BlackRock Pays to Settle SEC Whistle-Blower Violation Case

BlackRock Inc. agreed to pay $340,000 to settle a U.S. regulator’s allegations that it improperly forced departing employees to waive their rights to obtain whistle-blower awards (In re BlackRock, Inc., SEC, Admin. Proc. File No. 3-17786, order 1/17/17).

More than 1,000 employees signed separation agreements when they left BlackRock, the world’s largest asset manager, which said they would “waive any right to recover incentives for reporting of misconduct,” the Securities and Exchange Commission said in a statement Jan. 17. The employees signed the agreements to ensure they would receive separation payments from New York-based BlackRock, the SEC ...