2013 Annual Whistleblower Report – Dodd-Frank

Posted by Amanda Nieweler

on April 15, 2014

graphic logo securities and exchange commission united statesThe Sec has released its 2013 annual report on the Dodd-Frank WhistleBlower Program and things seem to be looking up. The SEC’s Office of the Inspector General released the report on January 18, 2013 and concluded that the overall whistleblower program was effective and operated appropriately.

It also concluded that the rules implementing the whistleblower provisions of the Dodd-Frank Act to be quite user-friendly, and that the SEC’s Office of the Whistleblower’s outreach efforts were strong and prompt when responding to information received from whistleblowers.

Here are a few statistics proving the success of the program in the past few years – statistics have only been gathered within the past few years:

In September 2013, the biggest payout was awarded to a whistleblower – $14 million.

The number of tips and complaints increased in 2013 from 2012. 2012 saw 3,001, and 2013 saw 3,238. 2011 saw only 334.

During the 2013 fiscal year, the Office returned over 2,810 phone calls from members of the public.

The most common complaint categories reported were Corporate Disclosure Financials (at 17.2%), Offering Fraud (at 17.1%), and Manipulation (at 16.2%).

In 2013, all 50 US states received a whistleblower submission, as well as some of the US territories in the Caribbean.

55 foreign countries sent in a whistleblower tip in 2013.

At the end of the day, protecting whistleblowers is what the program is all about.

The complete report can be read here.

Integration of a whistleblower hotline is powerful tool to help manage risk.

Waste, fraud and abuse of authority can all be combated by having an independent reporting mechanism that’s available to your employees to report malfeasance. WhistleBlower Security should be one of the first places your employees can go to report on any perceived wrongdoing or perceived risk.

Whether it’s for regulatory compliance, financial transparency, corporate governance, employee, client, investor or patient relations, becoming WhistleBlower Secured™ will enhance your corporate integrity and empower your employees to contribute to an ethical workplace.

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6 Steps to Implement an Ethics Reporting System