SEC Whistleblowers Earning a Fortune

Whistleblowing could earn a fortune. The is because of some of the recent legislations that have been put in place that see to it that whistleblowers blowers get adequate protection and a good amount of pay for the information they provide. Any information that involves violation of security laws, if original, can be submitted to the Security and Exchange Commission (SEC) and in turn, the whistleblowers get paid depending on the whether a case is successfully built from the information and on monetary sanctions that will be collected in the long run from a successful case.

This reform got enacted as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act reforms which were implemented by the United States Congress back in 2010. This caused a major change in the U.S. financial regulating sector and could be compared to the Great Depression. It is under these reforms that the whistleblower program was founded. The program aims to encourage people to report any violation involving federal security laws to SEC and in turn, be paid and earn employment protections.

It seems like Labaton Sucharow, a large law firm in the U.S., totally embraced this idea as they went on to form a practice that solely focuses on protecting Sec whistleblowers. They teamed which highly qualified SEC whistleblowers lawyers and several other supporting staff such as experienced accountants and financial analysts, all in a bid to support the SEC whistleblowers attorneys in their line of duty. Jordan A. Thomas, who used to be a major player in SEC and who is currently working for the law firm seems to have sped up the setting up of the SEC whistleblowers lawyers as he formed part of the team that proposed, drafted and implemented the whistleblower program.

The exact amount that a whistleblower whose information successfully builds a case should be paid remains a controversy as no definite parameters have been set yet. The current rule is that an eligible whistleblower should be paid 10% to 30% of the money that SEC gets from the sanctions of a successful case and the amount is only payable if the sanction is not less than a million dollars. If the above conditions are met, then the whistleblower gets to be credited with awards too. The whistleblowers are further protected by the Dodd-Frank Act which states that those who are reported to SEC should not in any way be perceived to be seeking revenge.

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