Insights
Attorney Authored
Whistleblower Award is a Bellwether
October 17, 2013
BY THOMAS A. ZACCARO, ELEANOR K. MERCADO, & SARAH KELLY-KILGORE
On Oct. 1, the U.S. Securities and Exchange Commission announced an award of more than $14 million to an anonymous whistleblower for providing information leading to a successful enforcement action and the recovery of substantial investor funds. The magnitude of the award, and the publicity that is likely to accompany its announcement, will almost certainly result in increased whistleblowing activity as greater numbers of potential whistleblowers - including well-compensated executives previously unimpressed with the SEC's payouts - learn of the potential for significant monetary payouts.