Ontario securities watchdog offers rewards of up to $5M for financial crime tips

Ontario's stock market regulatorhas unveiled what it says is Canada's first program to pay for tips from whistleblowers in the securities industry.

The head of the Ontario Securities Commissioncalled the new program a "game changer."

"We expect it will significantly enhance our ability to protect investors and to ensure fairness in the market," said OSC chair and CEO Maureen Jensensaid Thursday.

If awhistlebloweris eligible for an award under the program,the OSC saidthe compensation couldbe between five and 15 per cent of totalmonetary sanctions ordered and anyvoluntary payments made, up to a maximum of $1.5 million.

However, the maximum award will increase up to $5 million if thesanctions ordered and voluntary payments top$10 million,and at leastthat much money has been collected by the regulator.

"We expect it to result in high-quality tips about insider trading, market manipulation, and accounting and disclosure matters," Jensen said.

• OSC whistleblower program to launch July 14
• OSC beefs up whistleblower program with cash rewards

"These are sophisticated matters that can go undetected for long periods of time, and seriously cause harm to investors," she said.

Whistleblowers can report anonymously, and the OSC said it will make "all reasonable efforts" to protect the confidentiality of individuals who provide tips.

Anti-reprisal provisions have been added to the province's securities legislation that will allowthe OSC to also takeenforcement action against employers who retaliate against whistleblowers and renderanycontractual provisions designed to silence a whistleblower as unenforceable.