New York AG Set to Propose Whistleblower Legislation

Whistleblower

On February 26, New York AG Eric Schneiderman announced that he intends to propose state legislation to reward and protect employees who report information about misconduct in the banking, insurance, and financial services industries. The “Financial Frauds Whistleblower Act” would allow for compensation to individuals who voluntarily report fraud, and whose information results in more than $1 million in penalties or settlement. In addition, the legislation would prohibit retaliation from the employer and guarantee the confidentiality of the whistleblower’s information.