The SEC has again given an award to a whistleblower. This time it totals $3.5 million, and comes after multiple instances of support from the individual.
The whistleblower’s contribution prompted SEC staff to investigate more possible securities violations. This made the investigation easier for the SEC staff, which saved them time and resources.
The additional information also helped with the whistleblower’s discussion of settlement. Not one, but two SEC enforcement actions were successful as a result of the whistleblower’s assistance and cooperation. The second enforcement action came from the same “nucleus of operative facts” as the first action.
Why Do People Become Whistleblowers?
When you read about the large amounts of money that people are awarded as a whistleblower, your first thought might be that they’re in it for the money. But for many people, that’s not really the case. It may be take years before they know if they will receive a financial bounty. The primary motivator for most people is a strong sense of integrity or justice, even if it is at risk to their job, career, and personal reputation.
Whistleblowers are more driven by the feeling that something is wrong. They want to do the right thing to correct the situation for the greater good. For someone who reports misconduct or wrongdoing at their employer, the financial incentive may be a motivator if they are faced with possible retaliation by their employer. Many people don’t believe their company will adequately address the misconduct, especially if it involves a senior executive, or that they will be targeted for layoffs, firing, or other retaliatory measures. Others know this and go to the government first since their company’s Internal Affairs won’t bother with an investigation.
Although the process can be long-term and taxing, many do it anyway because of their desire to do what’s right no matter what the outcome.
Retaining Experienced SEC Whistleblower Attorneys
Whistleblowers help everyone by notifying authorities of conduct that harms the public, while also earning financial compensation for themselves. Hiring experienced SEC counsel will greatly increase your chances of the SEC initiating an investigation based on your information. 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 SEC whistleblower lawyers, including a former SEC Enforcement attorney on the team, so you will always have guidance throughout the process. Our SEC whistleblower 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 in order 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 when you receive an SEC bounty. Because we get paid when you do, we have the incentive to help you collect the maximum award available.