On Friday, August 23, 2024, the U.S. Securities and Exchange Commission (SEC) announced an award of more than $500,000 to a whistleblower client of Phillips & Cohen LLP. According to the SEC, the client voluntarily provided original information that significantly contributed the Commission in an ongoing investigation and led to the success of the Covered Action.
Phillips & Cohen partners Sean McKessy and Emily Stabile represented the anonymous whistleblower.
McKessy, a partner at Phillips & Cohen and the first Chief of the SEC’s Office of the Whistleblower said, “The award shows the continued success of the whistleblower program to fight securities fraud and protect investors. Our client took enormous risks coming forward, and we are glad the SEC recognized the whistleblower’s contribution uncovering the illegal actions addressed by this enforcement action.”
Stabile, a partner at Phillips & Cohen, added, “The award marks the culmination of a long and difficult road for our client, who could not be more deserving. We are proud to have represented the whistleblower and to be able to apply our experience and expertise towards assisting clients like this in getting the results they deserve.”
Congress created the SEC Whistleblower Program as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. Under the SEC program rules, an individual who voluntarily provides original information that leads to an enforcement action resulting in over $1 million in monetary sanctions is entitled to receive an award in the amount of 10 to 30% of the money collected. SEC whistleblowers also are entitled to confidentiality and protection from job retaliation.
Phillips & Cohen represents whistleblowers in SEC whistleblower claims as well as qui tam lawsuits and the whistleblower reward programs of the Commodity Futures Trading Commission and the Internal Revenue Service. Its roster includes the founding Chief of the SEC Office of the Whistleblower, the former Director of the CFTC Whistleblower Office, the attorney with the most awards under the Dodd-Frank Act, and former government prosecutors and attorneys with decades of experience representing whistleblowers.