The laws that manage the financial sector were significantly changed by the U.S Congress when they passed the Consumer Protection Act and the Dodd-Frank Wall Street Reform in 2010. The enacting of these legislations was the most transforming action since the occurrence of the Great Depression. There have been several improvements that have been brought about by the Dodd-Frank Act, and this includes the formation of the whistleblower protection program. The new program is dedicated to offering an outstanding job security and financial motivation to any individual who voluntarily provides useful information on fraudulent organizations that violate the laws of the federal securities. All such offenses are reported to the U.S Securities and Exchange Commission (SEC).
Since the implementation of these remarkable laws, there has been the formation of various law firms that are committed to offering legal representation to the SEC whistleblowers. One of such companies is the Labaton Sucharow firm, which was a pioneer in the industry. The organization has currently built an outstanding securities litigation platform, a well-established internal investigation team that is under the control of a Whistleblower Representation Practice, specialists in the finance sector, and forensic accountants that are well informed and experienced in the enforcement of both federal and state laws. The ventures of the firm are controlled by Jordan A. Thomas, who formerly served the SEC as the Assistant Director and its Assistant Chief Litigation Counsel of the Division of Enforcement. Mr. Tomas played a significant role in the creation of the Whistleblower Program when he was still in office.
The laws that protect the SEC whistleblowers indicate that the informant is entitled to 10-30 percent of all the money that the commission will collect as fines due to information that they offer. The threshold of this amount is one million dollars, but if it is reached, additional money can be provided depending on the sanctions that will be set by other related law enforcement organizations. The whistleblowers are advised by the commission to use attorneys as representatives if they would like to report cases anonymously. The Doff-Frank Act protects the informants by making it illegal for any employer or company administrator to try and revenge to an individual who voluntarily offers useful information to the SEC.
Member of the public can learn more about the SEC Whistleblower Program through the Whistleblower Representation Team, which can be reached via the SEC website, emails, and telephones. The commission does not charge any fee for initial consultations. The client-attorney privilege protects all information that is offered and it is advisable for whistleblowers not to disclose details such as their names and addresses.