AML Whistleblower Rewards

Find Out What You Need to Know About Seeking an AML Whistleblower Reward

Financial institution employees and other individuals who submit complaints under the federal government’s AML Whistleblower Program are eligible for financial rewards in many cases. The U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN) administers the AML Whistleblower Program; and, in recent years, several FinCEN enforcement actions have resulted in eight and nine-figure fines, depending on monetary sanctions imposed. With whistleblowers receiving a percentage of the money laundering and sanctions violations collected, rewards under the AML Whistleblower Program can be substantial.

Along with being eligible for financial rewards, AML whistleblowers are also entitled to confidentiality or anonymity for reporting money laundering, and the Anti-Money Laundering Act (AMLA) prohibits financial institutions and other entities from retaliating against whistleblowers. If you have information about an AML violation, coming forward is also the right thing to do. The federal government relies on private citizens to help expose unlawful practices violating anti-money laundering laws, and exposing AML violations can help protect both the integrity of the nation’s financial system and our national security.

Qualifying for an Anti-Money Laundering Whistleblower Reward

Qualifying for an AML whistleblower reward starts with qualifying as an AML whistleblower. If you have information about an anti-money laundering violation, there are specific steps you need to take in order to receive protection (and trigger your right to a reward) under the AMLA.

To qualify for an AML whistleblower reward, you must:

• Have Non-Public Information About an AML Violation – You are only eligible to file a whistleblower complaint if you have non-public information about an AML violation. This can either be information that you obtained through first-hand knowledge or through an independent analysis.
• Be the First to Come Forward with the Information in Your Possession – To trigger AML whistleblower reward eligibility, you must be the first to come forward with the information in your possession. If someone else has already blown the whistle, or if FinCEN has obtained the same information through other means, you are not eligible.
• Not Be Directly Responsible for the AML Violation You Are Disclosing – Generally, you cannot claim an AML whistleblower reward if you are directly responsible for the violation you are disclosing. If you have concerns about potentially being implicated in an AML violation, you should discuss your concerns with your lawyer before moving forward.
• Correctly and Timely File Your AML Whistleblower Complaint with FinCEN – FinCEN has established specific procedures for filing AML whistleblower complaints. To trigger reward eligibility, you must strictly follow these procedures, and you must file your complaint in time for FinCEN to effectively pursue enforcement action.
• Provide Information that Leads to FinCEN Imposing Fines for an AML Violation – The information you disclose in your complaint must lead to a successful enforcement action. Even if you disclose a violation of the law, if FinCEN does not collect fines as a result of your disclosure, you will not be entitled to a whistleblower reward.

While these are the basic eligibility criteria for AML whistleblower rewards, determining whether you qualify to receive a reward requires both: (i) a critical assessment of the information you have in your possession; and, (ii) a clear understanding of the applicable federal AML laws, rules, and regulations. When you schedule a free and confidential consultation at Oberheiden P.C., our lawyers can assess your likelihood of securing a reward and help you make informed decisions about your next steps.

Calculation of AML Whistleblower Rewards

Under the AML Whistleblower Program, rewards are calculated as 10% to 30% of the government’s financial recovery resulting from a whistleblower’s complaint, provided that the government recovers at least $1 million. Given the nature of AML violations and FinCEN’s need to manage its resources efficiently, nearly all accepted whistleblower complaints will exceed this threshold.

To determine the specific percentage of an AML whistleblower reward, FinCEN considers three main factors. These factors are:

1. Scope and Nature of the Violation Disclosed

The more substantial the violation disclosed, the more FinCEN will generally be willing to award to the person responsible for its disclosure. Of course, while this will impact the percentage of a whistleblower’s reward, it will also play a role in determining the total fines that FinCEN is able to pursue.

2. Volume and Importance of the Information Provided

FinCEN also generally issues greater rewards for more substantial disclosures. The more information you are able to provide, and the more useful this information is to FinCEN, the greater your percentage of the government’s recovery is likely to be.

3. Level of Cooperation with FinCEN’s Investigation

Level of cooperation is also a key factor when it comes to calculating AML whistleblower rewards. If you provide assistance to FinCEN beyond your initial disclosure, this will strengthen your claim for a reward in the higher end of the 10% to 30% percent range.

Working with an Attorney to File Your AML Whistleblower Complaint

We strongly recommend working with an attorney to file your AML whistleblower complaint. There are several reasons to seek experienced legal representation in this scenario. When you choose to work with Oberheiden P.C., our attorneys will assist with all of the following:

• Filing Your AML Whistleblower Complaint with FinCEN – If you are eligible to serve as a whistleblower, our attorneys will file your AML whistleblower complaint with FinCEN in strict accordance with the agency’s substantive and procedural requirements.
• Establishing Your Eligibility for an AML Whistleblower Reward – Our attorneys will work with FinCEN on your behalf to establish your eligibility for an AML whistleblower reward and confirm your eligibility early in the process (subject to FinCEN pursuing a successful enforcement action).
• Helping Maximize Your Potential Reward – We will also help with maximizing your potential reward. This includes helping you submit as much useful information as possible (based on what you have available) and working with FinCEN on your behalf throughout its investigative and enforcement processes.
• Helping Protect Your Identity – Whether you choose to disclose your identity to FinCEN or file your complaint anonymously, we will assist with protecting your identity.
• Enforcing Your Legal Rights As Necessary – Finally, we will assist with enforcing your legal rights as necessary. This includes both enforcing your right to receive an AML whistleblower reward and seeking appropriate remedies if your employer violates the AMLA’s anti-retaliation provisions.

We will keep all information you share with us strictly confidential, and we will provide our representation at no out-of-pocket cost to you. If we assist you with securing an AML whistleblower reward, our legal fees will be calculated as a percentage of the amount you receive from the federal government. Our attorneys will discuss this with you in detail during your free initial consultation.

Put our highly experienced team on your side

Dr. Nick Oberheiden

Founder

Attorney-at-Law

Lynette S. Byrd

Former DOJ Trial Attorney

Partner

Brian J. Kuester

Former U.S. Attorney

Hon. Kevin McCarthy

55th Speaker, U.S. House of Representatives (ret.)

Government Consultant

Mike Pompeo

Of Counsel

Former U.S. Secretary of State

John W. Sellers

Former Senior DOJ Trial Attorney

Linda Julin McNamara

Federal Appeals Attorney

Nicholas B. Johnson

Former Prosecutor

Roger Bach

Former Special Agent (DOJ)

Chris J. Quick

Former Special Agent (FBI & IRS-CI)

Michael S. Koslow

Former Supervisory Special Agent (DOD-OIG)

Ray Yuen

Former Supervisory Special Agent (FBI)

FAQs: Seeking an AML Whistleblower Reward

Further Information About Our AML Whistleblower Lawsuit

• AML Whistleblower Lawsuit
• Why You Need an AML Whistleblower Attorney