The award represents the second largest to date from the SEC Whistleblower Program, which is now entering its 6th year. The program allows eligible whistleblowers to receive between 10 percent and 30 percent of the total monetary sanctions collected in a successful enforcement action.
Labaton Sucharow's whistleblower client provided high-quality information that led to sanctions against a major player in the financial markets. In this case, as in others, the whistleblower elected to remain anonymous to avoid retaliation and blacklisting. The SEC does not disclose the specific cases where whistleblowers played a role in order to prevent indirectly revealing the identity of the whistleblower.
"My client blew the whistle when others in the financial services industry were content to remain silent and allow investors to be harmed," said Jordan A. Thomas, SEC whistleblower lawer and Chair of Labaton Sucharow's Whistleblower Representation Practice. "In the coming years, I predict that many of the SEC's largest and most significant cases will be the result of courageous whistleblowers. This is just the beginning."
Mr. Thomas also represented the first officer of a public company to receive a whistleblower award and, in a separate instance, worked on the first case in which the SEC successfully charged an employer with retaliating against a whistleblower.
Due to the unique protections and incentives offered by the SEC Whistleblower Program, eligible whistleblowers—including Labaton Sucharow's client in this case—have the ability to report possible federal securities violations anonymously with employment protections and the opportunity to earn substantial monetary awards. To ensure that adequate funds are available to pay awards, Congress has established a replenishing Investor Protection Fund, which has a current balance in excess of $400 million.
About Labaton Sucharow LLP
For more than 50 years, Labaton Sucharow has been one of the country's premier law firms comprehensively representing businesses, institutional investors, and consumers in complex securities and business litigation. It was the first law firm in the country to establish a practice exclusively focused on protecting and advocating for whistleblowers who report possible securities violations to the SEC. Building on the Firm's market leading securities litigation platform, the Whistleblower Representation Practice leverages a world-class in-house team of investigators, financial analysts and forensic accountants with federal and state law enforcement experience to provide unparalleled representation for whistleblowers. Labaton Sucharow is consistently among the top plaintiff litigation firms based upon its rankings in Chambers & Partners, The Legal 500, The National Law Journal's Plaintiffs' Hot List and Benchmark Litigation. More information about the Firm and its Whistleblower Representation Practice is available at www.labaton.com.
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SOURCE Labaton Sucharow LLP