Last week the United States Commodity Futures Trading Commission (CFTC) announced its third and largest award, more than $10 million, as part of its whistleblower program. The CFTC did not disclose the identity of the whistleblower or details about the information that led to the enforcement action.
Christopher Ehrman, the Director of the CFTC’s Whistleblower Office, stated, “The Whistleblower Program is working. My hope is that this multimillion dollar award will encourage others to come forward with information that will assist the Commission in protecting our markets.”
The CFTC’s Whistleblower Program was created by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. Whistleblowers who voluntarily provide the CFTC with unique and useful information regarding violations of the Commodity Exchange Act that leads to a successful enforcement action may be eligible for an award. Whistleblower awards can range from 10 percent to 30 percent of the money collected when the monetary sanctions exceed $1 million. The law also includes provisions to protect the anonymity of the whistleblower if represented by counsel, and provisions to safeguard whistleblowers from retaliation.
For more information about the CFTC Whistleblower Program and the Firm’s resources in this area, please visit the Robbins Geller Rudman & Dowd LLP Whistleblower page.