{"id":5283,"date":"2012-04-20T00:00:00","date_gmt":"2012-04-20T05:00:00","guid":{"rendered":"https:\/\/institutionalinvestorsecuritiesblog.blawgcloud.com\/2012\/04\/sec_institutional_round_up_whi"},"modified":"2022-04-22T11:09:58","modified_gmt":"2022-04-22T16:09:58","slug":"sec-institutional-round-up-whi","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/sec-institutional-round-up-whi\/","title":{"rendered":"SEC Institutional Round Up: Whistleblower Bounty Program May Be Reviving Internal  Fraud Reporting Mechanisms and Investor Advocacy Group Wants Ban on Accounts Allowing Dually Registered Advisers and Brokers to Give Advice"},"content":{"rendered":"<p>Per BDO Consulting and Network Inc.\u2019s Quarterly Corporate Fraud Index, the Securities and Exchange Commission&#8217;s new whistleblower bounty program may be indirectly leading to a resurgence in corporate internal reporting mechanisms. The index recently reported that during 2011\u2019s fourth quarter, there was a jump in internal reports from employees about fraud incidents. This represented about 21.6% of all compliance issues that are reported internally.<\/p>\n<p>Reports related to fraud involve possible asset misuse, audit and accounting improprieties, and violations of the Foreign Corrupt Practices Act. Network CEO Luis Ramos told BNA that these high reporting numbers may be a result of overhauled processes that the organizations implemented in the wake of the establishment of the whistleblower bounty program, which was mandated by the the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act mandated. Changes have included revisions to anti-retaliation policies and better communication with the employees making the complaints. Many organizations also have now implemented predetermined investigative templates and processes, which allow them to more swiftly respond to a complaint.<\/p>\n<p>Fear of punishment by an employer is one reason many employees prefer to report alleged wrongdoing to an outside source rather than internally. Also, the whistleblower bounty program aims to reward 10-30% of monetary penalties to the person who filed the initial report when the penalty against the offending party is greater than $1 million, which is proving to be additional incentive for going to the SEC. However, it is not a good idea to attempt to pursue your whistleblower case on your own. Our whistleblower recovery lawyers at Shepherd Smith Edwards and Kantas, LTD, LLP will be happy to provide you with a no obligation consultation. You can also visit our SEC Whistleblower Recovery Center online today.<\/p>\n<div class=\"read_more_link\"><a href=\"https:\/\/www.investorlawyers.com\/blog\/sec-institutional-round-up-whi\/\"  title=\"Continue Reading SEC Institutional Round Up: Whistleblower Bounty Program May Be Reviving Internal  Fraud Reporting Mechanisms and Investor Advocacy Group Wants Ban on Accounts Allowing Dually Registered Advisers and Brokers to Give Advice\" class=\"more-link\">Continue Reading \u203a<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Per BDO Consulting and Network Inc.\u2019s Quarterly Corporate Fraud Index, the Securities and Exchange Commission&#8217;s new whistleblower bounty program may be indirectly leading to a resurgence in corporate internal reporting mechanisms. The index recently reported that during 2011\u2019s fourth quarter, there was a jump in internal reports from employees about fraud incidents. This represented about [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3938],"tags":[],"class_list":["post-5283","post","type-post","status-publish","format-standard","hentry","category-whistleblowers"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>SEC Institutional Round Up: Whistleblower Bounty Program May Be Reviving Internal Fraud Reporting Mechanisms and Investor Advocacy Group Wants Ban on Accounts Allowing Dually Registered Advisers and Brokers to Give Advice &#8212; Investor Lawyers Blog &#8212; April 20, 2012<\/title>\n<meta name=\"description\" content=\"Per BDO Consulting and Network Inc.\u2019s Quarterly Corporate Fraud Index, the Securities and Exchange Commission&#039;s new whistleblower bounty program may be &#8212; April 20, 2012\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.investorlawyers.com\/blog\/sec-institutional-round-up-whi\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"SEC Institutional Round Up: Whistleblower Bounty Program May Be Reviving Internal Fraud Reporting Mechanisms and Investor Advocacy Group Wants Ban on Accounts Allowing Dually Registered Advisers and Brokers to Give Advice &#8212; Investor Lawyers Blog &#8212; April 20, 2012\" \/>\n<meta name=\"twitter:description\" content=\"Per BDO Consulting and Network Inc.\u2019s Quarterly Corporate Fraud Index, the Securities and Exchange Commission&#039;s new whistleblower bounty program may be &#8212; April 20, 2012\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Shepherd Smith Edwards &amp; Kantas, LLP\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"SEC Institutional Round Up: Whistleblower Bounty Program May Be Reviving Internal Fraud Reporting Mechanisms and Investor Advocacy Group Wants Ban on Accounts Allowing Dually Registered Advisers and Brokers to Give Advice &#8212; Investor Lawyers Blog &#8212; April 20, 2012","description":"Per BDO Consulting and Network Inc.\u2019s Quarterly Corporate Fraud Index, the Securities and Exchange Commission's new whistleblower bounty program may be &#8212; April 20, 2012","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.investorlawyers.com\/blog\/sec-institutional-round-up-whi\/","twitter_card":"summary_large_image","twitter_title":"SEC Institutional Round Up: Whistleblower Bounty Program May Be Reviving Internal Fraud Reporting Mechanisms and Investor Advocacy Group Wants Ban on Accounts Allowing Dually Registered Advisers and Brokers to Give Advice &#8212; Investor Lawyers Blog &#8212; April 20, 2012","twitter_description":"Per BDO Consulting and Network Inc.\u2019s Quarterly Corporate Fraud Index, the Securities and Exchange Commission's new whistleblower bounty program may be &#8212; April 20, 2012","twitter_misc":{"Written by":"Shepherd Smith Edwards &amp; Kantas, LLP","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.investorlawyers.com\/blog\/sec-institutional-round-up-whi\/#article","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/sec-institutional-round-up-whi\/"},"author":{"name":"Shepherd Smith Edwards &amp; Kantas, LLP","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"headline":"SEC Institutional Round Up: Whistleblower Bounty Program May Be Reviving Internal Fraud Reporting Mechanisms and Investor Advocacy Group Wants Ban on Accounts Allowing Dually Registered Advisers and Brokers to Give Advice","datePublished":"2012-04-20T05:00:00+00:00","dateModified":"2022-04-22T16:09:58+00:00","mainEntityOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/sec-institutional-round-up-whi\/"},"wordCount":571,"articleSection":["Whistleblowers"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.investorlawyers.com\/blog\/sec-institutional-round-up-whi\/","url":"https:\/\/www.investorlawyers.com\/blog\/sec-institutional-round-up-whi\/","name":"SEC Institutional Round Up: Whistleblower Bounty Program May Be Reviving Internal Fraud Reporting Mechanisms and Investor Advocacy Group Wants Ban on Accounts Allowing Dually Registered Advisers and Brokers to Give Advice &#8212; 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