Corporate whistleblower protection “undermined” if internal complaints not protected.
Washington, D.C. June 26, 2017. The U.S. Supreme Court granted certiorari today in the case of Digital Realty Trust, Inc. v. Somers, Paul. The Court will decide the issue of whether internal reports to managers are covered under the Dodd-Frank Act’s anti-retaliation law.
Today, the Executive Director of the National Whistleblower Center, Stephen M. Kohn, released the following statement:
“The U.S. Chamber of Commerce and its allies have argued that the securities whistleblower law does not cover employees who report their concerns to management. This position is counter to law, policy and common sense. Employees who have the courtesy to report concerns to their internal compliance program, before filling a claim with the government, need protection. If internal complaints are not protected, corporate compliance programs will be undermined and auditors who resist watering down findings will be at-risk for being fired. The position argued by the employers in Digital Realty Trust simply defies logic and common sense. We hope that the Supreme Court resolves this issue and clearly protects employees who file concerns over securities fraud to their managers.”
Last week Mr. Kohn published an opinion article in Law360 regarding the legislative history behind the DFA’s anti-retaliation law, explaining in detail why internal whistleblowers must be protected.