January 20, 2016
New Report Offers Insights Into SEC Enforcement
Labaton Sucharow
Last week, Cornerstone Research released a new report, SEC Enforcement Activity Against Public Company Defendants, examining SEC actions initiated between fiscal years 2010 and 2015. Utilizing data from the SEC Enforcement Empirical Database, the report offers some detailed insights into SEC enforcement actions in recent years, such as: The number of enforcement actions continues to increase. In...
Articles & Perspectives
January 15, 2016
FINRA Priorities Signal Important Shift in Industry
Labaton Sucharow
Last week, the Financial Industry Regulatory Authority (FINRA) released its regulatory and examination priorities for 2016. FINRA’s letter highlights five areas for examination at brokerage houses and financial advisory firms, including standards of ethical behavior, alignment of firm and customer interests, and the management of conflicts of interest. FINRA’s chairman also stated intentions to specifically examine the...
Articles & Perspectives
January 7, 2016
The High Price of Secrets: The Whistleblower Revolution
Labaton Sucharow
Why the SEC Whistleblower Program Works March 20, 2020 Content has been updated In a recent piece on the FCPA Blog, I discuss how the SEC Whistleblower Program is revolutionizing the securities industry. The evidence is apparent in recent enforcement actions, such as a landmark case against JPMorgan announced just last month. The action, in which our client...
Articles & Perspectives
January 5, 2016
The Crucial Work Ahead: Building Ethical Corporate Cultures
Labaton Sucharow
In our ongoing work to protect individual whistleblowers and bring wrongdoing to light, we never lose sight of our fundamental goal: to help establish a culture in which corporations no longer retaliate against those who raise concerns about misconduct.I was reminded of the importance of communicating this goal while serving as a panelist at the...
Articles & Perspectives
December 18, 2015
Groundbreaking Enforcement Action Against JP Morgan
Labaton Sucharow
Today, the SEC announced that two J.P. Morgan wealth management subsidiaries agreed to pay $267 million to settle charges in an enforcement action initiated by information brought to the SEC by a Labaton Sucharow client, a J.P. Morgan executive. The enforcement is one of the largest and highest profile actions initiated by an SEC whistleblower...
Articles & Perspectives
December 9, 2015
Strong E&C Programs: New Report Examines Key Characteristics
Labaton Sucharow
Working at the forefront of whistleblower advocacy, we have previously discussed the numerous ways companies hinder or actively retaliate against individuals who choose to bring corporate misconduct to light. In fact, according to the Ethics and Compliance Initiative’s National Business Ethics Survey, more than 1 in 5 respondents said they experienced retaliation after reporting internally. We also continue...
Articles & Perspectives
November 24, 2015
Choosing to Act: Paths for Potential Whistleblowers
Labaton Sucharow
Among the many exciting trends examined in the recent annual report of the SEC Office of the Whistleblower, I was particularly impressed by the substantial growth in the number of tips received by the Commission. The nearly 4,000 tips—a record—not only illustrates growing public awareness of the program, but also demonstrates public action. Simply, a startling and increasing number...
Articles & Perspectives
November 23, 2015
Five Tips for Potential Corporate Whistleblowers
Labaton Sucharow
In a recent piece in The New York Times, I discuss some of the key considerations for SEC whistleblowers including when, how and what to report, and how to navigate the high pressure environment of the whistleblower’s workplace. To read the full article, see here.
Articles & Perspectives
November 20, 2015
5 Tips for Potential Whistleblowers
The New York Times
In an article in The New York Times, Jordan Thomas set out five tips prospective whistleblowers must keep top of mind while weighing the decision to report wrongdoing. Perhaps most important is that individuals must pay close attention to what information they report, to whom and when. Jordan also suggests “you don’t have to be...
Articles & Perspectives
November 17, 2015
SEC Whistleblower Office Annual Report: Two of Eight Awards to Labaton Sucharow Clients
Labaton Sucharow
Late yesterday, the SEC Office of the Whistleblower issued its annual report to Congress chronicling the program’s activities during the prior fiscal year. We summarized the results in a piece for the FCPA Blog here. Looking at the eight whistleblower awards issued this past year, there are two notable firsts: the first whistleblower award to a...
Articles & Perspectives
November 9, 2015
Recent Whistleblower Award: Timing Matters
Labaton Sucharow
The SEC just announced another whistleblower award, granting more than $325,000 to a former investment firm employee whose tips led to a successful enforcement action. This award, like the $30 million award granted to a whistleblower last year, came with a caveat: the whistleblower could have received a larger award, if not for a delay in reporting. While...
Articles & Perspectives
November 3, 2015
A Bold Step Forward: New UK Rules Empower Whistleblowers
Labaton Sucharow
Just last month, the UK’s Financial Conduct Authority (FCA), together with the Bank of England’s Prudential Regulatory Authority, published strident new rules to encourage and support whistleblowers at financial institutions. By September 2016, banks and credit unions with more than £250 million in assets must standardize internal whistleblowing programs. They must also assign a senior manager to...
Articles & Perspectives