Category: Lawyers

Whistleblowers: Look to Lebaton Sucharow LLP for Expert Representation

The Federal Government has established a Whistleblower Representation Practice whereby whistleblowers can bring action against businesses, institutional investors and consumers and remain anonymous. It was funded by Congress with a replenishing Investor Protection Fund. Presently the fund has a reserve of $400 million.

A whistleblower can receive substantial financial rewards by coming forth and testifying to a company’s or individual’s wrongdoing. Typical cases involve violations of Federal Securities Violations. When a successful enforcement has been completed the whistleblower can receive from 10-30% of the total monetary sanction. Throughout the process the identity of the whistleblower remains anonymous and he/she is guaranteed against reprisals from their employer.

Even with these guarantees a whistleblower is taking substantial risk. Most often he/she is not knowledgeable about specific securities violations. Nor can he/she formulate a real and prosecutable case against an employer.

Before even attempting to proceed, it is wise to consult a reputable firm with experience in successfully prosecuting these types of violations. Labaton Sucharow LLP is the leading firm with 50 years- experience in litigation and the first firm to represent whistleblowers under the new Federal Program. The firm has investigators, financial analysts and forensic accountants.

Labaton Sucharow LLP has published a Securities Law Primer that contains important information for whistleblowers. Included are such topics as: what causes the SEC to open an investigation, what happens during the litigation process and what agencies might be involved. The manual has an Eligibility Calculator to predetermine the chance of success of a given action. Topics include the question of what exactly has occurred, the significance of the actions and the probability of success. The firm maintains a database of prior cases with specifics and outcomes of each one. It contains the six major securities violations of: Offering Fraud, Trading and Pricing, Foreign Corrupt Practices Act, Municipal Securities, Financial Fraud and Market Manipulation.

In a recent case, lawyer Jordan Thomas at Labaton Sucharow LLP successfully prosecuted a SEC whistleblower case with an award of $17 million, this being the second highest award in the history of the program. Mr. Thomas was also successful in a case where an employer retaliated against a whistleblower.