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Today, the U.S. Securities and Exchange Commission (SEC) announced its enforcement results for the 2023 Fiscal Year. In addition to obtaining orders for $4.949 billion in financial remedies, the SEC awarded nearly $600 million to whistleblowers, a fiscal year record.
The SEC Whistleblower Program’s record fiscal year also included the single largest whistleblower award ($279 million) and the most whistleblower tips received in a single year (18,000).
“Year after year, the SEC Whistleblower Program continues to build on its immense success,” said whistleblower attorney Stephen M. Kohn of Kohn, Kohn & Colapinto. “The information and assistance provided by whistleblowers play an integral role in the Commission’s enforcement results.”
“It is no coincidence that as the SEC issues more and more whistleblower awards it also receives more and more whistleblower tips,” added Kohn. “These awards incentivize insiders to come forward and report misconduct, bolstering the Commission’s enforcement efforts and in turn protecting the American public from fraud.”
During the 2023 Fiscal Year, the SEC filed 784 total enforcement actions covering a wide range of securities law violations. The Commision highlights that FY 2023 was a successful year for enforcement efforts relating to crypto asset securities, Environmental, Social and Governance (ESG) issues, as well as whistleblower protection.
“As the SEC continues to increase its enforcement efforts in emergent areas such as crypto and ESG, the SEC Whistleblower Program will play a key role in the success of these efforts,” said Kohn.
