The Commodity Futures Trading Commission (CFTC) has granted a $2 million whistleblower award to an individual for both a CFTC action and a related action brought by another federal regulator.
“The Commission is dedicated to working cooperatively with other federal regulators and this case highlights how successful we can be when we appropriately share high-quality whistleblower information and analysis with our law enforcement partners,” James McDonald, director of CFTC’s Division of Enforcement, said. “I look forward to seeing continued growth in our Whistleblower Program, both in terms of tips received and awards ordered.”
CFTC officials said the action recognizes the contribution of a whistleblower in providing critical information through independent analysis of market data.
“I expect more awards to be issued to whistleblowers who provide our Enforcement Division with information based on their expert analysis of market data and to whistleblowers based on related actions,” Christopher Ehrman, director of CFTC’s Whistleblower Office, said.
Herman said the award illustrates two key aspects of the agency’s Whistleblower Program. First, an individual doesn’t have to be an insider to receive a whistleblower award. Second, the Commission can pay awards based on related actions brought by other regulators.
The Whistleblower Program was created under Section 748 of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010.