The SEC whistleblower program is a federal initiative created under Section 922 of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. Administered by the SEC’s Office of the Whistleblower (OWB) within…
If you have served as an SEC whistleblower, you are eligible to receive an award equal to 10% to 30% of the monetary sanctions collected in a successful covered action. However, becoming eligible for…
The SEC possesses the authority to conduct civil enforcement proceedings, but it has no criminal prosecutorial power. The Department of Justice (DOJ) has the authority to conduct criminal investigations and prosecute federal offenses. The…
While the Federal Freedom of Information Act gives a broad presumption of public access, the SEC cannot routinely release transcripts for formal investigative testimony. According to the SEC’s rules, “in a nonpublic formal investigative…
SEC on-the-record testimony is sworn and transcribed investigative questioning. Unlike a deposition in civil litigation, a deposition to prove a crime, or a grand jury proceeding in a criminal case, its purpose is investigative.…
SEC subpoenas originate from civil inquiries by the SEC under the Securities Act of 1933, Securities Exchange Act of 1934, Investment Advisers Act of 1940, Investment Company Act of 1940, and other relevant statutes.…
Generally, recipients of an SEC administrative subpoena are required to produce nonprivileged materials that fall within the scope of the subpoena’s request (i.e., are “responsive”) and that are in their “possession, custody, or control.”…
SEC subpoenas can command the production of documents, the provision of testimony, or both. Notably, receiving an SEC subpoena does not establish the recipient’s culpability or guilt. Regardless of whether a subpoena demands the…
Settlement negotiations with the SEC’s Division of Enforcement can occur before or after the agency files formal charges. If they occur before charges, the division’s staff attorneys may present you with a negotiated settlement…
SEC Rule 10b-5 implements the broader prohibitions of Section 10(b) of the Exchange Act. It contains three subsections, all of which apply in civil enforcement cases brought by the SEC, and also in private…