Whistleblower Provisions and Protections Assistance and information from a whistleblower who knows of possible secu- rities law violations can be among the most powerful weapons in the law en- forcement arsenal. Through their knowledge of the circumstances and individu- als involved, whistleblowers can helo SEC and DOJ identify potential violations much earlier than might otherwise have been possible, thus allowing SEC and DOJ to minimize the harm to investors, better preserve the integrity of the U.S. capital markets, and more swiftly hold accountable those responsible for unlawful conduct. The Sarbanes-Oxley Act of 2002 and the Dodd-Frank protections. Section 21F authorizes SEC to provide mon- Act of 2010 both contain provisions affecting whistleblow- etary awards to eligible individuals who voluntarily come ers who report FCPA violations. Sarbanes-Oxley prohibits forward with high quality, original information that leads issuers from retaliating against whistleblowers and provides to an SEC enforcement action in which over $1,000,000 in that employees who are retaliated against for reporting pos- sanctions is ordered. *” The awards range is between 10% sible securities law violations may file a complaint with the and 30% of the monetary sanctions recovered by the gov- Department of Labor, for which they would be eligible to ernment. The Dodd-Frank Act also prohibits employers receive reinstatement, back pay, and other compensation” from retaliating against whistleblowers and creates a private Sarbanes-Oxley also prohibits retaliation against employee right of action for employees who are retaliated against.*”” whistleblowers under the obstruction of justice statute.*”! Furthermore, businesses should be aware that retali- In 2010, the Dodd-Frank Act added Section 21F to ation against a whistleblower may also violate state, local, the Exchange Act, addressing whistleblower incentives and and foreign laws that provide protection of whistleblowers. 82 HOUSE_OVERSIGHT