Cassidy Urges SEC to Pursue Stanford Case

WASHINGTON, D.C. – Today, Congressman Bill Cassidy, M.D. (R-LA) sent a letter to Mary Schapiro, the Chairwoman of the Securities and Exchange Commission (SEC), regarding the Stanford Financial Group.  The letter asks the SEC to appeal the July 3, 2012 District Court ruling on SEC v. Securities Investor Protection Corporation (SIPC).  The ruling denies SIPC compensatory coverage to Stanford victims. 

“It is vital that the SEC contest this ruling,” Cassidy said.  “It is a blow that Stanford investors can’t sustain.  SIPC's main purpose is to provide compensation for customers of failed brokerages, which the SEC has determined the Stanford victims to be.  As SIPC's regulator, the SEC has an obligation to take every possible course of action to see this though.” 

A copy of the letter from Congressman Cassidy to Chairwoman Schapiro is attached.  The text of a letter the Congressman references by Ms. Jean Mayhall in his letter is also attached.