More Incentives For Whistleblowers: New York Considers A New Law To Reward And Protect Whistleblowers

October 11th, 2013 by Qui Tam

Tracking the whistleblower provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act, new legislation would establish whistleblower bounties and protections for information given to the New York State Department of Financial Services (“DFS”) – a super agency formed in October 2011 to regulate banks and insurance companies in New York.  Since its inception, DFS has received considerable attention as a result of substantial settlements, including in August 2012 when Standard Chartered PLC agreed to pay $340 million to settle DFS allegations that the bank violated anti-money laundering laws in connection with transactions for Iranian customers.  Had the new legislation been in effect at the time and had the settlement resulted from information from a whistleblower, that whistleblower would be entitled to between 10 and 30 percent of the recovery, or $34 million and $102 million. 

For more information, please see:
http://www.forbes.com/sites/insider/2013/10/09/more-incentives-for-whistleblowers-new-york-considers-a-new-law-to-reward-and-protect-whistleblowers/

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