SEC Dodd-Frank Whistleblower Rules Due Wednesday

Look for the Securities and Exchange Commission (SEC) to vote on the final rules governing the Dodd-Frank Whistleblower program on Wednesday, May 25, 2011. The big question will be whether the rules require that — as a predicate to receiving a bounty — a whistleblower must first report to a corporation’s internal compliance department. Although this was not set forth as a requirement in the proposed rules, the SEC had asked for comments in this area. Comments in favor of making this a requirement were received from the poster children for failed internal compliance programs including Tyco, Citi Group and Pfizer. If the SEC does not buckle to the whims of the Wall Street fraudsters, look for the Tea Partiers in Congress to take a crack at a corporate fraud protection bill as an end run around the SEC.

As we slowly emerge from a financial crisis of historic proportions, can we really afford less SEC involvement in compliance enforcement? If Wall Street has its way, the foxes would soon be guarding the chicken coop.

Location : Whistleblowers Blog

Categories : Whistleblowers Blog

Response

One Response to SEC Dodd-Frank Whistleblower Rules Due Wednesday

  1. Andrew Clark says:

    To advise, I work for a very large Bank with a very large mortgage subsidiary and since April 15 pursued all available internal channels before filing the official report on May 25. I reported every conceivable Dodd-Frank, SAFE, and labor violation in every combination possible and on May 25 submitted to the Agency an extremely detailed, complete report of all possible violations in every conceivable combination. The documentation in my report is exhaustive, detailed, and transaction specific when possible.

    So….if a current or past employee from such a Company as I describe thinks they have “qui tam”, rights on pretty much anything they can think of………. they don’t. I do and they belong to my Employer as provided for in the May 25 decision.

    An attorney or individual who files a claim under the new rules or subsequent to my filing will almost certainly not have “qui tam” rights and should carefully consider this before filing an action.


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