Larger Bounties Spur Surge in Fraud Tips according to a recent Wall Street Journal article. The article can be read in full by clicking on the link to it at the start of this post. It describes that large bounties are now available to whistle blowers who report financial fraud. This should help uncover and stop financial fraud like the Madoff scandal and others that have harmed investors and the financial system. The article states in part:
New awards for informants who help the Securities and Exchange Commission uncover fraud are already prompting a surge in tips, the agency says.
The Dodd-Frank financial law passed in July provides for the larger bounties, with the hope of fingering wrongdoers such as Bernard Madoff before they swindle thousands of people.
People who supply “original information” about large frauds could net as much as 30% of the penalties and recovered funds collected by the SEC, which could add up to a multimillion-dollar payout.
Lawyers who represent whistle-blowers have been spreading the word about the new incentives.
“We’ve gotten some very high-quality tips,” said SEC official Stephen Cohen.
The consumer rights law firm of Lubin Austermuehle represents whistleblowers who are pursing qui tam lawsuits at any level of government, including claims under the Illinois Whistleblower Act, the Chicago whistleblower ordinance and the federal False Claims Act. Based in Chicago and Oak Brook, Ill., our Illinois and Wheaton, Naperville, and Chicago area qui tam and False Claims Act lawyers stand ready to represent whistleblowers throughout the United States — regardless of whether prosecutors have decided to join the lawsuit. If you know about fraud against a government agency and you’re ready to speak up, you can learn more about whistleblower lawsuits at a free, confidential consultation. To set one up, please contact Lubin Austermuehle online or call 630-333-0333 today.