On 21 April 2025, the United States Securities and Exchange Commission (US SEC) announced a whistleblower award totalling approximately $6 million to joint whistleblowers whose original and credible information led to the opening of an SEC examination and ultimately triggered a successful enforcement action.
Under the Dodd-Frank Act, the SEC maintains strict confidentiality of all whistleblower identities. Awards can range from 10% to 30% of monetary sanctions collected, provided the total exceeds $1 million. The funds are disbursed from an investor protection fund established by Congress, which is financed entirely by penalties paid by securities violators.
Jonathan Carr, Acting Chief of the US SEC’s Office of the Whistleblower stated: “Today’s award illustrates that the agency can leverage whistleblower information in various ways, including by prompting an examination, If that examination ultimately results in an enforcement action, the whistleblower may be eligible for an award.”
(Source: https://www.sec.gov/newsroom/press-releases/2025-67)
