Allen Stanford Ponzi Scheme

[scion]

U.S. SEC won't appeal court ruling on Allen Stanford fraud

Fri Sep 5, 2014 3:48pm EDT
http://www.reuters.com/article/2014/09/05/us-sec-stanford-idUSKBN0H023M20140905

(Reuters) - The U.S. Securities and Exchange Commission decided not to appeal a recent court decision that said victims of financier Allen Stanford's Ponzi scheme were not eligible under federal law to file claims to recoup their losses, a spokesman for the regulator said on Friday.

On July 18, a federal appeals court in Washington, D.C. let stand a lower court ruling rejecting the SEC's effort to force the Securities Investor Protection Corp, which oversees failed brokerages, to start court proceedings on behalf of victims of the fraud at Stanford Group Co.

The SEC decided "after very careful deliberation" not to appeal that decision, spokesman John Nester said. He said the regulator remains committed to working with the receiver for Stanford's firm, the U.S. Department of Justice, and others to maximize recoveries for harmed investors.


(Reporting by Jonathan Stempel in New York; Editing by Meredith Mazzilli)

http://www.reuters.com/article/2014/09/05/us-sec-stanford-idUSKBN0H023M20140905