Insight into the SEC Whistleblower Program
The Congress was in charge of forming the SEC whistleblowers program which was established to issue monetary incentives to the people who create a report about the violations of federal security laws. If you are an eligible whistleblower, the SEC ensures that you are awarded accordingly. The award is always issued after the SEC has looked into the allegations that have been forwarded. The relevant law enforcement authorities also conduct an investigation to uncover the matter. The SEC Whistleblower law firm also ensures that employees are not victimized by their employers because of offering information about the various violations being committed by the company.
To be an eligible whistleblower, you must be ready to provide the SEC with information voluntarily. The information about any violation must always be original. The violations should be about companies failing to adhere to the various federal security laws. Additionally, the information offered by a whistleblower must always enable the SEC to come up with a proper legal argument. When the SEC succeeds, they always get monetary sanctions that are worth more than $1 million. One or more individuals are allowed to act as whistleblowers; nevertheless, there is a restriction when it comes to companies and organizations. Furthermore, to become a whistleblower, you must not be necessarily an employee within the company. The information provided should also be recorded in accordance with the whistleblower rules.
Whenever the SEC is notified about any violations to the federal securities laws, they ensure that a thorough investigation is being carried out. If the tip offered by a whistleblower is credible, specific, and timely, the SEC always forwards such a case to the investigative staff with immediate effect. For example, if the tip offered by the whistleblower can be used to identify some of the individuals involved in the violation of the federal securities laws, the investigation can progress accordingly. The investigation team can also try and trace some of the fraudulent activities that were taking place.
The enforcement staff handles such cases. However, the SEC cannot handle any case that does not involve the violation of federal securities laws. Examples of violations handled by the SEC are such as insider trading, stealing funds or securities, pyramid schemes, manipulating securities prices, and issuing false statements about various companies. A whistleblower is obliged to offer information voluntarily to the SEC. The whistleblower can also avail the information to the SEC through their attorney.
