December 28, 2016

An oil-and-gas company has agreed to pay a $1.4 million penalty for allegedly retaliating against a former employee that raised concerns about the company’s practices.

Oklahoma-based SandRidge Energy will pay the SEC penalty after it used illegal separation agreements that included language that prohibits the employee from sharing any information that could be harmful or embarrassing to the company, in addition to participating in government investigations, according to an administrative order.

The same language could be found in other agreements the SandRidge Energy used with employees leaving the company, according to the SEC.

This penalty comes on the heels of a similar case which involves tech company Neustar Inc. using similar tactics that led to their violation of a whistleblower protection rule.