Washington D.C. August 4, 2011. Today, the Commodity Futures
Trading Commission (CFTC) voted 4-1 to approve the Final Rules implementing the
whistleblower provisions in the Dodd-Frank Wall Street Reform and Consumer
Protection Act. The rules will have a major impact on the ability of
individuals to report corporate fraud and protect the integrity of financial
markets.
According to public statements by the CFTC Commissioners and staff,
the CFTC
rejected corporate-sponsored demands that would have required
whistleblowers to report their concerns internally to their employer before
blowing the
whistle to the government. The NWC strongly opposed these lobbying
efforts, spearheaded by the Chamber of Commerce.
Stephen M. Kohn, Executive Director of the National Whistleblowers
Center
(NWC), issued the following statement:
We are pleased that, according to the Commissioners' public statements,
the
CFTC's Final Rules conform to the Congressional intent of Dodd-Frank to
encourage individuals to step forward with credible information about
fraud. This is essential for the
appropriate detection of fraud and the enforcement of laws designed to
protect
investors and consumers.
The National Whistleblowers Center will
carefully review the Final Rules and will issue a supplemental
statement.
The National Whistleblowers Center (NWC) was heavily involved with the
rulemaking process, trying to ensure that the final rules adequately
protect
whistleblowers. The NWC filed seven formal public comments addressing
every major aspect of the rule.
