Labaton Sucharow LLP is the first law company to establish a practice that is exclusively meant to represent Securities and Exchange Commission (SEC) whistleblowers. Recently, SEC made an announcement that Labaton Sucharow LLP had awarded over 17 million U.S Dollars to a whistleblower that was represented by the law firm. The company gave the whistleblower a representation after exposing an incident that had happened in the financial services industry.
The Securities and Exchange Commission whistleblower initiative is now six years old since it was established. The 17 million U.S Dollars is the second biggest award since the program was launched. The whistleblowers are awarded an amount ranging between 10 percent and 20 percent of the total funds acquired after a successful enforcement action.
The law firm’s client provided quality information that led to a successful sanction against a major player in the financial markets. The whistleblower chose to remain anonymous over fears of being blacklisted or retaliated by the company. The SEC program does not reveal the details of the specific areas of the case where a client played a role in preventing exposing them indirectly. A SEC whistleblower lawyer, Jordan A. Thomas was quoted praising the client for being courageous enough to blow the whistle when others chose to remain silent. The attorney expressed hopes that more courageous whistleblowers will come forward in the future to report the wrongdoings in the financial markets.
Mr. Jordan was also the first officer working for a public company to be awarded a whistleblower award. He also worked on a first case where he was able to charge an employer who was accused of retaliating against a whistleblower.
The SEC whistleblowers program enables potential whistleblowers to report federal securities violations anonymously. The program assures eligible whistleblowers substantial monetary awards as well as employment protections. An Investor Protection Fund was established by the Congress to ensure that funds are available to pay the qualified whistleblower’s awards. The Investor Protection Fund has a current balance of more than 400 million U.S Dollars.
Labaton Sucharow LLP has been in operation for more than 50 years. The law firm represents clients from different fields including businesses, institutional investors, and consumers. The law firm was the first one to start a program with a goal of representing whistleblowers that report cases of wrongdoings in the financial markets. The firm has a world-class team of financial analysts, investigators, and forensic accountants that have experience on how to handle such cases.