How to Report Visa Fraud for a Whistleblower Reward
Last week, the government announced that India-based management consulting firm Mu Sigma would pay $2.5 million to settle claims that it evaded H-1B visa requirements and brought employees to the U.S. on B1 visitor visas, misrepresenting the nature of their intended employment. In announcing the settlement, Immigration and Customs Enforcement stated that the Mu Sigma investigation was launched by a whistleblower...
Deutsche Bank Pays More than $16M to Settle SEC Charges of FCPA Violations
Last week, the SEC announced that German-based banking giant Deutsche Bank agreed to pay more than $16 million to settle charges it violated the Foreign Corrupt Practices Act (FCPA) by hiring relatives of foreign officials in China and Russia to get investment banking business. See SEC Press Release. According to the SEC’s order, these so-called "referral hires" bypassed the bank's merit-based hiring process and...
An international whistleblower has been awarded half a million dollars for helping the SEC with a successful enforcement action. Pursuant to the Dodd-Frank Act, the whistleblower’s identity was not revealed. SEC
Question of the Week — Should the SEC expedite its review of whistleblower claims?
Good things come to those who wait—at least that’s what most experienced whistleblowers will tell you. Whether they filed a complaint in court or submitted evidence to a regulatory agency, those who have reported fraud know firsthand that the legal process can take a great deal of time. Whistleblowers often wait several years before ever seeing the proverbial fruits of their labor. So when it comes to the...
You know about fraud, waste, abuse, or corruption by an individual or a company. Someone is getting by with cheating -- taking money from the government, taxpayers, or investors, or even harming others, such as patients. You are deeply troubled about it and want the proper authorities to stop it. You are worried whether you will be heard, taken seriously, and protected. You wonder if your information fits within a...
Calling all FCPA Whistleblowers — The CFTC Wants You!
If you have information on Foreign Corrupt Practices Act (FCPA) violations in the commodities or derivatives markets, the Commodity Futures Trading Commission (CFTC) wants to hear from you. The agency made this clear in a recently-issued CFTC "Whistleblower Alert" calling on all FCPA whistleblowers to step forward and report what they know.
The agency even dangled the potential for monetary rewards for those...
Blowing the Whistle on Data Breaches and Cybersecurity Flaws
With increasing dependence on technology, cybersecurity has emerged as a critical issue for customers, investors, and government regulators. Data breaches and other cybersecurity incidents can have devastating effects. In 2018, the Council of Economic Advisers estimated that malicious cyber activity cost the U.S. economy up to $109 billion dollars in 2016 alone.
Typically, the public only learns of such flaws and...
The SEC made a $3 million whistleblower award to be shared by multiple anonymous whistleblowers who jointly submitted a tip to the SEC Whistleblower Program regarding their employer. The tip, reporting an alleged securities law violation that impacted retail investors, led to a successful enforcement action by the SEC. The SEC also noted that the whistleblowers had undertaken significant efforts to report the issues internally and seek to have them corrected. SEC
SEC Gives First Ever Whistleblower Award Under Rule That Incentivizes Internal Reporting
On May 24, the Securities & Exchange Commission announced that it awarded over $4.5 million to a whistleblower who both reported allegations of securities fraud at a company internally and shared this information with the SEC. This is the first time since the creation of its whistleblower rewards program that the SEC awards a claimant under Rule 21-F4(c)(3) of the Exchange Act, a provision designed to encourage...
The SEC announced an award of more than $4.5 million to an anonymous whistleblower. The whistleblower sent an anonymous tip to the company alleging significant wrongdoing, and also submitted the same information to the SEC within 120 days of reporting it to the company. The company opened an internal investigation as a result of the whistleblower's tip, and subsequently self-reported to the SEC and another agency, resulting in a recovery by the government. SEC