Sunday, July 8, 2012

SEC set to hand out up to $452M to whistleblowers




Talk about a federal stimulus plan. The Securities and Exchange Commission has amassed a $452 million pot of cash to be paid out to fraud busters across the country, according to a recent report.
The cash is part of the regulator’s whistleblower program, which marked its first anniversary this week. The pot of gold represents the whistleblowers’ share — which can range from 10 percent to 30 percent of what the government recovers because of a tip. The tips range from insider trading and rigged bonds deals to cover-ups of cooked books and bribes.

SEC officials would not say when the first awards under the program would be made — but securities lawyers said the cash payout would certainly lead to even more tips.

“The SEC is receiving two to three tips every day that are worth pursuing, and they’re farming them out to staffers for investigation,” said Lawrence A. West, a lawyer with Latham & Watkins.


Read more: http://www.nypost.com/p/news/business/whistleblower_gold_EgZdzyFPP8vZ8IraUSMvxO

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