One response to “SEC official plays down concern about whistleblower program — Reuters”

  1. I may as well opine on this matter since I personally get better cooperation out of several good (not all are anywhere near up to speed) US Attorney’s offices and even the FBI agents they sometimes refer my way.

    The problem with the TCR system is it fails to categorize classes of tipsters and/or informants on past track records. Also when the program was first implemented it wasn’t properly staffed to deal with the deluge of tips it received.

    Steve’s right about being concerned with sour grapes former (or even current) employees exploiting this program. Ditto on sour grapes competing hedge funds, brokerage employees, and perhaps even publicly traded issuers’ competitors.

    Another very large problem with the TCR system is failure of MOST staff attorneys to contact the Whistleblower when a tip is received and referred their way. Why they are so afraid to “reach out and touch someone, ” I don’t know.

    Excellent story by Reuters and I am glad you blogged about it, Mr. Carton.