The Ontario Securities Commission (OSC) recently released an update on the progress of its whistleblower program.
- As we discussed in a July 2016 post, the OSC launched the program almost two years ago with the objective of encouraging individuals to report serious violations of Ontario securities law by offering whistleblowers protection from reprisal, as well as the prospect of monetary awards.
- Under the program, whistleblowers who meet the program criteria are eligible to receive between 5% and 15% of the monetary sanctions imposed and/or the voluntary payments made in a case up to a maximum of $5 million, depending on the circumstances.
According to the OSC, the program has generated about 200 tips in the two years since the program launched, with 19 of the tips being referred to enforcement. Meanwhile, an additional 45 tips are currently under review. The OSC has also approved 11 settlements via its no-contest option where market participants self-reported issues, resulting in about $368 million in compensation.
According to the OSC, the first two years of the program have successfully encouraged a “strong culture of compliance in Ontario’s business community”.