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Wednesday’s Congressional hearing on whistleblower protections for federal employees went a little off track at times.

Whistleblower advocates, including David Colapinto, general counsel for National Whistleblower Center, testified about the need for greater protections. Two inspectors general — including Michael Horowitz of the Department of Justice — talked about how the process works.
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Edward Snowden, the noted NSA whistleblower, last night spoke up in defense of his partner in…crime? Concern is growing that journalists who use leaked documents are starting to be pursued more aggressively as criminals.

Snowden fled the country after he revealed the National Security Agency’s mass surveillance program. Glenn Greenwald worked with Snowden, wrote about the leaks for the Guardian in 2013 and won a Pulitzer. See the whole thing play out in the documentary, CitizenFour. That won an Oscar.
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Securities and Exchange Commission

In announcing its first two whistleblower awards of the year, the Securities and Exchange Commission notes:

As set forth in the Dodd-Frank Act, the SEC protects the confidentiality of whistleblowers and does not disclose information that could reveal a whistleblower’s identity.
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The business writers at The New York Times promise a bump in white-collar crime news in 2020. At the same time, a series of reports raise concerns about oversight of the accounting industry.

From The Times:

Goldman Sachs is negotiating with the Justice Department to pay a penalty of about $2 billion for its role in the 1Malaysia Development Berhad scandal, known as 1MDB.


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We still hear a lot of talk about the reliability of second-hand information in relation to the Trump whistleblower. In November, a study of data from whistleblower reports filed at more than 1,000 companies found it very reliable. Secondhand reports are “47.7% more likely than firsthand reports to be substantiated by management, which suggests that management views many secondhand reports as credible.“
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Corporate compliance programs aim to make sure a company obeys laws and regulations. One problem with compliance — companies can sometimes make more breaking the rules than following them. And they are complicated. So, they mount compliance programs for show and look the other way. That’s where whistleblowers come in. Or go out. Some internal reporting programs work against whistleblowers, so insiders choose to report wrongdoing to a government agency or the press.
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Whistleblowers helped the government collect $3 billion in fines and recoveries in fiscal year 2019, up from $2.8 billion in 2018.

Medicare and Medicaid were big targets for fraudsters this year, as they have been in years past, according to the annual report from the Department of Justice. The list also includes military contractors, universities and a fish oil producer. Read the full list here.
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