Risks to Financial Houses – “Has the Whistleblower Moment Arrived”
Kevin LaCroix at D & O Diary is on a roll this week on big picture subjects for the litigation industry. His post today focuses on the SEC announcing a $14 million payment to an anonymous whistleblower. The post also focuses on a series of related facts and announcements. Kevin’s post concludes as follows – the post is well worth reading in full to understand the basis for his conclusion:
"This latest award is huge – but the agency could just be getting started. I am going to go out on a limb here. I think that we [are] about to see many more whistleblower awards and we could see a number of awards even larger that the one just awarded. As stated by a former SEC official quoted in an October 1, 2013 Law 360 article about the award entitled "14M SEC Award is Just the Beginning" (here, subscription required), "This is just the first of what is likely to be many significant awards coming down the pike."