A Modest Defense of Joe Paterno

November 14, 2011

As a father, coach, college football fan and attorney for whistleblowers, I have watched the Penn State scandal unfold with equal measures horror and fascination.  Some have asked my opinion.  Others have offered theirs. One told me, “Paterno becomes the biggest human disappointment I remember…. I’m not sure I’ve ever seen a drop so far [...]

Read more →

Companies should embrace whistleblowers, not ostracize them

August 29, 2011

In the corporate ethics arena, one of the most destructive tendencies is knee-jerk retaliation against whistleblowers.   Ann Kraemer argues convincingly that companies should go out of their way to encourage whistleblowing (especially the internal variety) for a variety of reasons.  Kraemer’s article, Embracing the Enemy, in the Summer 2011 Conference Board Review, offers a robust [...]

Read more →

SEC evidence-destruction scandal: WSJ covering (up)?

August 20, 2011

SEC insider Darcy Flynn has leveled an explosive, apparently well-documented accusation that the nation’s top financial markets cop has been shredding evidence of financial misdeeds since at least 1993. WSJ readers looking for insights will find more beef in Rolling Stone which has, yet again, one-upped The Wall Street Journal via reporter Matt Taibbi. Since the Darcy Flynn story broke [...]

Read more →

SEC & materiality: Not as easy as it sounds!

June 20, 2011

What misstatements or omissions are “material” and which are not?  With the recent roll-out of the SEC’s new whistleblower regulations, it is a popular question among companies and prospective whistleblowers.  This brief summary offers insights into this important topic as it applies to changes in accounting principle. First, despite recent IFRS rumblings, SEC regulations require [...]

Read more →

Pennsylvania Power Juicer court pans False Marking Statute

June 10, 2011

Thinking of filing a False Marking Statute qui tam?  Big Ten country is not looking so friendly these days. The essence of the False Marking Statute, 35 U.S.C. § 292, is summarized here: “[W]hoever marks upon, or affixes to, or uses in advertising in connection with any unpatented article, the word ‘patent’ . . . [...]

Read more →

False claims epidemic in biomedical research?

June 9, 2011

If you thought politicians were a breed apart, think again.  A recent article published in Scientific American suggests pols and scientists have something in common: an affinity for stretching the truth.  An Epidemic of False Claims, points to the likelihood of a growing universe of potential False Claims Act whistleblower cases in the biomedical-research arena: [...]

Read more →

New SEC Rule 21F-17 threatens confidentiality agreements

June 9, 2011

For whistleblowers and their (past or present) employers, one of the more important features of the SEC’s new whistleblower program regulations is Rule 21F-17 (copied in part below).  Over the years, targets of whistleblower claims have employed increasingly aggressive and sophisticated tactics — including “gag orders,” TROs, and breach of confidentiality agreement or even trade-secret-theft [...]

Read more →

Dodd-Frank & SEC Whistleblowers: What’s in it for you?

June 8, 2011

Thinking of blowing the whistle on securities or commodities fraud?  It may make sense to do so, thanks to H.R. 4173, the Dodd-Frank Wall Street Reform and Consumer Protection Act (signed into law in July 2010) and related SEC and CFTC regulations. The SEC’s whistleblower statute — found in H.R. 4173, Section 922 (also known [...]

Read more →

Employer fires whistleblower’s fiance: illegal retaliation?

May 27, 2011

Retaliation is an unfortunate though predictable side effect of blowing the whistle on corporate wrongdoing.   Most whistleblowers know to expect retaliation.  Most also think — or hope — that retaliation is illegal and that they can “get justice” by suing.  Sometimes they can. Some whistleblower laws — the False Claims Act, Dodd-Frank SEC Whistleblower Program, [...]

Read more →

SEC issues final Whistleblower Program regs

May 26, 2011

Yesterday, the Securities and Exchange Commission issued long-awaited regulations implementing the Dodd-Frank Act’s securities whistleblower provisions.  These provisions are now codified in Section 21F of the Securities Exchange Act of 1934. The SEC’s Final Rule announcing the regulations consumes 305 pages, including explanatory material and five footnote citations to your correspondent. The regulations themselves, codified [...]

Read more →

← Previous Entries

Next Entries →