The U.S. Securities and Exchange Commission (SEC) has awarded a whistleblower approximately US$3.5 million for tipping the regulator to misconduct that generated a successful enforcement action.
The SEC does not reveal the details of these cases in order to preserve the anonymity of tipsters. That said, with this latest award, the SEC has now distributed approximately US$135 million to 36 whistleblowers since the regulator issued its first award in 2012.
In addition, the SEC notes that enforcement actions resulting from whistleblower tips have led to more than US$874 million in financial remedies.
“Whistleblowers do a tremendous service to the investing public and we will continue to reward those who come forward with valuable tips that help us bring successful cases against those who violate the securities laws,” says Jane Norberg, chief of the SEC’s Office of the Whistleblower, in a statement.
The Ontario Securities Commission (OSC) adopted Canada’s first whistleblower program that promises financial rewards for information that results in enforcement action earlier this year. The OSC has said that it has received numerous tips, but it has yet to pay an award.