It took over five years, but we finally have a success story in the “professional whistleblower” area that I have been wondering about here since September 2010. On Friday, the SEC announced that it has awarded more than $700,000 to an industry expert (who was a company outsider) who conducted a detailed analysis that led to a successful SEC enforcement action. Sean X. McKessy, Chief of the SEC’s Office of the Whistleblower, stated that the award
“demonstrates the Commission’s commitment to awarding those who voluntarily provide independent analysis as well as independent knowledge of securities law violations to the agency. We welcome analytical information from those with in-depth market knowledge and experience that may provide the springboard for an investigation.”
