How to report fraud under the SEC and CFTC whistleblower programs and receive a whistleblower reward

How to report fraud under the SEC and CFTC whistleblower programs and receive a whistleblower reward

The Dodd-Frank Wall Street Reform and Protection Act updated the government reward programs for the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). The SEC and CFTC reward programs pay rewards not only for insider trading violations, but pay rewards for reporting any securities law violation, such as money laundering or violations of the Foreign Corrupt Practices Act.

SEC/CFTC Whistleblower rewards:

As a whistleblower reporting SEC or CFTC violations, you are eligible for whistleblower rewards of between 10 percent and 30 percent of the monies the SEC or CFTC collect based on your report of fraud. This means if you report SEC of CFTC violations and the government collects $10 million, your whistleblower reward for reporting fraud will be between $1 million and $3 million.

SEC/CFTC Whistleblower Requirements:

To get a SEC or CFTC whistleblower reward, you must provide specific and detailed fraud allegations that result in the SEC or CFTC recovering from the company more than $1 million based on you reporting SEC or CFTC fraud. (However, my opinion is that it may not be worth the effort or risks to report a case where the SEC fraud or CFTC fraud is less than $5 million and therefore I do not take cases where there is less than $5 million in SEC or CFTC fraud.)

SEC/CFTC Whistleblower Job protection:

Employers may not fire, demote, suspend, threaten, harass, or discriminate against a whistleblower for reporting SEC or CFTC fraud. Whistleblowers can sue for reinstatement, back pay and damages.

SEC/CFTC Whistleblower Confidentiality:

Whistleblowers can report SEC fraud or CFTC fraud anonymously, provided they have retained a lawyer to represent them and have their attorney file the whistleblower reward claim on their behalf. In fact, in some cases, your identity may remain unknown even to the SEC and the CFTC until you get a reward when you have your attorney report the SEC fraud or CFTC fraud.

Calculating the Amount of SEC/CFTC Whistleblower Rewards:

Three primary factors will be considered to determine the whistleblower’s reward for reporting SEC fraud or CFTC fraud:
-The significance of the whistleblower’s information of fraud
-The assistance provided to the SEC or CFTC by the whistleblower and their attorney
-The “programmatic interest” of the SEC or CFTC “in deterring violations of the securities law”

Contact Mr. Hesch to confidentially evaluate your potential reward application for under the SEC and CFTC whistleblower reward programs.

See the link below “Do I have a case” to have Mr. Hesch review your potential the Securities and Exchange Commission (SEC) whistleblower reward case or the Commodity Futures Trading Commission (CFTC) whistleblower reward case. See the link below “SEC Whistleblower” to learn more about the government’s SEC whistleblower reward or CFTC whistleblower reward programs.