Companies should consider review of their compliance
programs and procedures for addressing internal complaints or tips
of potential misconduct.
On September 23, 2020, the Securities and Exchange Commission
("SEC") adopted several amendments to the rules governing
its whistleblower program and published guidance regarding the
process for determining award amounts for eligible whistleblowers.
Established in 2012, the program empowers the Commission to reward
individuals who voluntarily provide original information about a
violation of the federal securities laws that leads to a successful
enforcement action. Whistleblower awards may total not less than
10% nor more than 30% of monetary sanctions collected in the
covered and related actions.
