'Zombie' Whistleblower, Denied Award for Tip, Takes SEC to Court

, The National Law Journal

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They are called "zombie" whistleblowers—tipsters who came forward to federal regulators before the Wall Street reform laws of 2010 and then return to try to reap the benefits of a bounty program created by the postcrisis reforms. Those award applications have been dead on arrival, the tips deemed to have come too early to be eligible for an award under rules set by the U.S. Securities and Exchange Commission in the Dodd-Frank Act. But that hasn't stopped those whistleblowers from pressing their claims—beyond the SEC—for an award.

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