Whistleblower Law Blog
SEC Grants $1 Million Reward to Whistleblower in Insider Trading Case
As reported by the Blog of Legal Times, the Securities and Exchange Commission (SEC) has awarded $1 million to Glen Kaiser and Karen Kaiser who blew the whistle on insider trading committed by Pequot Capital Management, Inc. The Kaisers provided the SEC with emails between a Microsoft employee and a Pequot employee, David Zilkh. Pequot agreed to pay the SEC civil penalties, including interest and disgorgement, totaling more than $27 million.
The new Dodd-Frank Act, which we blogged about here, requires the SEC to grant whistleblowers a 10% to 30% reward of the money recovered for information that leads to sanctions exceeding $1 million.