On March 7, 2024, Deputy Attorney General Lisa Monaco (“DAG Monaco”) gave the keynote address at the American Bar Association’s 39th National Institute on White Collar Crime.1 She addressed the success she views in the Department of Justice’s (“DOJ”) efforts to combat white collar crime. Specifically, DAG Monaco highlighted recent convictions of executives at
SEC
Is Your Board Cyber-Ready? Leadership Steps to Support Corporate Cybersecurity
The growing concern around cyberthreats for companies across the nation is reflected in the increasingly crowded legislative landscape that provides guidance to organizations, employers, employees, consumers, and investors. As part of that landscape, enterprises — both public and private — operate under an unprecedented level of scrutiny. Last month, new SEC requirements went into effect…
Refreshing Whistleblower Processes for the Remote Workplace: Best Practices
At the onset of COVID in 2020, the Wall Street Journal reported that over a three-month period, there were a deluge of tips, complaints and possible referrals to the U.S. Securities and Exchange Commission (“SEC”). More recently, the SEC has reported record whistleblower awards. And although the extent to which remote work has contributed…
SEC Reports Significant Increases In FY2021 Whistleblower Program
Fiscal Year 2021 was a record year for the Whistleblower Program (the “Program”) of the U.S. Securities and Exchange Commission (the “SEC” or the “Commission”). The Commission released its 2021 Annual Report to Congress (the “Report”) last Monday and it reflects substantial increases in many different metrics. The Program has already awarded more than $1.1…
One Size Does Not Fit All: The Need for a Tailored Code of Conduct
Codes of Conduct are designed to set forth an organization’s values and principles, while detailing expectations for employees. In many ways, it is one of the most important documents an organization can develop. At times, when an employer decides it needs to develop a Code, it often asks counsel whether there is a sample Code…
A Look Back at Key Corporate Governance and Internal Investigations Issues in 2018
2018 was a transformative year for corporate governance. Record whistleblower awards, an increasing number internal investigations partly arising out of the #MeToo movement, an expansion of the role of companies’ boards, and corporate social responsibility all shaped 2018. This is our retrospective review of these trends.
Record Whistleblower Tips and Awards and Possible Changes
Companies…
Record High Awards and Supreme Court Decision Further Incent Potential Whistleblowers to Report Conduct to the SEC
On March 19, 2018, the Securities and Exchange Commission (“SEC”) announced its highest ever Dodd-Frank Act (“DFA”) bounty awards to three whistleblowers. These SEC awards represent a new milestone in the SEC’s ongoing efforts to incentivize would-be whistleblowers to report unlawful conduct directly to the Commission. Two whistleblowers will divide a nearly $50 million award…
New Chairman and Board Members Appointed to the SEC Board Created by the Sarbanes-Oxley Act of 2002
The Securities and Exchange Commission recently announced the appointment of William D. Duhnke III as Chairman and J. Robert Brown, Kathleen M. Hamm, James G. Kaiser, and Duane M. DesParte as board members of the Public Company Accounting Oversight Board (PCAOB). The Sarbanes-Oxley Act of 2002 established the PCAOB to oversee public companies and broker-dealers. …
U.S. Securities and Exchange Commission Surpasses $100 Million in Awards Through Whistleblower Program
On August 30, 2016, the U.S. Securities and Exchange Commission (“SEC”) announced that it surpassed the $100 million mark in monetary awards for whistleblowers. Through the enactment of the Sarbanes-Oxley Act of 2002 and the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (“Dodd-Frank Act”), Congress established the whistleblower program to incentivize whistleblowers…
SEC Announces Third-Highest Award Ever to Whistleblower
On May 17, 2016, the Securities and Exchange Commission (SEC) announced that it would award between $5 million and $6 million, the third-highest award ever, to a whistleblower who provided information detailing securities violations committed by the whistleblower’s former employer. Under the so-called “bounty” provision of the Dodd-Frank Act, the SEC is authorized to award…