SEC Settles With CBRE for Violating Whistleblower Protection Rule

The Securities and Exchange Commission charged CBRE Inc., a Dallas-based commercial real estate services and investment firm, for using an employee release that violated the SEC’s whistleblower protection rule. Between 2011 and 2022, CBRE required its employees to sign a release in order to receive separation pay, which attested that they had not filed a complaint against CBRE with any federal agency. By doing this, CBRE effectively hindered potential whistleblowers from reporting complaints to the Commission. Once informed of the investigation, CBRE took extensive remedial action, including revising their employee releases and similar agreements, and communicating with their employees about the protections of the rule. As part of their settlement without admitting or denying the findings, CBRE agreed to pay a civil penalty of $375,000 and to cease and desist from committing or causing any further violations of the whistleblower protection rule. The SEC honored CBRE’s agreement and cooperation in the resolution.