The US Securities and Exchange Commission has paid its largest-ever whistleblower award $50 million.
The Wall Street Journal, which conducted an investigation about the wrongdoing, reported the whistleblower is a trader from Bank of New York Mellon ( ) who alerted the SEC about the bank’s reported pattern of “overcharging big clients on currency trades.” The trader assisted with the SEC’s investigation for more than ten years. The bank was charged with giving pension funds less-than-desirable exchange rates, helping the bank make massive profits from the difference, the newspaper reported.
A source told the Journal the whistleblower’s name is Grant Wilson. The SEC noted in its release that confidentiality agreements restrict it from naming whistleblower’s name or identity.
“We are pleased to put these legacy FX matters behind us, which is in the best interest of our company and our constituents,” BNY Mellon said at the time, according to multiple reports.
The SEC said Thursday’s payout brings its total award to more than $500 million to 83 individuals in roughly the decade since the program was created.
“Whistleblowers have proven to be a critical tool in the enforcement arsenal to combat fraud and protect investors.” Jane Norberg, chief of the SEC’s Office of the Whistleblower, said in a statement.
Jeffrey Newman represents whistleblowers nation wide including SEC whistleblowers in major cases including cybercurrency cases. He can be reached at: Jeff@JeffNewmanLaw.com
www.JeffreyNewmanLaw.com or by calling 978-880-4758