SEC Whistleblower Awards Are Rebounding and Why Now Is the Time to Come Forward

by Matthew P. Suzor and Eshaan Chandani

After what looked like a difficult period for the Securities and Exchange Commission (“SEC”) whistleblower program, its latest award activity makes one thing clear: the program is alive and well and continues to reward those who come forward with timely, original, and well-documented information. For insiders on the fence about coming forward, this rebound in SEC whistleblower awards means that the question is no longer whether the program is still worth it; instead, it’s when to move forward.

How does the SEC whistleblower program work?

The SEC whistleblower program was created under the Dodd-Frank Act to allow individuals to report securities law violations to the SEC. Through this program, whistleblowers who voluntarily provide specific, timely, and credible information about federal securities law violations may be eligible for an award. SEC whistleblower awards are granted based on several  criteria, including: 1) whether or not the information provided is original, and 2) whetherthe information leads to an enforcement action with over $1 million in monetary sanctions. If both of these things happen, the whistleblower is eligible to receive between 10% and 30% of the money collected.

That range is significant, but it does not mean that every tip to the SEC leads to an award. The whistleblower program is built around quality, timing, and causation. The strongest claims help the SEC open investigations, expand existing investigations, understand complex misconduct, identify witnesses, and obtain difficult-to-uncover documents. In contrast, vague suspicions or unoriginal tips are far less likely to result in an award.

What is the Current State of the Program?

The distinction between strong and weak claims became especially important in the last year. In fact, 2025 was the program’s weakest in five years, with previous annual awards exceeding $100 million, while in 2025 the SEC awarded more than $60 million to 48 individual whistleblowers, recommended awards to 82 others and denied awards to 275 claimants. This dip in awards marked what the Director of Securities Policy at Better Markets called a “dramatic downturn.”

But the tides are turning. The program’s record in 2026 tells a more encouraging story, including multiple large award orders throughout the first half of the year. In March, the SEC granted awards of approximately $570,000 to three whistleblowers who offered information for an investigation. In April, the Commission issued an award of more than $50 million after a whistleblower’s tip led to an investigation on misleading disclosures to investors. That momentum continued into June. Last month, the Commission ordered awards of approximately $800,000, $7 million, and a whopping $20 million for claimants. This wave of recent awards signals that the SEC whistleblower program is alive and well and is continuing to reward credible submissions that expose misconduct and aid enforcement actions.

What Separates a Strong Claim from a Denied One?

Several factors are important  in SEC decisions about whistleblower award allocations. The Commission looks at how significant the information was for an investigation, the level of assistance the whistleblower provided, whether they brought documents or witnesses to light, and if the whistleblower followed proper submission procedures. Claimants who provide vague tips, make unsupported allegations, miss deadlines, file their claim improperly, or wait too long to report have a lower likelihood of receiving an award.

The whistleblower who received an award of $20 million in June is a good example of  a strong SEC whistleblower. The whistleblower provided significant information about misconduct, met with enforcement staff multiple times, and helped the SEC understand the complex transactions at issue. But the SEC’s decision also points to a larger lesson for whistleblowers. The Commission noted that, when determining the award amount, they considered the fact that the claimant had delayed reporting the misconduct to the Commission for 10 months.

That means time is of the essence. The program operates on a ‘first-in-line’ rule, meaning that the first person to provide useful information is generally the most likely to receive an award. That is why anyone sitting on evidence of securities fraud should not wait. A strong claim is built early: before the information becomes stale or the investigation is advanced by other information.

What Should I Do If I Have Credible Information?

If you have credible information about securities fraud, do not rush to submit the information to the SEC blindly or wait indefinitely. The right move is to act strategically, but swiftly. Your next steps should include:

• Preserving documents lawfully;
• Creating a clear timeline of when events occurred;
• Identifying who was involved, what happened, and how investors were misled or harmed; and
• Collecting evidence that supports your claim.

Next, before you submit anything, speak with an experienced SEC whistleblower lawyer. Miller Shah’s SEC whistleblower practice helps clients position their tips for maximum impact and protection. The recent SEC whistleblower awards show that more than ever, now is the time to come forward.