Commodities Futures Trading Commission (CFTC) Whistleblowers

Atlanta Whistleblower Lawyer for CFTC Cases

If you know of someone who is breaking the rules of the U.S. Commodities Futures Trading Commission (CFTC), then you may be entitled to 10 – 30% of the monetary sanctions that the CFTC levies against the lawbreaker. If the CFTC acts on a tip you provide, and fines the company or the individual that is breaking the law at least $1,000,000, then as a CFTC whistleblower you will be entitled to 10%-30% of the monetary sanctions that the CFTC charges to the company that violated the rules.

The CFTC is interested in anything related to fraud in connection with derivatives, or manipulation related to derivatives, or abusive practices or systemic risk related to derivatives that are subject to the Commodity Exchange Act. You may be able to help deter and lower the risk of fraud in the future.

Call an Atlanta CFTC whistleblower lawyer today at (888) 581-9132 if you believe you have information that someone is violating the CFTC rules.

Understanding the Dodd-Frank Act

Under § 748 of the Dodd-Frank Act Congress provided for “Commodity Whistleblower Incentives And Protection.” Under the Act, Congress told the CFTC that it must reward whistleblowers who tip the agency about companies or individuals that are violating the rules and regulations of the CFTC, which relate to the trading of commodities futures and options.

Under the Act, the CFTC whistleblower is entitled to receive a percentage of the “monetary sanctions” that are charged to the person or company that violated the CFTC rules.

The Act says that “monetary sanctions” include any of the following that are charged in violation of the CFTC rules:

  • Penalties
  • Disgorgement
  • Restitution
  • Interest

You can qualify as a whistleblower if you follow the rules set out for reporting to the CFTC and you provide original information. If you think you know about Commodities and Futures violations, you may be entitled to a percentage of the penalties or fines charged against the company.

What Is Considered Original Information?

The Act defines “original information” as independent knowledge or analysis of the whistleblower that is not known to the Commission, unless the whistleblower is the original source of the information.

According to the statute, “original information” does not include information that is “exclusively derived from an allegation made in a judicial or administrative hearing, in a governmental report, hearing, audit, or investigation, or from the news media, unless the whistleblower is a source of the information.” The Act specifically provides that more than one person may be a whistleblower under the CFTC whistleblower provisions.

The CFTC has discretion to determine the amount of the reward, but Congress has provided that it must consider:

  • “The significance of the information” that the whistleblower provided,
  • ‘‘The degree of assistance” that the whistleblower’s lawyer or the whistleblower gave to the agency,
  • The CFTC’s interest “in deterring violations of the act (including regulations under the act) by making awards to whistleblowers who provide information that leads to the successful enforcement of such laws,”
  • And other factors the CFTC chooses to consider.

Congress created the U.S. Commodities Futures Trading Commission (CFTC) in 1974 to regulate U.S. commodities futures and option markets.

Helping You Report CFTC Fraud in Atlanta, GA

The CFTC is an independent agency. According to the agency, the CFTC’s “mission is to protect market users and the public from fraud, manipulation, abusive practices and systemic risk related to derivatives that are subject to the Commodity Exchange Act, and to foster open, competitive, and financially sound markets.” The CFTC is set up under 7 U.S.C. Chapter 1.

We at The Wallace Law Firm, LLC can help protect you in your whistleblower case and make sure that your interests are not compromised.

Find out more about CFTC whistleblowing by calling (888) 581-9132 today. Consultations are FREE.