The SEC launched a website
to gather tips as its new bounty program for whistle-blowers officially begins.
The Dodd-Frank Act's new incentive program, which rewards tipsters with as much as 30% of penalties collected, has been operating on an interim basis since the law was enacted last year.
With the launch of the website, whistle-blowers will now have to submit tips in the agency's approved formats, such as a questionnaire accessed through the website.
Companies have told the SEC they're concerned that the program will cause whistle-blowers to ignore firms' internal compliance programs, but the SEC has said employees who first report a securities law violation to their companies will get the same reward consideration as if they reported it to the SEC.