On May 25 2011, in a 3-2 vote, the US Securities and
Exchange Commission (SEC) approved its final rules (US rules)
to implement the whistleblower award program of Section 21F of
the Securities Exchange Act of 1934, which was added by Section
922 of the Dodd-Frank Wall Street Reform and Consumer
Protection Act.
The US rules establish the standards and procedures the SEC
will apply in awarding whistleblowers monetary compensation for
providing tips about possible securities law violations
(including violations of the Foreign Corrupt Practices Act)
that lead to successful SEC enforcement actions and make
definitions which set the contours for protections of
whistleblowers under the Dodd-Frank Act's anti-retaliation
provisions.
Under the US rules, a whistleblower who voluntarily provides
the SEC with original information that leads to a successful
enforcement by the SEC that results in monetary sanctions of
more than $1 million arising out of the same core facts...