Who Protects the Whistleblowers?

By Indianapolis Private Investigator, Lauth Investigations International, Inc., November 21, 2011

We have all heard of whistleblowers, the individuals who come forward to publicly expose alleged misconduct or illegal activities that occur in the work place. This can include public or private organizations, corporations or government agencies. They blow the whistle on misconduct in the workplace that is suspected to be a violation of law or regulation. This would be such things as: fraud, bribery, violations of safety, theft and corruption. For those that come forward we have to surmise that there are hundreds that do not. It has been estimated 30-40% stay quiet due to fear of retaliation. When an individual makes allegations of wrongdoing within their work place to leadership within their company or government entity, or externally to law enforcement, regulators or media, they face uncertain futures. Frequently they face reprisal from within the agency they are exposing. While some would classify whistleblowers as snitches, it is clear most are not making accusations out of revenge, but a decision of morality and wanting to do good by exposing the irresponsibility or unscrupulousness of those in leadership positions.

For instance, on November 22, 2011, the National Whistleblowers Center (NWC) issued a letter to current United States Attorney General Eric Holder, requesting an independent investigation of allegedly mishandling child sex abuse cases by the Federal Bureau of Investigation (FBI). Allegations state gross negligence and malfeasance resulting in botched investigations in 1998 through 2002, during former FBI Director Louis Freeh’s tenure and continuing into FBI Director, Robert Mueller’s term at the FBI. The letter further asseverates former Attorney General John Ashcroft, the Department of Justice (DOJ) and even the DOJ Inspector General failed to provide responsible oversight and failed to investigate information provided by a highly decorated veteran of the FBI, Jane Turner.

Recent international news headlines that Penn State is hiring former FBI Director Louis Freeh to head up an internal investigation in the case of former assistant football coach Jerry Sandusky, who was charged with 40 criminal counts and accused of sexually abusing eight boys. It has spurred requests for further investigation into former FBI agent’s potential mishandling of other reports involving children. The NWI letter to Holder alleges gross negligence of children’s welfare, botched investigations and extreme retaliation against former FBI agent Jane Turner when she made pleas on behalf of the child victims that were ignored by her own agency. The letter further discourages Penn State from utilizing tainted officials in their effort to responsibly investigate the current allegations and charges against Sandusky.

Correspondence to other top government officials also state the FBI spent enormous resources trying to discredit whistleblower, Jane Turner and points out despite a Minneapolis jury’s 2007 verdict finding the FBI guilty of retaliation and awarding Turner maximum compensation for damages, Director Mueller promoted FBI officials personally involved in the case into high positions within the agency after the verdict has been handed down.

Addressing the FBI’s efforts to discredit her, Turner stated, “What was stunning to me was that my beloved FBI put me in a situation where I had to choose between the Bureau, which I loved, and doing the right thing. It would have been simpler for everyone involved to address the problems.” Instead efforts to discredit Turner included fabrication of a personality disorder, receiving lower performance ratings than her male co-agents, full field investigations looking for infractions and even a national security background check. None produced dirt on Turner. Without warning, on February 6, 2001 Turner was escorted from the building she was assigned and placed on administrative leave pending a Fitness for Duty Evaluation and told by a Special Agent in Charge, “You’ve had a wonderful career but it’s over.” Though eventually returning to work and reassigned during the 9/11 investigation, Turner exposed theft of items recovered from the ruins of the World Trade Center by the FBI’s own recovery team. This resulted in her second but final suspension. Turner joins approximately 12 other agents who are now classified ‘whistleblowers’, who have come forward to expose wrongdoings within the government agency and DOJ in the last decade.

Just as Turner has faced retaliation from government officials, whistleblowers in the corporate world fear similar reprisal. Without doubt, fear of retribution for doing the right thing has discouraged many from coming forward. However, new monetary incentives and efforts made by countries throughout the world to strengthen protection for whistleblowers may help when one faces a decision that could end a career, or worse.

In 2006, fraud investigator, Harry Markapolos, followed his gut instinct and repeatedly tipped off the U.S. Securities and Exchange Commission (SEC) that he suspected that Bernard “Barry” Madoff of securities fraud. It resulted in exposing the most costly and elaborates Ponzi scheme in history. Markopolos’s suspicions resulted in Madoff’s 2008 arrest and eventual plead guilty to 11 federal crimes, including fraud. Federal prosecutors estimated the Wall Street giant schemed approximately $64.8 billion missing from investor’s accounts. On June 29, 2009, Madoff was sentenced to 150 years in prison but it is unlikely he was the only individual or corporate entity who benefited from the fraudulent activity.

Since the global financial crisis, the Dodd-Frank Act went into effect in August 2011, which offers whistleblowers stronger protection from employer reprisals. This will be administered by the Securities and Exchange Commission; the tipster (whistleblower) can receive up to 30% of awards in their tip-offs. The new incentives were designed to encourage more individuals to report suspected wrongdoing and reduce their fear of retaliation from their employers.

In addition, many advocacy groups such as the National Whistleblowers Center (NWC), attorneys and private investigators, referred to as fraud detectives, are willing to provide assistance to whistleblowers to assure them they will be well protected. They will assist the whistleblower with how to have well documented claims, the collection of appropriate information and documents, and to make sure the information and documents will be reported to the appropriate authorities and an investigation will be conducted. They also will assure proper legal representation.

Markopolos has personally elected to talk openly about his experience and has become a somewhat celebrated whistleblower, a role model for do-gooders and touted as a man who wants to make a career out of “digging up skeletons, one at a time.”

Though payouts have been around for years, it is expected that formal programs offering legal protection and financial incentives to whistleblowers will both increase the quantity and quality of information to help combat corruption in the workplace, whether it is a government or a private company. With the support from others who have shed their anonymity and gone public, along with those wishing to help protect whistleblower rights, even without financial incentives, more people will feel less threatened before making the decision to come forward. In addition, improvements on protective programs should greatly discourage any official or employer from bullying someone who is trying to expose corruption or “cooking the books” as they say. Anyone in a leadership position who elects to take advantage of the system or innocent people, need to remember that it only takes the courage of one individual to take down an empire!

NWC Letter to Attorney General Eric Holder (November 22, 2011) Request for Investigation NWC Letter to Penn State (November 22, 2011) Letter to Attorney General John Ashcroft (August 26, 2003) Request for Referral and Investigation Formal Complaint Under FBI Whistleblower Regulations (October 20, 2002) Letter to FBI Director (October 11, 2002) Crimes Against Children: Additional Evidence Letter to FBI Director (October 9, 2002) Crimes Against Children: FBI Whistleblower Disclosure Honesty Without Fear - Jane Turner: Meet the Whistleblower FBI Whistleblower’s Court Award Tops $1.3 Million Damagaes (Press Release)

Author - Kym L. Pasqualini
Founder, National Center for Missing Adults
Lauth Investigations International, Inc.
201 N. Illinois St., 16th Fl.-South Tower
Indianapolis, IN 46204

Please contact Indianapolis Private Investigator, Thomas Lauth, for any investigations needed at 800.889.3463 or visit www.lauthinvestigations.com

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