The SEC today adopted rules and forms to implement Section 21F of the Exchange Act entitled "Securities Whistleblower Incentives and Protection." The Dodd-Frank Act established a whistleblower program that requires the SEC to pay an award, under regulations prescribed by the SEC and subject to certain limitations, to eligible whistleblowers who voluntarily provide the Commission with original information about a violation of the federal securities laws that leads to the successful enforcement of a covered judicial or administrative action, or a related action. Dodd-Frank also prohibits retaliation by employers against individuals who provide the Commission with information about possible securities violations. The full rule release can be found at: http://www.sec.gov/rules/final/2011/34-64545.pdf

In addition, the SEC today proposed amendments to Securities Act rules to implement Section 926 of the Dodd-Frank Act. Section 926 requires the SEC to adopt rules that disqualify securities offerings involving certain "felons and other ‘bad actors’" from reliance on the safe harbor from Securities Act registration provided by Rule 506 of Regulation D. The rules must be "substantially similar" to Rule 262, the disqualification provisions of Regulation A under the Securities Act, and must also cover matters enumerated in Section 926 (including certain state regulatory orders and bars). The full proposal release can be found at: http://www.sec.gov/rules/proposed/2011/33-9211.pdf