Tag Archives: Corporate Whistleblowers

SEC Protects Access to Whistleblower Rewards

Sec Protects Access to Whistleblower RewardsOn January 17, 2017, the SEC issued its latest sanction, a $340,000 penalty against BlackRock Inc., (NYSE: BLK —  the world’s largest investment management firm) for interfering with the right of its employees to obtain whistleblower rewards under the SEC’s Dodd-Frank Act whistleblower reward program.  SEC Rule 21F-17 was adopted in response to the whistleblower … Continue Reading

Whistleblower Paid $7.8 Million for Reporting Pharmaceutical Kickback Scheme

SECURITIES AND COMMODITIES FRAUD , SEC WHISTLEBLOWER AWARDS LISTOn December 15, 2016, the Department of Justice announced that Forest Laboratories LLC (Forest), located in New York, New York, and its subsidiary, Forest Pharmaceuticals Inc., have agreed to pay $38 million to resolve allegations that they violated the False Claims Act by paying kickbacks to induce physicians to prescribe the drugs Bystolic®, Savella®, and … Continue Reading

Huge Win for Whistleblowers with Unanimous Supreme Court Decision

Washington, D.C. December 6, 2016. An attempt by large government contractors and the U.S. Chamber of Commerce to undermine the False Claims Act (FCA) was beaten back by whistleblower advocates. The U.S. Supreme Court issued a unanimous decision today in the case of State Farm Fire and Casualty Company v. U.S. ex rel. Rigsby ruling … Continue Reading

SEC: Incentives for Whistleblowers Best Way to Uncover Securities Law Violations

SEC Says Employees Protected For Internal WhistleblowingWashington, DC, November 16, 2016. The Securities and Exchange Commission (SEC) Whistleblower Program had its most successful year to date in 2016. The agency, which issued its annual report to Congress today, reports it issued awards totaling over $57 million in 2016—higher than all award amounts issued in previous years combined. The Office of the … Continue Reading

Whistleblower Awarded $20 Million for Assisting in Recovery of Investor Funds

Whistleblower Awarded $20 Million for Assisting in Recovery of Investors FundsThe Securities and Exchange Commission (SEC) handed out its third largest whistleblower award yesterday. The whistleblower was awarded $20 million for coming forward promptly with valuable information that enabled the SEC to move quickly and initiate an enforcement action against wrongdoers before they could squander the money.… Continue Reading

Qui Tam Whistleblower Rewards Paid October 2016

In October the Department of Justice announced settlements of  cases that were brought under the qui tam or whistleblower provision of the False Claims Act (FCA). The “qui tam” provision allows private citizens to file lawsuits alleging false claims on behalf of the government.  If the government prevails in the action, the whistleblower is eligible … Continue Reading

SEC Announces Record Year Standing Up for Whistleblowers

SEC: Most Ever Whistleblower Money Distributed in a Single YearWashington, D.C.  October 12, 2016. The Securities and Commodities Exchange(SEC) announced yesterday that fiscal year 2016, which ended on September 30, 2016, was a record year for SEC enforcement. The agency reached new highs in enforcement in all areas, especially for whistleblowers.… Continue Reading

New Chief of SEC Whistleblower Office Named

Sec Protects Access to Whistleblower RewardsWashington, D.C. September 29, 2016.  The Securities and Exchange Commission (SEC) announced yesterday that Jane Norberg will now head its whistleblower office.  The SEC Office of the Whistleblower reviews whistleblower tips, evaluates whistleblower award claims, and makes recommendations on whether claimants should receive an award for their information. Ms. Norberg has served as acting chief … Continue Reading

SEC Enforcement Director Speaks on The Impact of the Whistleblower Program

SEC Enforcement Director Andrew CeresneyOn September 14, 2016, SEC Enforcement Director Andrew Ceresney spoke at the Sixteenth Annual Taxpayers Against Fraud Conference about the SEC’s whistleblower program. His remarks covered issues from the impact of the whistleblower program on the Agency to the role of whistleblower attorneys as they help their clients navigate the investigative and claims process.… Continue Reading

SEC Says Employees Protected For Internal Whistleblowing

SEC Says Employees Protected For Internal WhistleblowingOn August 4, 2015, the Securities and Exchange Commission (“SEC”) issued an interpretive rule to dispel confusion over whether employees who only report violations to their employer are protected by the Dodd-Frank whistleblower protection provision. The SEC will formally publish this interpretative rule in the Federal Register and it will operate as an amendment to … Continue Reading

SEC Awards Whistleblower $600,000 in First Retaliation Case

Whistleblower RetaliationOn April 28, 2015, the Securities and Exchange Commission announced an award to a whistleblower of $600,000. The whistleblower was given the award for providing key original information that led to a successful enforcement action in connection with In the Matter of Paradigm Capital Management, Inc. and Candace King Weir, File No. 3-15930 (June 16, … Continue Reading

Connecticut Supreme Court Hears Whistleblower Case

The Hartford Courant reports that the Connecticut state Supreme Court heard arguments on March 24, in a whistleblower case brought by a fired UBS worker.  The issue in dispute is whether an employer can discipline its employees for making internal reports about corporate wrongdoing. According to the report, UBS lawyers argued that employers should be able … Continue Reading

Ethisphere Magazine Names Stephen Kohn Among 100 Most Influential In Business Ethics

Kohn, Kohn & Colapinto partner Stephen M. Kohn was named to Ethisphere Magazines 100 Most Influential in Business Ethics in its 2014 third quarter issue. Each year, Ethisphere recognizes 100 individuals that have made a material impact in the world of business ethics and compliance through the annual 100 Most Influential People in Business Ethics … Continue Reading

OSHA Finalizes Whistleblower Retaliation Complaint Procedures Under Sarbanes-Oxley

On March 6, 2015, The Occupational Safety and Health Administration published a final rule finalizing procedures for handling whistleblower retaliation complaints filed under Section 806 of the Sarbanes-Oxley Act of 2002 (SOX). Sox Act contains significant protections for corporate whistleblowers. It covers employees who report fraudulent activities and violations of Securities Exchange Commission rules that can harm … Continue Reading

U.S. Reward Programs Aid International Fight Against Corruption

Whistleblower protection is an issue that is being debated around the world. While some governments are still in the process of creating laws that would provide protection for persons coming forward with information about corruption, others have enacted whistleblower protection laws, but implementation is lacking. Recent articles regarding the state of whistleblowing internationally are listed … Continue Reading

Former Company Officer Earns Half-Million Dollar Whistleblower Award for Reporting Fraud Case to SEC

The Securities and Exchange Commission today announced a whistleblower award payout between $475,000 and $575,000 to a former company officer who reported original, high-quality information about a securities fraud that resulted in an SEC enforcement action with sanctions exceeding $1 million. Officers, directors, trustees, or partners who learn about a fraud through another employee reporting … Continue Reading

DOJ Reaches $1.375 Billion Settlement with S&P for Defrauding Investors in the Lead Up to the Financial Crisis

On February 3, Attorney General Eric Holder announced that the Department of Justice and 19 states and the District of Columbia entered into a $1.375 billion settlement agreement with the rating agency Standard & Poor’s Financial Services LLC, along with its parent corporation McGraw Hill Financial Inc., to resolve allegations that S&P had engaged in … Continue Reading