Accounts of Stanford Investment Fraud Victims to be Released
Ralph Janvey, the receiver appointed to oversee Allen Stanford's assets, plans to release accounts under $250,000 by March 9th.
After the Texas billionaire duped thousands of unsuspecting investors in an $8 billion dollar investment fraud, all assets related to the flamboyant fraudster were frozen. This made it difficult for many unfortunate investors to pay bills and other necessary expenses. Luckily, for those people, Janvey has announced the release of all accounts under $250,000 that are not involved in the investigation. 12,000 clients will regain access to their funds upon the release.
Most of these accounts are managed at Pershing LLC, the clearing firm for the majority of Stanford accounts. Janvey, however, has also considered releasing accounts held at JP Morgan Clearing Company.
Janvey has also explained, after looking into Stanford's financial situation, that the schemer is in such bad shape financially that clients will need to transfer their funds to other broker dealers in order to gain access.
Before the news of Janvey releasing the accounts, many unhappy investors filed suit against both Janvey and the Securities and Exchange Commission (SEC) claiming they wrongly seized accounts. Janvey has apologized for the financial burden the freeze has put on investors.
All certificates of deposit controlled by Antigua and Barbuda remain frozen.
Stanford Investment Fraud
Dealing with the mess created by swindlers like Stanford can be exhausting and frustrating. Our team of securities attorneys can help you find the answers and resources you need to recover your investment.
If you have lost money in the Stanford investment fraud or any other securities fraud, contact an experienced securities attorney at Arnold & Itkin LLP for a free evaluation of your case.
