Editors

Harry Cassin
Publisher and Editor

Andy Spalding
Senior Editor

Jessica Tillipman
Senior Editor

Richard L. Cassin
Editor at Large

Elizabeth K. Spahn
Editor Emeritus

Cody Worthington
Contributing Editor

Julie DiMauro
Contributing Editor

Thomas Fox
Contributing Editor

Marc Alain Bohn
Contributing Editor

Bill Waite
Contributing Editor

Shruti J. Shah
Contributing Editor

Russell A. Stamets
Contributing Editor

Richard Bistrong
Contributing Editor

Eric Carlson
Contributing Editor

Bill Steinman
Contributing Editor

CFTC awards whistleblower $2.5 million

The Commodity Futures Trading Commission awarded a whistleblower $2.5 million Monday for assisting “at every step” of an investigation that led to a successful enforcement action. 

The CFTC said it reduced the award because the whistleblower delayed submitting information about the wrongdoing. “Failure to report violations in a timely manner can lead to additional financial loss to customers or the general public,” the CFTC’s redacted award order (pdf) said.

We hope this case illustrates the importance of reporting violations to the CFTC as soon as reasonably possible,” the CFTC’s James McDonald said. 

By law, the CFTC protects the confidentiality of whistleblowers and doesn’t disclose information that might directly or indirectly reveal a whistleblower’s identity.

The program rewards people who voluntarily report violations of the Commodity Exchange Act if the information leads to a successful CFTC enforcement action resulting in sanctions of more than $1 million.

Since issuing its first award in 2014 the CFTC has awarded more than $90 million to whistleblowers.

The CFTC regulates the U.S. derivatives markets, including futures, options, and swaps. Its enforcement division investigates violations of the Commodity Exchange Act and the CFTC Regulations, such as fraud, market manipulation, and illegal trade practices.

_____

Harry Cassin is the publisher and editor of the FCPA Blog.

Share this post

LinkedIn
Facebook
Twitter

Comments are closed for this article!