Alerts

SEC Proposes Whistleblower Program Rules

November 12, 2010

On November 3, 2010, the Securities and Exchange Commission (“SEC”) proposed widely anticipated rules that would implement the whistleblower provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank”). The proposed rules reflect the SEC’s attempt to balance rewarding individuals who provide the SEC with high-quality tips leading to successful enforcement actions and minimizing potential, unintended consequences of paying such awards, such as undercutting internal compliance programs and rewarding wrongdoers.