(Reuters) — The U.S. Securities and Exchange Commission has issued its largest-ever award of nearly $279 million to a whistleblower whose information helped the regulator’s enforcement efforts, it said on Friday.
The regulator did not disclose the case in question in its statement.
The price is more than double the $114 million they had issued in October 2020.
“As this award demonstrates, there is a significant incentive for whistleblowers to come forward with accurate information about potential securities law violations,” Gurbir Grewal, director of the SEC’s Division of Enforcement, said in a statement.
Payments to whistleblowers are made from an investor protection fund established by Congress and financed entirely by monetary penalties paid to the SEC by violators of securities laws.
Awards to whistleblowers can range from 10% to 30% of the money collected when the monetary penalties exceed $1 million.
“The whistleblower’s persistent assistance including multiple interviews and written submissions was critical to the success of these actions,” said Creola Kelly, director of the SEC’s Office of the Whistleblower.