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DOJ Antitrust Division Issues First-Ever Award Under Whistleblower Rewards Program

Client Alert | 4 min read | 02.04.26

On January 29, 2026, the U.S. Department of Justice (DOJ) Antitrust Division (Division) and U.S. Postal Service announced the first-ever payment under the antitrust whistleblower rewards program, awarding $1 million to an individual whose information led to a $3.28 million fine as part of a deferred prosecution agreement with EBLOCK Corporation, an online auction platform for used vehicles.

This landmark award marks a new chapter in criminal antitrust enforcement. Launched in July 2025 as a partnership between the Division and Postal Service, the whistleblower program provides monetary rewards for individuals who assist in the prosecution of antitrust crimes. Whistleblowers who voluntarily report original information about antitrust and related offenses with a nexus to the Postal Service that result in criminal fines or recoveries of at least $1 million are eligible for an award between 15 and 30 percent of the recovery, at the discretion of the Division. No information was provided regarding how the Division calculated the $1 million award in the EBLOCK enforcement action, which is slightly more than the 30 percent maximum award under the program, or whether the conduct affected the Postal Service other than via the use of the mail system.

Overview of the EBLOCK Enforcement Action

The whistleblower’s tip helped expose that EBLOCK did not take immediate action to end a bid-rigging and fraud conspiracy after an acquisition. According to the Criminal Information and Deferred Prosecution Agreement, when EBLOCK acquired “Company A,” another online used car auction platform, in November 2020, it was engaged in a conspiracy with “Company B” to rig bids and suppress competition, which continued until February 2022. The Criminal Information alleged that Company A and Company B colluded to fix bids and exchange confidential pricing information, including maximum bid amounts; coordinated the placement of “shill” bids under the names of legitimate auto dealerships without their consent to artificially inflate sales prices; and maintained a shared inventory of auctioned vehicles. Documentation related to the illegal scheme was sent via U.S. mail.

In addition to the $3.28 million criminal fine, EBLOCK agreed to implement robust compliance measures and cooperate with ongoing investigations. Significantly, there was no allegation that the Postal Service was a victim of the conduct in this matter; rather, the connection to the whistleblower program stems from the defendant’s use of the mail to facilitate the scheme. Given the broad application of the required nexus between the conduct and the Postal Service, the whistleblower program appears to be a tool the Division can use to generate enforcement actions across virtually every sector of the U.S. economy.

Practical Takeaways

The inaugural award demonstrates that the whistleblower program has the potential to be a key component of criminal antitrust enforcement moving forward. At an event on the day the award was announced, Deputy Assistant Attorney General (DAAG) of the Antitrust Division Omeed A. Assefi stated that a “frenzy” of people have contacted the Division seeking to qualify for the program. DAAG Assefi also indicated an overall increase in criminal antitrust enforcement on the horizon, noting “the criminal program is no longer a means to just sort of help or influence civil investigations. It’s here on its own.”

Given the arrival of the whistleblower program and promise of increased criminal antitrust enforcement, companies across all industries should:

  • Implement and maintain effective antitrust compliance programs: The need to develop and maintain robust internal controls and proactive efforts to prevent, detect, and address misconduct remains crucial – especially in high-risk sectors.
  • Perform diligence and promptly address any compliance issues at acquired companies: Incorporating acquired entities swiftly into the parent company’s compliance framework helps prevent inherited risk and guarantee oversight. The EBLOCK enforcement action makes clear that acquirers will be held responsible for the actions of companies they acquire and are expected to promptly identify and remediate any potential issues at an acquired company. Relatedly, companies contemplating acquisitions should place added emphasis while conducting diligence on whether they might be acquiring cartel exposure and if antitrust scrutiny of the transaction could uncover anticompetitive activity of interest to enforcers.
  • Ensure robust internal reporting, investigation, and remediation: It continues to be essential that companies set up strong internal reporting channels, conduct timely, thorough investigations of whistleblower allegations, and consider whether prompt self-reporting to the DOJ when appropriate. DAAG Assefi remarked that the “race” to self-report illegal conduct to the Division and receive leniency is “faster now, because employees and their attorneys are incentivized to blow the whistle and beat their companies to the Division’s doorstep.”

Looking Ahead

The whistleblower program is a new and important tool for the Division, which for the last 30 years has relied on its leniency program as the primary method to incentivize reporting of wrongdoing by those directly involved in criminal antitrust offenses. The whistleblower program now reaches beyond the leniency program to encourage other individuals not directly involved in the conduct to report. With more at stake for any potential whistleblower, companies should ensure they have an effective reporting system in place, including through anonymous channels, and investigate all credible allegations of wrongdoing. Additionally, companies should ensure that reporting systems and compliance programs are widely communicated among employees, especially following an acquisition or influx of new employees.

 

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