SEC Sets Aside $452 Million for Whistleblowers
Earlier this year, as part of sweeping financial reform regulation, the SEC received more authority to pay whistleblower awards and enhance the anti-retaliation protections available to whistleblowers.
In order for an person to qualify for a payout, the amount collected due to a sanction must be over $1 million. Based on the amount of the monetary sanctions collected when the agency brings successful action, 10% to 30% of the money goes to a whistleblower. Also, the whistleblower must have voluntarily provided the SEC with "original information about a violation of the federal securities laws that leads to the successful enforcement of a covered judicial or administrative action, or a related action."