Since the launch of the Whistleblower program by the Securities and Exchange Commission (SEC),securities fraud cases have dropped significantly. This is due to thousands of tipsters who submit tips for possible cases of immaterial violations. The tipsters are promised money,so they work hard to get it,usually with help from a whistleblower law firm.
In the past five years,SEC has spent millions of dollars on tipsters. In 2016 alone,over 22 million was paid. Apparently,this is the highest figure ever spent by SEC on tipsters. Winning the award money is not a simple thing. You have to be aggressive and informed considering that there are thousands of other tipsters with the same goal.
Here are 4 important secrets for securities fraud and whistleblowing that you should know:
1. Understand the Rules
Since SEC has the power to change the securities and exchange laws,you have to stay updated before you can make any submission. You may find it necessary to first visit their site.
2. High-Quality Tips
SEC does not award you just because you have submitted securities fraud tips that you consider insightful. The information has to be high-quality. Simply put,it has to be unique and effective in stopping a securities fraudulent case.
3. Be Specific
It’s unlikely that SEC will follow up tips with blanket assertions. They want tipsters who are concise and relevant. So,you don’t have to provide general inference but go straight to the point.
4. Act Fast
You don’t have to sit on your tip after finding out that it’s credible and great for helping you win the SEC award. Just compile the necessary report and submit it to SEC. You have to do it before someone else with a similar insight beats you.
With the above securities fraud and whistleblowing secrets,it’s easier to boost your chances of winning the SEC award. It takes smart and aggressive approaches like the ones highlighted above to beat the long list of would-be SEC tipsters.