Defense Bill Proposes Anti-Money-Laundering Whistleblower Program

WSJ

A new whistleblower reward program incentivizing the reporting of potential violations of anti-money-laundering laws would be established as part of an annual defense-spending bill that is poised to clear Congress.

The program would offer awards to tipsters who voluntarily provide original information to the Treasury Department or the Justice Department on possible violations of the Bank Secrecy Act. Awards would be granted in cases where the tips lead to successful enforcement actions and the monetary sanctions exceed $1 million. read more »

Attorney General James Secures $4.7 Million After Supermarket Chain Engaged in Three Schemes to Evade Taxes

NY AG

New York Attorney General Letitia James today announced that her office has secured $4.7 million from a chain of supermarkets operating throughout New York City after they were caught committing three schemes to evade paying taxes.

The investigation commenced when a whistleblower filed a lawsuit under the qui tam provisions of the New York False Claims Act, which allows individuals to file civil actions on behalf of the government and receive a percentage of any recovery. read more »

SEC Issues Multiple Whistleblower Awards Totaling Nearly $3 Million

SEC

The Securities and Exchange Commission today announced whistleblower awards to five individuals for information provided in three different enforcement actions for combined payments of nearly $3 million.

The SEC has awarded approximately $731 million to 123 individuals since issuing its first award in 2012. All payments are made out of an investor protection fund established by Congress that is financed entirely through monetary sanctions paid to the SEC by securities law violators. read more »

SEC Orders BlueCrest to Pay $170 Million to Harmed Fund Investors

SEC

;Securities and Exchange Commission today announced that UK-based investment adviser BlueCrest Capital Management Limited has agreed to pay $170 million to settle charges arising from inadequate disclosures, material misstatements, and misleading omissions concerning its transfer of top traders from its flagship client fund, BlueCrest Capital International (BCI), to a proprietary fund, BSMA Limited, and replacement of those traders with an underperforming algorithm.  The SEC will distribute the $170 million to harmed investors. read more »