The Securities and Exchange Commission (SEC) announced a whistleblower award of approximately $37 million to two joint whistleblowers who provided key evidence that contributed to the success of the SEC’s enforcement action. The whistleblowers also provided ongoing assistance and helped the staff identify additional information that advanced the investigation.

SEC Whistleblower Program

The SEC Whistleblower Program pays awards to eligible whistleblowers who voluntarily provide the SEC with original information about securities law violations that leads to an enforcement action with monetary sanctions in excess of $1 million. A whistleblower may receive an award of between 10% and 30% of the monetary sanctions collected in the successful SEC enforcement action. Additionally, if a whistleblower’s information leads to a successful related action, they may receive an award of between 10% and 30% of any collections in the related action.

Since the inception of the SEC Whistleblower Program, the SEC has awarded approximately $1.2 billion to whistleblowers. The largest SEC whistleblower awards to date are $114 million, $110 million, and $50 million. The rules of the program permit whistleblowers to submit tips anonymously to the SEC if represented by an attorney.

SEC Order Highlights the Key Considerations in Issuing the $37 Million Award

In reaching the determination to award the whistleblowers $37 million, the SEC “considered that [the whistleblowers] provided Enforcement staff...

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