The agency denied her award eligibility on a technical ground: it determined her disclosure was not "voluntary" because she published her findings in the Wall Street Journal three days before filing an SEC complaint. Under the SEC's interpretation, voluntary disclosure requires approaching regulators first, with media publication disqualifying an applicant from the whistleblower program's financial awards. Fixler and her attorney, Stephen Kohn, argue this definition contradicts ordinary language and the practical realities of corporate investigations.
Attorneys should monitor this case closely. The SEC's narrow reading of "voluntary" creates a perverse incentive structure: it effectively penalizes whistleblowers who use journalism—historically the most powerful tool for exposing corporate misconduct—in favor of direct regulatory reporting. If upheld, the standard could suppress legitimate whistleblowing through traditional channels and narrow the pool of information reaching regulators. The decision may face legal challenge and could prompt legislative scrutiny of the whistleblower program's eligibility rules.