Now raising intellectual capital
It’s bad enough being a victim of a Ponzi scheme. But it’s rubbing salt in the wound when the court-appointed receiver charged with cleaning up the mess makes things worse for investors fleeced in the scam.
Yet that’s just what the receiver appears to be doing in the case of R. Allen Stanford, who has been accused of running a $7 billion Ponzi scheme.
In an unusual turn of events, the receiver, Ralph Janvey, again finds himself doing battle with the Securities and Exchange Commission, which recommended the Dallas attorney’s appointment back in February. A month ago, the SEC opposed a $20 million fee application that Janvey had submitted, saying the receiver’s compensation request was excessive.
Now the SEC is asking the Texas federal court judge who approved Janvey’s appointment to strip the Dallas attorney of the power to bring so-called “clawback” lawsuits against innocent investors. The SEC contends the lawsuits are unnecessarily punitive and not supported by either “logic or law.”