Size of SEC Whistleblower Awards Continues to Grow

On August 30, 2016, the SEC announced an award of more than $22 million to a whistleblower whose tips and assistance helped the SEC stop an ongoing fraud at the whistleblower’s employer. This is the SEC’s second-largest award, trailing only a September 2014 award of $30 million. As is typical, the SEC’s order says very little about the fraud or the whistleblower’s actions. However, the SEC’s order notes that, in determining the appropriate percentage to award the whistleblower (by statute between 10 percent to 30 percent of the sanctions collected), the whistleblower’s culpability was considered.