SEC.gov | SEC Awards More Than $3 Million to Whistleblowers in Two Enforcement Actions

The Securities and Exchange Commission today announced awards totaling more than $3 million to two whistleblowers in separate enforcement proceedings.

In the first order, the SEC awarded approximately $3.2 million to a whistleblower who alerted SEC staff to violations, identified key issues for staff to focus on, and provided subject matter expertise to the staff that conserved SEC resources.

In the second order, the SEC awarded a whistleblower more than $100,000 for significant information and ongoing assistance.  The whistleblower’s information and cooperation helped the SEC detect and stop an ongoing fraud preying on investors.

“These whistleblowers provided new, important information that aided the SEC in learning about and understanding the violative conduct,” said Emily Pasquinelli, Acting Chief of the SEC’s Office of the Whistleblower.  “The continuing assistance and cooperation offered by whistleblowers can prove critical to the successful resolution of an enforcement action.”

The SEC has awarded approximately $816 million to 153 individuals since issuing its first award in 2012.  All payments are made out of an investor protection fund established by Congress that is financed entirely through monetary sanctions paid to the SEC by securities law violators.  No money has been taken or withheld from harmed investors to pay whistleblower awards.   Whistleblowers may be eligible for an award when they voluntarily provide the SEC with original, timely, and credible information that leads to a successful enforcement action.  Whistleblower awards can range from 10 percent to 30 percent of the money collected when the monetary sanctions exceed $1 million.

As set forth in the Dodd-Frank Act, the SEC protects the confidentiality of whistleblowers and does not disclose any information that could reveal a whistleblower's identity.

For more information about the whistleblower program and how to report a tip, visit www.sec.gov/whistleblower.

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Recent News Article About Tyler Tysdal

Business discussion: The significance of hiring that first employee

How important is the first hire for startup owners? Tyler Tysdal explores one of the most significant steps when setting up a business.

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Hiring the first employee is by intents and purposes, a milestone for the business. As such, it has to be done right, since it will set the tone for future hires. For that first worker, owners should consider a number of things.

First off, what will the employee be doing? It should be clear from the onset if the first hire will be there for support or if they’ll be paid to do independent work. Another important question that business owners have to answer is the nature of the tasks that need completing. Will the employee be doing manual labor (i.e., fix up the office, run errands) or will they be required to meet up with potential clients to increase sales and further market the company. Being clear on these details makes the hiring process go smoother.

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Now, when business owners finally have a clear picture of their ideal first employee, Tyler Tysdal advises that the next step would be to be patient. There’s a chance that applications will come piling in. If that’s the case, owners shouldn’t immediately accept the first person to go through the door, no matter how attractive the resume of the applicant may be. Owners should remember that this is someone they’ll probably work closely with every day until the company expands.

Finally, background checks are also critical, and should never be skipped, Tyler Tysdal adds.
Real estate investor Tyler Tysdal is the Managing Partner of Platte Management, a single-family office with active investment strategies. He graduated from Georgetown University with a BSBA in Finance and received his MBA from Harvard Business School. For more business-related reads, go to this site.