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(Tanya Laim)

How can your breach turn into a securities law violation? The answer may be “via whistleblower.” More and more, corporate employees are reporting cybersecurity vulnerabilities to the U.S. Securities and Exchange Commission after not receiving satisfactory responses from managers about issues they raise. Companies with a strong internal reporting protocol may believe that they need not worry about missing a valid internal report. But organizations should not be so sure. Cyber whistleblowers may present themselves in ways that are virtually unrecognizable from a traditional whistleblower perspective. Recognizing a potential cyber whistleblower may require companies to appreciate nuances previously unanticipated by most internal reporting schemes.

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