Washington: The US Securities and Exchange Commission (SEC) has issued its largest-ever award of nearly $279 million to a whistleblower whose information helped spur the regulator’s enforcement action, it said on Friday. The regulator in its statement did not disclose the matter in question. This award more than doubles the $114 million issued in October 2020.
“As this award shows, there is a significant incentive for whistleblowers to come forward with accurate information about potential securities law violations,” Gurbir Grewal, director of the SEC’s Division of Enforcement, said in a statement.
Whistleblowers are paid from an investor protection fund that was established by Congress and financed entirely through monetary restitution paid by securities law violators to the SEC. When monetary sanctions exceed $1 million, rewards to whistleblowers can range from 10% to 30% of the money collected.
“The continued assistance of whistleblowers, including numerous interviews and written submissions, was critical to the success of these actions,” said Criolla Kelly, head of the SEC’s Office of Whistleblowers.
SEC Issues Largest Whistleblower Award Ever of $279 Million
