The Securities Investor Protection Corp. has been paying victims of Bernie Madoff’s Ponzi scheme but claims it’s not responsible for any coverage of Stanford victims’ losses, Bloomberg reported today. Stanford Group Co., which sold the so-called CDs at the heart of what numerous federal officials now believe was also an $8 billion Ponzi scheme, was insured by the SIPC (the logo appeared on business cards and stationery, a source of comfort to investors).
So why pay Madoff’s victims and not R. Allen Stanford’s?
Under U.S. law, SIPC repays up to $500,000 in custodial losses to investors whose securities are missing from accounts at member firms, SIPC President Stephen Harbeck told Bloomberg. The protection doesn’t extend to investors who’ve got their certificates, even if the securities have been rendered worthless by fraudulent conduct, he said.
Say what? SIPC covers fraud, but not this kind of fraud?
Frank’s Casing Crew, now doing business as Frank’s International, will make its final appearance on ABiz’s list of the Top 50 Privately Held Companies in Acadiana this year, and once again it will likely be at the top with more than $1 billion in annual revenues. The 75-year-old company specializing in tubular fabrication and installation services to the oil and gas industry plans to offer shares of its stock to the public for the first time.
The defeat, or rather highjacking of House Bill 420 in the final days of this year's Legislative Session, say Reps. Vincent Pierre and Terry Landry, is the result of the propaganda spread by one unidentified local media outlet and an unnamed former state Representative, but nothing to do with the original legislation's lack of checks, balances or details.
He’s a singer. A songwriter. A piano man. A family man. He’s even got his own Wikipedia entry. He’s David Egan. And he knows ancient secrets about the monolithic stones of Stonehenge that he’s not willing to share.