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BlackRock settles with SEC on whistleblower charges

Fund manager pays $340,000 to settle charges it sought to gag whistleblowers, but says no employee was actually prevented from contacting SEC

BlackRock has settled charges that it sought to gag whistleblowers in the US
BlackRock has settled charges that it sought to gag whistleblowers in the US

BlackRock, the world's biggest fund manager, has agreed to settle charges from the US market regulator that it "improperly" forced exiting employees to waive their ability to obtain whistleblower awards.

In a statement released on January 17, the Securities and Exchange Commission said BlackRock will pay a $340,000 penalty to settle charges that it improperly used so-called "separation agreements" signed by departing staff.

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