SEC Approves Largest Ever Whistleblower Awards

Posted on March 26th, 2018 at 9:59 AM
SEC Approves Largest Ever Whistleblower Awards

From the Desk of Jim Eccleston at Eccleston Law LLC:

The SEC has announced that it will award its highest-ever whistleblower payouts, with two whistleblowers sharing a $49 million award, and another whistblower receiving a $33 million award. Before this announcement, the next largest award the SEC issued was $30 million in 2014.

More specifically, in June of 2016, three separate individuals filed whistleblower claims asserting that Merrill Lynch misused customer cash to fund its own business activities, instead of holding it in reserve.

As a result, the SEC brought an enforcement action that led to a $415 million settlement with Merrill Lynch.

The SEC’s whistleblower program has been an important tool since its inception in 2011. The award distributions are made out of an investor protection fund established by Congress. The standard to obtain an award requires that the whistleblower’s information must be unique, useful and leads to a successful enforcement action. 

Eccleston Law, LLC helps individuals file and document their SEC whistleblower claims while maintaining confidentiality. Please contact us for further information.

The attorneys of Eccleston Law LLC represent investors and advisors nationwide in securities and employment matters. The securities lawyers at Eccleston Law also practice a variety of other areas of practice for financial investors and advisors including Securities Fraud, Compliance Protection, Breach of Fiduciary Duty, FINRA Matters, and much more. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today.

Related Attorneys: James J. Eccleston

Tags: Eccleston, Eccleston Law, Eccleston Law LLC, James Eccleston

Return to Archive

TESTIMONIALS

Previous
Next

If the regulators are after you, and are trying to make a case against you, and you are going to contest their allegations against you, make sure you have the best securities industry defense lawyers, Eccleston Law Firm. My case was spun into a combination of penalties including fines, cash settlements, CE courses and suspension. They were the best I have seen in action. When all was said and done, they had done their magic, my situation was negotiated and settled with a simple "letter of caution" and a case closed without action. It is the most important legal business decision you will ever make, make it Eccleston Law.

Rick R.

LATEST NEWS AND ARTICLES

May 17, 2024
Fidelity Advisor Files Lawsuit Alleging Wrongful Termination Over Whistleblowing

A former Fidelity Investments advisor, Michael Maeker, has initiated legal action against his former firm, alleging wrongful termination in response to his reporting of anti-investor sales tactics.

May 16, 2024
CFTC Investigates Banks for Potential Whistleblower Suppression

The Commodity Futures Trading Commission (CFTC) has initiated inquiries into several banks, including JPMorgan Chase, Bank of America, and Citigroup, regarding potentially hindering whistleblowers from disclosing information, as reported by Bloomberg News.

 

May 15, 2024
NFA Issues Order Against 50.ai Investments LLC

The National Futures Association's (NFA) Business Conduct Committee (BCC) has taken action against 50.ai Investments LLC, a former NFA Member commodity pool operator and forex firm, for violating multiple NFA compliance rules.