistleblower rules became effective, establishing the procedures for whistleblowers reporting violations to the SEC under section 922 of the Dodd-Frank Act to receive a bounty of between 10 and 30 percent of sanctions the SEC collects in successful actions resulting in sanctions of over $1 million. For a complete summary of the updates, please click here.
On August 12, the SEC whistleblower program, established pursuant to Section 922 of the Dodd-Frank Act, became effective. In connection with the commencement of the program, the SEC launched a new website for whistleblowers to report violations of the federal securities laws and apply for financial awards. SEC Release. SEC Whistleblower Website.
On May 25, pursuant to Section 922 of the Dodd-Frank Act, the SEC adopted final rules implementing a new whistleblower program. Under the program, the SEC will reward whistleblowers who voluntarily provide original information concerning violations of the U.S. securities laws. In order to qualify for a reward, such information must lead to a successful enforcement action resulting in a monetary sanction exceeding $1 million. The final rules will be effective 60 days after they are submitted to Congress or published in the Federal Register. SEC Release. Final Rules.
