WASHINGTON, DC – July 18, 2014 – The Securities Investor Protection Corporation (SIPC) today issued the following statement in the wake of the decision by the U.S. Court of Appeals for the District of Columbia upholding the District Court decision that Stanford International Bank CD Investors do not meet the definition of “customer” under the Securities Investor Protection Act (SIPA).
SIPC President Stephen Harbeck said: "We appreciate the considerable time and attention the Appeals Court gave to this case and to its decision that SIPC acted in this matter consistent with the Securities Investor Protection Act. I want to underscore that SIPC has the deepest sympathy for the victims of the Stanford Antigua bank fraud, which caused them significant harm.
SIPC's focus remains where it always has been: protecting customers against the loss of missing cash or securities in the custody of failing or insolvent SIPC member brokerage firms. We will continue to work within the mandate of the Securities Investor Protection Act to protect customers in the manner that always has been intended."