USA: SEC hits out at silencing clauses

The Securities and Exchange Commission (SEC) has, in the last few days, filed civil charges against two major companies that required their employees to undertake, in severance agreements, that they will not accept government rewards for whistleblower actions. Further subpoenas are now being issued against companies in a general clampdown on such practices. The latest challenge has cost the company concerned $US 340,000 to settle the case.

Return to all news stories