Washington, D.C. – September 21, 2018. The public comment period for the U.S. Securities and Exchange Commission (“SEC”) proposed amendments to the rules governing its successful whistleblower program closed on Tuesday, September 18. More than 99% of the comments posted on the SEC’s public comment page oppose the proposed rules. Continue Reading SEC Receives Extensive Criticism in Comments on Proposed Changes to Whistleblower Program
Full transparency needed evaluate the Commission’s proposed rules.
Washington, D.C. September 17, 2018. Today the National Whistleblower Center (NWC), the nation’s leading whistleblower advocacy group, formally requested the U.S. Securities Exchange Commission (SEC) to extend the public comment period for proposed changes to the SEC Whistleblower Program. Continue Reading Whistleblower Advocacy Group Requests SEC Extend Public Comment Period on Controversial Changes to Whistleblower Program
On Friday, August 31, CBS News will air a segment featuring biofuels fraud whistleblower, Alex “Sasha” Chepurko on the season finale of Whistleblower. The episode, Case of “THE 100 Million Dollar Scam”, details Chepurko’s incredible story of blowing the whistle on a nationwide biofuels scam. Continue Reading CBS News Special Features Biofuels Fraud Whistleblower
Washington, D.C. August 30, 2018. Today, the National Whistleblower Center (“NWC”) released a report analyzing data from Foreign Corrupt Practice Act (“FCPA”) cases since the law was passed in 1977, including several cases decided in 2018.
The Foreign Corrupt Practices Act is one of the most important whistleblower laws, especially for foreign nationals and for combatting corruption and bribery occurring on foreign soil. The FCPA prohibits companies issuing stock in the U.S. – and their subsidiaries – from bribing foreign officials to win contracts and other business. Continue Reading The Foreign Corrupt Practices Act is an Effective Tool to Stop Illegal Activity and Catch Illicit Profits
On June 29, 2018 the U.S. Securities and Exchange Commission (SEC) announced proposed amendments that undermine the rules governing its successful whistleblower program.
National Whistleblower Center (NWC) has issued an action alert urging commentary on these proposed amendments. The SEC proposal puts caps on rewards related to cases resulting in $100 million or more in fines. This removes the incentive to blow the whistle on large corporations committing fraud, and consequently will allow large corporate fraud to go unreported and unpunished.
The SEC is proposing controversial amendments to its whistleblower program. The new rules would potentially limit the size of awards that whistleblowers are entitled from successful qui tam action. Under current directives, a whistleblower who provides information that leads to an SEC enforcement action receives 10%-30% of the recovery by the agency. This monetary provision incentivizes potential whistleblowers to disclose rather than remain silent.
Today, we expect Wall Street to be as much a part of the community as Main Street. For corporations with social responsibility commitments and investor groups with social responsibility mandates, whistleblowers are a crucial force for compliance. Whistleblowers ensure that businesses play by the rules, including those that they’ve set for themselves, as part of their social responsibility commitments. As the number of whistleblower claims rise, both in quality and scope, the potential impact of these cases on socially responsible investing, and on companies committed to and impacted by such frameworks, needs to be placed in the spotlight.
On Tuesday October 25th, the Securities and Exchange Commission announced a global settlement along with the U.S. Department of Justice and Brazilian authorities that requires aircraft manufacturer Embraer S.A. to pay more than $205 million to resolve alleged violations of the Foreign Corrupt Practices Act (FCPA).
Washington D.C. October 9, 2016. Och-Ziff Capital Management Group (Och-Ziff), A New York-based alternative investment and hedge fund manager, agreed to pay a combined total amount of U.S. criminal and regulatory penalties of approximately $412 million to settle charges it violated the Foreign Corrupt Practices Act. In separate announcements yesterday the Securities and Exchange Commission (SEC) and the Department of Justice (DOJ) each described the actions of Och-Ziff which led to the charges the company violated the FCPA. Continue Reading Och-Ziff Hedge Fund Pays Over $400 Million to Settle Foreign Bribery Charges
Washington, D.C. October 5, 2016. The Securities and Exchange Commission (SEC) announced today that Anheuser-Busch InBev has agreed to pay $6 million to settle charges that it violated the Foreign Corrupt Practices Act (FCPA) and chilled a whistleblower who reported the misconduct. Continue Reading Anheuser Busch InBev Settles SEC Claim It Silenced Employee