The tipster repeatedly reported the problem internally before reaching out to the SEC, the regulator said in a Tuesday statement.
“This whistle-blower stepped forward and helped the agency better protect Main Street investors,”
The SEC didn’t provide information on the person’s identity or the company involved, citing federal law that protects confidentiality. The agency has paid more than $448 million to 81 individuals since issuing its first award in 2012.
Whistle-blowers are eligible for payouts if they voluntarily provide the SEC with unique information that leads to a successful enforcement action. Compensation can range from 10% to 30% of the money collected in a case where sanctions exceed $1 million.
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