SEC Delegates Authority to Invest Whistle-Blower Fund

SEC Whistleblower

On September 26, the SEC amended its rules to delegate authority to its CFO, Kenneth Johnson, to request that the Treasury Secretary invest a portion of the SEC’s Investor Protection Fund. The fund, comprised of over $439 million as of FY 2013, is used to award whistleblowers and fund certain IG activities. Johnson’s discretion includes determining what portion of the Fund’s monies are not required to meet current needs and thus available for investment as well as which investment maturities are most suitable. The SEC anticipates this amendment, effective September 29, 2014, will “streamline” its operations.