CFTC and SEC Bounty Actions protect financial professionals, investors, and former financial professionals. More specifically, the agencies prohibit employers from forcing employees and former employees from signing away their employee whistleblower rights. Further, these whistleblower protections prevent corporations from forcing investors from signing away their rights.
Bounty Actions Target Financial Fraud and Other Illegal Conduct
Bounty Actions target illegal conduct including violations of the Securities Exchange Act and Commodities Exchange Act. More specifically, the SEC targets securities violations and other investment fraud. Further, the CFTC targets money laundering, market manipulation, corrupt practices, and insider trading.
Whistleblower Protections Protect Employee and Former Employee Whistleblower Rights
Both agencies prevent employers from forcing employees to give away their rights to expose illegal conduct. Further, these whistleblower protections apply to retiring and other former employees. More specifically, the agencies prohibit banks and other financial institutions from signing severance agreements blocking bounty actions.
The agencies have taken actions against banks and other corporations who have attempted to prohibit bounty actions. For this reason former employees have bounty action rights regardless of any severance agreement they have signed to the contrary. As such, the agencies encourage employees and former employees to anonymously report illegal conduct.
The Agencies Also Prevent Corporations from Blocking Investor Bounty Action Rights
The SEC and CFTC prohibit corporations from forcing investors signing away their whistleblower bounty action rights. In fact, the SEC recently took action against companies that attempted to force investors to sign away their rights. Further, the SEC clearly prohibits agreements preventing investors reporting potential securities law violations to law enforcement. These agreements violate the SEC whistleblower protections.
SEC and CFTC Whistleblower Protections Broadly Protect Employees and Investors
SEC and CFTC whistleblower protections broadly protect employees. Further, these protections protect investors and anyone who seeks to report illegal conduct through bounty actions.
More Information on Employee Whistleblower Rights and Protections
Please go to the following webpages for more information: Employee Whistleblower Lawyer Information and Employee Whistleblower Protections.