SEC Awards Whistleblower $1.8 Million for Role in Exposing Misconduct

4514 Cole Ave, #600 | Dallas, Texas 75205

Call Kardell Law Group 214-306-8045

The U.S. Securities and Exchange Commission issued yet another whistleblower award in late August, granting more than $1.8 million to a whistleblower who it said provided crucial and actionable information that led to a successful enforcement action involving misconduct overseas.

As is the custom with SEC whistleblower awards, no information was provided about the whistleblower, the company involved or the actions that led to the sanctions. Confidentiality is of the utmost importance in these types of whistleblower cases, and federal law requires the SEC to withhold any information that could potentially identify the whistleblower.

SEC continues issuing lucrative awards

This is at least the fourth time the SEC has issued an award to a whistleblower who assisted in a case from overseas, though the agency has not stated where any of these whistleblowers are located.

One overseas whistleblower was the recipient of what was at the time the largest ever whistleblower award under the SEC program, a $30 million award issued in 2014. In 2017, another foreign national working outside of the United States received $4.1 million for providing information about a significant, multi-year securities law violation scheme. And then in 2018, the SEC awarded another overseas-based whistleblower $4 million for providing significant assistance in a case that resulted in a successful enforcement action.

Regardless of where they’re located, whistleblowers are eligible for SEC awards if they are able to provide the agency with credible and original information that results in a successful enforcement action. Awards can be anywhere from 10 to 30 percent of the money collected in the case, depending on how helpful the whistleblower’s information was. The penalties must be more than $1 million for the whistleblower to be guaranteed a collection.

This award brought the total SEC awards up to $387 million to 66 individuals since 2012.

For more information about filing an SEC whistleblower claim, contact Kardell Law Group.

By Steve Kardell | Published November 14, 2019 | Posted in Whistleblower Litigation | Tagged $1.8 million to a whistleblower, awards up to $387 million to 66 individuals since 2012, SEC whistleblower claim, whistleblower

Awards & Honors

Our Office

Dallas Office
4514 Cole Ave
#600
Dallas, Texas 75205
Phone: 214-306-8045
Fax: 469-729-9926

Testimonials

"Steve Kardell was terrific in representing me in some very adversarial discussions with Citigroup and also later represented me in my testimony before the Financial Crisis Inquiry Commission." -Richard Bowen, Citigroup Whistleblower
"Incredible knowledge of employee related concerns and equally brilliant knowledge of health care regulations, standards of practice. I would recommend this firm to anyone." -V.B.
"Reaching out to Steve Kardell was the best decision I made. His ability to provide immediate insight and direction was very powerful, and a huge relief during a very stressful time period. For anyone struggling with a whistleblower situation, I would highly recommend at least speaking with Steve. After a 10 minute call with him, I had a better understanding of what I was dealing with. Even better, he gave me some immediate hope. In the end Steve did a better job than I thought was possible. Steve was able to get in contact with people in my organization, that I didn’t have access to. Because of his years of experience, he already has contacts in many organizations in Dallas. The entire situation was handled peacefully. I was impressed by his ability to “keep the peace”–rather than creating a battle with the organization. The reason I didn’t reach out to a lawyer initially, was because I thought it would mean an immediate end to any hope of a positive relationship with the company. Steve was able to address my concerns, and in the end I was able to continue to work for them." -KS
"Never thought my career would end like it did after 30 years of service. I was part of the first round of the so called reduction of force. I asked myself how can I be part of this with 30 years of seniority. How did they pick these 90 plus employees? Now, the culture of this organization made you question every decision they made. It wasn’t what you knew it’s was a culture of who you know. Nonetheless, I did not accept their severance package. I immediately starting looking for an attorney who would take on my case. After the initial call to Steve I had hope again. He was open and honest about everything and reassured me he would do his best for me, and he did. I had an awesome outcome. Thanks Steve you’re the best." -S.S.