Whistleblowers are given various legal protections under the provisions of the False Claims Act and the SEC, CFTC and IRS whistleblower programs.

For a whistleblower who learns that a company, often their employer, is engaged in fraud on the government, the decision to blow the whistle can be overwhelming. Your reputation, career, and sometimes your safety may be at stake. But protections exist to shield whistleblowers, particularly those represented by experienced whistleblower counsel.

We strongly urge potential whistleblowers to speak with an experienced whistleblower attorney. Some whistleblower laws, including the False Claims Act, require whistleblowers to proceed with an attorney. Certain anonymity and confidentiality protections are only available under the SEC, CFTC, and IRS programs to whistleblowers represented by an attorney. Whistleblowers who proceed without first speaking with an attorney can lose important rights. An experienced attorney can evaluate your claim, investigate further and give strategic advice on how to move forward.

WHAT PROTECTIONS CAN WHISTLEBLOWERS RECEIVE UNDER WHISTLEBLOWER LAWS?

First, certain confidentiality and anonymity protections are available to whistleblowers under the False Claims Act, and the SEC, CFTC, and IRS whistleblower programs.

Employers who violate federal whistleblower protection provisions can face substantial punishment for retaliation against a whistleblower employee, and whistleblowers can bring suit in response to retaliation under certain programs, seeking, among other things:

  • reinstatement with the same seniority status
  • twice the amount of back pay, plus interest
  • compensation for any special damages sustained as a result of the whistleblower's discrimination
  • litigation costs
  • attorneys’ fees

FALSE CLAIMS ACT WHISTLEBLOWER PROTECTIONS

Whistleblowers under the False Claims Act can receive protection regardless of whether a whistleblower lawsuit is filed. Conducting a fraud investigation is considered action “in furtherance of” efforts to stop the fraud, and this whistleblower protection ensures those who step up are protected against retaliation, even if your fraud investigation or reporting doesn't result in a False Claims Act suit.

To rely on whistleblower protections and the remedies of the False Claims Act’s retaliation provisions, whistleblowers must prove:

  • that they took action in furtherance of efforts to stop violations of the False Claims Act;
  • that the employer was aware of those efforts; and
  • that their employer retaliated because of those efforts.

DODD-FRANK WHISTLEBLOWER PROTECTIONS

The SEC and CFTC whistleblower programs permit and encourage whistleblowers who wish to report anonymously to further their protection. To remain eligible for a reward under the programs while maintaining anonymity, whistleblowers must retain an experienced whistleblower attorney to properly draft and file the whistleblower complaint on behalf of the whistleblower. That attorney will communicate with the SEC or CFTC on behalf of the whistleblower and maintain a copy in their file of a  signed declaration attesting to the truth of the information, and the authenticity of the whistleblower’s identity for their protection.

Hagens Berman represents numerous anonymous whistleblowers under the CFTC and SEC whistleblower programs, clients whose identities are not publicly revealed, and both agencies go to great lengths to protect whistleblower anonymity.

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