Announced in July 2025, the Whistleblower Rewards Program, which was established by the Department of Justice (DOJ) Antitrust Division and United States Postal Service (USPS), provides monetary incentives to those who voluntarily provide the Antitrust Division with original information about criminal violations.Memorandum of Understanding Regarding the Whistleblower Rewards Program and Procedures, Dep’t of Just. & USPS, (May 7, 2025), https://www.justice.gov/atr/media/1407261/dl?inline. Whistleblowers may be awarded up to 30% of the resulting criminal fine. To qualify for a payout, the whistleblower’s information must “reasonably articulate a violation of law affecting the Postal Service, its revenues, or property.”Id. Other qualifications include:
The first-ever whistleblower payment comes after EBlock, an online auction platform for used vehicles, acquired Company A in 2020 but failed to take immediate action to end a bid-rigging conspiracy. For more than one year post-acquisition, according to DOJ, individuals at another competing company (Company B) conspired with individuals at Company A to suppress and eliminate competition for used vehicles sold on Company A’s online auction platform. Additionally, EBlock did not take immediate action to end “shill bidding,” which involved fake bids that artificially inflated the sales prices of used vehicles on Company A’s platform.
With this whistleblower payment, DOJ has adopted an expansive interpretation of what constitutes fraud on the USPS and found it sufficient that “documents supporting the scheme were sent via U.S. mail.”Press Release, Dep’t of Just., Antitrust Division and U.S. Postal Service Make First-Ever Whistleblower Payment: $1M Awarded for Reporting Antitrust Crime (Jan. 29, 2026), https://www.justice.gov/opa/pr/antitrust-division-and-us-postal-service-award-first-ever-1m-payment-whistleblower-reporting. Under that broad interpretation of the requirement that the violation of law must “[affect] the Postal Service, its revenues, or property,” any business that uses the US mail as part of its procurement or sales processes — or to otherwise carry out any anticompetitive scheme — may create an opportunity for a whistleblower to obtain a reward.
Deputy Assistant Attorney General Omeed Assefi remarked that DOJ is already witnessing a “frenzy” of individuals coming forward and indicated that the Antitrust Division plans additional announcements related to whistleblower rewards in the coming weeks and months.Anna Langlois & Ben Remaly, Assefi: “Frenzy” of Whistleblowers Approaching DOJ, GLOBAL COMPETITION REVIEW, (Jan. 29, 2026), https://globalcompetitionreview.com/gcr-usa/article/assefi-frenzy-of-whistleblowers-approaching-doj. According to Acting Director of Criminal Enforcement Daniel Glad, “Today’s reward shows that the Antitrust Division leverages whistleblower reports to drive forward our investigations. If a whistleblower provides new information that ultimately assists the Antitrust Division in bringing charges, the whistleblower might receive a significant award — even if the criminal activity has already ended.”Press Release, Dep’t of Just., Antitrust Division and U.S. Postal Service Make First-Ever Whistleblower Payment: $1M Awarded for Reporting Antitrust Crime (Jan. 29, 2026), https://www.justice.gov/opa/pr/antitrust-division-and-us-postal-service-award-first-ever-1m-payment-whistleblower-reporting.
The Whistleblower Rewards Program is designed to address the case-generation gap left by the apparent shortcomings of other programs and initiatives (e.g., the Leniency Program),U.S. Dep’t of Just., Just. Manual § 7-3.300 (2024) (the “Leniency Policy”). The Corporate Leniency Policy grants immunity from criminal prosecution to the first corporation that self-reports its participation in a price-fixing, bid-rigging, or market allocation conspiracy and meets all eligibility requirements, including prompt reporting, full cooperation, making restitution, and not being the leader or originator of the illegal activity. Under Type A leniency (before an investigation begins), all cooperating current directors, officers, and employees automatically receive non-prosecution protection, while under Type B leniency (after an investigation has begun), such protection for individuals is discretionary. The Individual Leniency Policy grants immunity from criminal prosecution to an individual who self-reports their participation in criminal antitrust activity before DOJ has begun an investigation, provided DOJ has not received information about the activity from any other source. offering DOJ an additional mechanism to uncover criminal antitrust violations. The potential to receive a reward may incentivize individuals to report criminal antitrust activities. The first reward also demonstrates DOJ’s commitment to developing case leads through a wide array of means, even in situations where a whistleblower may qualify as a co-conspirator, provided they are not an organizer or leader of the conspiracy.Memorandum of Understanding Regarding the Whistleblower Rewards Program and Procedures, Dep’t of Just. & USPS, (May 7, 2025), https://www.justice.gov/atr/media/1407261/dl?inline. This would create tension with a DOJ-wide policy that disfavors awarding immunity and benefits to culpable individuals.
While this program and the associated reward amounts may encourage increased whistleblower activity, reporting remains a risky endeavor, as DOJ retains the discretion to prosecute whistleblowers based on their involvement in the reported conduct. What line will DOJ walk when it comes to deciding which whistleblowers to pay and which to prosecute after they step forward? The guidance provided to date on the mechanics of the program’s implementation is sparse, leaving many questions unanswered.
Companies concerned about potential criminal activity must now consider not only the risk that their co-conspirators will self-report to DOJ under its Leniency Program but also that their employees, their co-conspirators' employees, or others in the industry with relevant knowledge might report under the Whistleblower Rewards Program. Companies should ensure they maintain robust compliance programs and implement clear reporting mechanisms, providing employees with an incentive to report illegal conduct internally before approaching DOJ. In particular, employee reports should be taken seriously and escalated quickly. This approach aligns with the Antitrust Division’s guidance on corporate compliance programs, which emphasizes a heightened focus on emerging antitrust risks, enhanced support and incentives, and proactive monitoring.See Latham & Watkins Client Alert: Antitrust Division’s Updated Guidance on Evaluating Corporate Compliance Programs – Key Features and Takeaways
These compliance programs must also extend to acquired companies. Notably, EBlock was held liable not for its own conduct, but for the unlawful conduct of its acquired company due to EBlock’s failure to promptly address the bid-rigging conspiracy and “shill bidding.” This enforcement action highlights the critical importance of pre-acquisition diligence and immediate post-acquisition compliance and auditing efforts. While DOJ encourages acquiring companies to self-report criminal misconduct through the Mergers & Acquisitions Safe Harbor policy, neglecting to do so can result in consequences even worse than those faced by EBlock, such as a criminal conviction.See Latham & Watkins Client Alert: DOJ Announces Safe Harbor Policy for Voluntary Self-Disclosure of Criminal Misconduct Uncovered in M&A
This post was prepared with the assistance of Aimee Campbell in the New York office of Latham & Watkins.