RCMS RCMS Whistleblower Programs & Reporting Obligations 1

Question 1

Which federal law first established broad whistleblower protections for employees who report corporate fraud at publicly traded companies?

Accepted Answer

Sarbanes-Oxley Act (SOX)

Answer

False Claims Act

Answer

Dodd-Frank Act

Answer

National Labor Relations Act

Question 2

Under the False Claims Act's qui tam provisions, a private individual (relator) who brings a lawsuit on behalf of the U.S. government may receive what share of recovered funds?

Accepted Answer

15 to 30 percent

Answer

1 to 5 percent

Answer

50 to 60 percent

Answer

5 to 10 percent

Question 3

A compliance officer is designing a whistleblower program. Which feature is most critical to encourage reporting?

Accepted Answer

Anonymity and anti-retaliation protections

Answer

Financial rewards for all reports

Answer

Mandatory reporting to government agencies

Answer

Public disclosure of all complaints

Question 4

Which agency administers the whistleblower program under the Commodity Exchange Act (CEA)?

Accepted Answer

Commodity Futures Trading Commission (CFTC)

Answer

Securities and Exchange Commission (SEC)

Answer

Financial Industry Regulatory Authority (FINRA)

Answer

Department of Justice (DOJ)

Question 5

What is the primary legal protection afforded to internal whistleblowers under SOX Section 806?

Accepted Answer

Protection from termination, demotion, or harassment for reporting suspected fraud

Answer

Guaranteed anonymity in all internal investigations

Answer

The right to file directly with the SEC without exhausting internal remedies

Answer

Mandatory financial awards from the company

Question 6

Which of the following best describes an 'open door' reporting policy in a compliance program?

Accepted Answer

Employees may report concerns to any level of management without fear of reprisal

Answer

Reports must be submitted only to direct supervisors

Answer

All reports must be made in writing and signed

Answer

Concerns are escalated exclusively to external auditors