SEC Whistleblower Lawyer Blog
The Commodity Futures Trading Commission (CFTC) recently awarded a bounty of $700,000 to a whistleblower who voluntarily offered original information that caused an investigation leading to a successful covered action.
The unnamed individual first submitted their information in a Form WB-APP and provided significant assistance to the CFTC staff. This included key information in the case and interpretation of it for staff members, and all the information the staff requested. Their actions saved CFTC staff significant resources in the investigation.
The whistleblower offered considerable assistance throughout the investigation, and “precisely and accurately described the firm’s misconduct.” Additionally, the information “strongly supported the charge in the Covered action.”
Reduction Of Whistleblower Award
Even though the whistleblower received a substantial sum for their assistance, the Claims Review Staff (CRS) listed the reasons why they reduced the original award amount:
- The whistleblower was instrumental in implementing the actions that led to the misconduct
- The whistleblower participated in the misconduct, “acting with scienter,” or in full knowledge that it was misconduct
- The whistleblower waited four years before submitting their information to the Commission
The CRS also determined that although the whistleblower was involved in the wrongdoing, the individual was not a recidivist (repeat offender), did not benefit from the activity, nor interfered with CFTC’s investigation. Ultimately, the CRS awarded this whistleblower a percentage of the monetary sanctions collected from the company with these factors in mind. Any whistleblower award is made at the Commission’s discretion after examining all the facts in each individual case.
Retaining Experienced CFTC Whistleblower Attorneys
Whistleblowers help everyone by notifying the CFTC of conduct that harms the investing public, while also earning financial compensation for themselves. Hiring experienced counsel may greatly increase the probability that an investigation based on your information will be initiated. If you wish to remain anonymous, you must be represented by an attorney, who will submit everything on your behalf.
Silver Law Group and the Law Firm of David R. Chase jointly have experienced CFTC and SEC whistleblower lawyers, including a former SEC Enforcement attorney on the team, so you will always have guidance throughout the process. Our attorneys can help you if you have information regarding securities or investment fraud, violations of federal securities laws, false filings, market manipulation, or other misconduct. You must provide timely, credible, and original information or analysis to be eligible.
Contact us through our online form or at (800) 975-4345 for a consultation. Our attorneys work on a contingency fee basis. This means that it costs you nothing to hire us, and we collect our fees only if you receive a bounty. Because we get paid when you do, we have the incentive to help you collect the maximum award available.