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CFTC Proposes New Rules for Whistleblower Incentives

The Commodity Futures Trading Commission has published a proposal to amend its whistleblower rules, aiming to improve transparency and efficiency in handling claims. The new rules include a presumption for awards of $5 million or less, modeled after SEC regulations.

The Commodity Futures Trading Commission (CFTC) announced a Notice of Proposed Rulemaking to update its whistleblower rules. The proposed changes introduce a 30 percent presumption for awards of $5 million or less, giving the CFTC discretion based on regulatory factors. This move aligns with similar rules from the Securities and Exchange Commission (SEC), promoting harmonization between the two agencies. The goal is to make the process of awarding whistleblowers more transparent, predictable, and efficient. Chairman Michael S. Selig emphasized the importance of prompt and transparent processing of claims, highlighting the effort to support whistleblowers and improve regulatory oversight. The public can comment on the proposal within 30 days of its publication in the Federal Register, with submissions accepted electronically via Regulations.gov.

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