Dodd-Frank Would Provide Incentives for Whistleblowers

25 January 2011 Publication
Authors: Bryan B. House


Foley Partner Bryan House authored an article that appeared in BizTimes on January 25, 2011 titled “Dodd-Frank would provide incentives for whistleblowers.” House discusses the whistleblower provisions of the Dodd-Frank financial reform bill, which mandates that the Securities and Exchange Commission offer rewards to whistleblowers who provide information to the SEC about violations of the federal securities laws.

He notes that some companies have expressed concern that the new whistleblower statute will undermine internal corporate compliance programs by providing incentive for employees to bypass internal protocols in search of financial reward from the SEC. House adds that companies can lessen the risks associated with the whistleblower rules by fortifying internal audit procedures, promoting a culture of compliance and developing procedures for prompt self-reporting to the SEC.


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