Sanctions Evasion Whistleblower Reward
Learn About the Requirements for Securing Money Laundering and Sanctions Evasion Whistleblower Rewards
Individuals who report money laundering and other violations of sanctions imposed by the Office of Foreign Assets Control (OFAC) may be eligible to receive financial rewards from the federal government. In these cases, eligible whistleblowers can receive rewards of up to 30% of the monetary sanctions collected through a civil or criminal enforcement action.
If you have information about a violation of Office of Foreign Assets Control (OFAC) sanctions, you may be eligible to come forward as an anti-money laundering whistleblower. OFAC’s sanctions are intended to prevent money laundering and other financial crimes, as well as transactions involving U.S. parties (or U.S. financial institutions) and sanctioned entities.
While OFAC pursues administrative proceedings when warranted, sanctions violations can also warrant civil or criminal enforcement. In these cases, the U.S. Treasury Department and U.S. Department of Justice (DOJ) rely heavily on whistleblowers to report violations. The Treasury Department’s Financial Crimes Enforcement Network (FinCEN) maintains a sanctions whistleblower program, and the DOJ accepts whistleblower complaints involving sanctions violations under its whistleblower programs as well.
Experienced Legal Representation for OFAC Sanctions Evasion Whistleblowers
We provide experienced legal representation for OFAC sanctions evasion whistleblowers throughout the U.S. and worldwide. Our whistleblower attorneys have extensive experience in this area; and, if you are eligible to come forward as a whistleblower, we can work effectively with the appropriate law enforcement agency on your behalf. An attorney at our firm can serve as your legal representative throughout the process; and, if your whistleblower claim leads to a successful enforcement action, we can work to secure your AML whistleblower award from FinCEN or the DOJ.
Exposing OFAC Sanctions Violations to the Federal Government
The Bank Secrecy Act (BSA) and Anti-Money Laundering Act (AMLA) are the primary whistleblower laws that apply in OFAC sanctions evasion cases. Under these federal statutes’ whistleblower provisions, eligible individuals are entitled to legal protections in all cases, and they can become entitled to a monetary reward in the event of a successful enforcement action.
The BSA and AMLA serve as the statutory foundation for the AML whistleblower program, through which eligible individuals can report OFAC sanctions violations implicating laws including (but not limited to):
- International Emergency Economic Powers Act (IEEPA)
- National Defense Authorization Act (NDAA)
- Trading with the Enemy Act (TWEA)
These federal laws, as enforced through OFAC trade sanctions, are intended to protect the U.S. financial system while prohibiting financial fraud and other illicit activity. With this in mind, some examples of violations that whistleblowers may be able to report to establish their eligibility for a monetary award include:
AML/BSA Violations
Financial institutions have various AML/BSA obligations related to preventing money laundering, sanctions violations, and other illicit activity. AML/BSA violations that allow or facilitate illicit financial transactions can serve as clear grounds for filing a whistleblower complaint with FinCEN or the DOJ.
Transactions Involving Sanctioned Parties
A financial institution or company allowing sanctioned entities to use its platform to execute illicit transactions can also serve as clear grounds for filing a whistleblower complaint. If you are aware of a financial institution or company facilitating or participating in a transaction involving an individual, company, or government sanctioned by the Treasury’s Office of Foreign Assets Control, our whistleblower attorneys can determine if you are eligible to come forward.
Terrorist Financing
Preventing terrorist financing is another core goal of OFAC’s economic sanctions programs; and, along with FinCEN and the DOJ, several other federal regulatory and law enforcement agencies have a hand in enforcing compliance in this area as well. If you have information that would be of interest to FinCEN, the DOJ, or any other federal regulators, our whistleblower attorneys may be able help you seek a monetary award in this scenario as well.
Whistleblower Rewards for Exposing Violations of OFAC Sanctions Programs
As noted above, whistleblowers have two primary options for seeking monetary rewards when exposing violations of OFAC sanctions programs to the federal government. Sanctions evasion whistleblowers can either: (i) file a complaint under FinCEN’s whistleblower program; or, (ii) file a complaint under one of the DOJ’s whistleblower programs.
Under each of these programs, the basic eligibility criteria are as follows:
- Whistleblowers must voluntarily submit original information
- Whistleblowers must submit information based on independent knowledge
- Whistleblowers must be the first to come forward
- Whistleblowers must come forward through the appropriate means
- The government must pursue a successful enforcement action
If the government pursues a successful enforcement action in federal court based on information provided by an eligible whistleblower, the whistleblower is entitled to a financial reward calculated as a percentage of the funds the government recovers. Both FinCEN and the DOJ pay awards to eligible whistleblowers, and the maximum award percentage is 30% of the government’s recovery in most cases.
The Treasury Department’s Financial Crimes Enforcement Network (FinCEN) Whistleblower Program
FinCEN accepts sanctions evasion whistleblower complaints from individuals worldwide (individuals do not need to be U.S. citizens to participate in federal whistleblower programs). FinCEN pays awards to eligible whistleblowers who provide information that leads to the recovery of at least $1 million in a successful enforcement action.
The U.S. Department of Justice (DOJ) Whistleblower Programs
The DOJ maintains multiple whistleblower programs that include provisions for monetary awards in successful cases. If you have information about an AML/BSA violation, a sanctioned entity using shell companies to evade detection, a U.S. company falsifying shipping documents to evade OFAC sanctions, or any other pertinent violation of federal law, you may be eligible to seek an award from the DOJ.
FAQs: Whistleblower Rewards for Exposing Violations of U.S. Sanctions Laws
Is OFAC offering financial rewards to whistleblowers who report sanctions violations?
The Office of Foreign Assets Control (OFAC) does not issue whistleblower awards; however, sanctions evasion whistleblowers can seek monetary rewards by filing their complaints with the Financial Crimes Enforcement Network (FinCEN) or the U.S. Department of Justice (DOJ). Rewards are available when whistleblowers’ complaints lead to the imposition of civil monetary penalties, other civil remedies, or criminal fines.
How do I seek a whistleblower reward for exposing a violation of the Bank Secrecy Act (BSA)?
To seek a whistleblower reward for exposing a violation of the Bank Secrecy Act (BSA), you must file a formal whistleblower complaint with either the Financial Crimes Enforcement Network (FinCEN) or the U.S. Department of Justice (DOJ). FinCEN and DOJ whistleblowers must comply with the pertinent substantive and procedural filing requirements, and they must generally be the first to come forward (though exceptions apply in some cases).
How do I serve as an AML whistleblower in a sanctions evasion case?
Serving as an AML whistleblower in a sanctions evasion case involves coming forward to either FinCEN or the DOJ. Even though OFAC holds primary responsibility for sanctions enforcement, it does not administer a formal whistleblower program. If you believe that you may be eligible to come forward as a sanctions evasion whistleblower, our attorneys can help you decide how best to proceed in light of the specific circumstances at hand.
Do I need a federal whistleblower lawyer to seek a reward for reporting OFAC sanctions evasion?
While not legally required, hiring an experienced federal whistleblower lawyer to help you seek a reward for reporting OFAC sanctions evasion is strongly recommended. The same is true for seeking a reward for exposing tax fraud, securities fraud, commodities fraud, and other federal violations as well. Serving as a whistleblower in these cases is a complex process, and whistleblowers must have a clear understanding of both their obligations and the government’s expectations.
Our attorneys represent federal whistleblowers at no out-of-pocket cost, and we maintain strict confidentiality throughout the process. We will not disclose any information you share with us to the federal government unless you authorize us to do so. If you decide to come forward, we will work with the government on your behalf, helping to ensure that your identity remains protected and working to secure your whistleblower reward if you become eligible to receive one.
Are whistleblower protections afforded to individuals who report OFAC sanctions evasion?
Yes, whistleblowers who report OFAC sanctions evasion are entitled to strong confidentiality protections and protection against retaliation. If your employer were to discern your identity, it would be prohibited from retaliating against you, and you would be entitled to damages and/or other remedies in the event of unlawful retaliation. This is true under the whistleblower protection provisions of the Bank Secrecy Act (BSA), Anti-Money Laundering Act (AMLA), and other federal whistleblower statutes.
Speak with an Experienced AML Whistleblower Lawyer in Strict Confidence
If you are interested in pursuing a sanctions evasion whistleblower reward, we encourage you to contact us promptly for more information. To schedule a free and confidential consultation with an experienced AML whistleblower lawyer at Oberheiden P.C., please call 866-320-3959 or contact us online today.