The Securities and Exchange Commission (SEC) has awarded a whistleblower $279 million, the largest whistleblower award in the agency’s history. The whistleblower, who has not been identified, provided information that led to the SEC’s investigation and enforcement action against Ericsson, a Swedish telecommunications company.
The SEC’s investigation found that Ericsson had violated the Foreign Corrupt Practices Act (FCPA) by paying bribes to government officials in Djibouti, China, and Indonesia. The SEC’s enforcement action against Ericsson resulted in a $1 billion fine.
The whistleblower’s award is the largest whistleblower award ever paid by the SEC. The SEC’s whistleblower program, which was established in 2011, encourages individuals to report securities law violations to the SEC. Whistleblowers who provide information that leads to successful enforcement actions can receive awards of up to 30% of the monetary sanctions collected by the SEC.
The SEC’s whistleblower program has been very successful. Since the program was established, the SEC has received over 30,000 tips from whistleblowers. These tips have led to the SEC’s investigation and enforcement of over 800 cases, resulting in over $14 billion in monetary sanctions.
The SEC’s whistleblower program is a valuable tool for the agency to combat securities law violations. The program encourages individuals to come forward with information about potential violations, and it provides significant rewards for those who do so. The SEC’s whistleblower program is a major success story, and it is likely to continue to be a valuable tool for the agency in the years to come.
In addition to the financial award, the whistleblower will also receive lifetime anonymity and protection from retaliation.
The SEC’s whistleblower program is a powerful tool that can be used to combat securities fraud. If you have information about a potential securities law violation, you should consider reporting it to the SEC. You may be eligible for a significant financial reward, and you will be protected from retaliation.