Our Website Uses Cookies 


We and the third parties that provide content, functionality, or business services on our website may use cookies to collect information about your browsing activities in order to provide you with more relevant content and promotional materials, on and off the website, and help us understand your interests and improve the website.


For more information, please contact us or consult our Privacy Notice.

Your binder contains too many pages, the maximum is 40.

We are unable to add this page to your binder, please try again later.

This page has been added to your binder.

Covington & Burling Partner Gerald Hodgkins on the SEC Proposal to Limit the Size of Whistleblower Awards

November 8, 2018, Corporate Crime Reporter

Gerald Hodgkins is featured in an interview with Corporate Crime Reporter regarding the SEC proposal to limit the size of whistleblower awards. Under current SEC rules, whistleblowers are entitled to an award of ten to thirty percent of the recovery. The securities industry is now pushing to limit the size of SEC whistleblower awards. Under a proposed SEC rule, the SEC can reduce the size of an award merely because it is too large.

 

Mr. Hodgkins explains the current bounty program, saying, “To qualify for a whistleblower award, an action has to be brought by the SEC and have a judgment of over $1 million. There are rules and regulations for properly submitting a claim. And the SEC determines whether the individual properly submitted a claim and provided information that led to an enforcement action. That person’s claim will be reviewed first by the whistleblower office and then the claims review staff and then possibly the SEC itself. And a determination will be made as to whether that person will receive between ten and thirty percent of the money recovered.”

Share this article: