CFTC Seeks Faster Tipster Payouts for Awards Below $5 Million

The US derivatives regulator wants to process smaller whistleblower claims faster by automatically awarding successful tipsters 30% of any penalties collected if their payout would be $5 million or less.

The Commodity Futures Trading Commission outlined the plan in a proposal Thursday, arguing it would cut the time agency attorneys pore over cases to determine awards.

The rule change would apply to the vast majority of CFTC whistleblower cases. About 82% of CFTC awards since the program’s inception were $5 million or less, the agency said. The move would also align the CFTC’s processes with the whistleblower program at ...