On July 16, 2025, the U.S. Securities and Exchange Commission approved three separate whistleblower awards for five claimants that voluntarily provided original information to the SEC that led to successful Covered Actions.
According to the first Order, the SEC awarded $1.3 million to a single claimant who provided SEC enforcement staff with “significant information” regarding potential violations that caused the Commission to open an investigation. The Claimant also provided “helpful assistance” to SEC investigators, which included communications with staff members and the provision of documents that supported the Claimant’s information.
In the second Order, the SEC approved an award of more than $400,000 each to two whistleblowers. The SEC reported that each claimant provided “significant information and additional assistance to Enforcement Staff” but allegedly waited 20 and 23 months, respectively, to provide information to the SEC – factors that were taken into consideration when determining the amount of the awards. According to the SEC, one of the claimants also failed to comply with the TCR filing requirements under Rule 21F-9(b) of the Securities Exchange Act of 1934, which requires claimants to submit a whistleblower declaration under penalty of perjury. However, the SEC decided to waive this requirement after confirming that the claimant, who was not represented by counsel, voluntarily provided original information to the SEC that led to the success of the Covered Action. The SEC also determined that the claimant submitted his/her tip through the SEC’s online TCR portal and was never prompted to provide the requisite declaration under penalty of perjury. The SEC explained that, in spite of this system failure, staff members were able to assess the credibility of the claimant’s tip by conducting two interviews with the claimant.
According to the SEC’s third Order, two joint claimants were awarded a total payout of $5.4 million for providing information that contributed to the SEC’s decision to open an investigation. The SEC determined that the amount of the award was appropriate because the claimants “produced the key document that formed the basis of the Commission’s findings in the Covered Action” and helped SEC staff obtain additional relevant documents from the company being investigated.