Despite significant pressure from members of Congress, the SEC has decided to end a legal dispute with the Securities Investor Protection Corp. in which the SEC has pressed SIPC to pay investors harmed by Allen Stanford’s $7 billion Ponzi scheme. On July 18, 2014, the U.S. Court of Appeals for the D.C. Circuit upheld a lower court decision against the SEC, agreeing with SIPC that there was no basis for SIPC to act because the Stanford CDs at issue came from the Antigua-based Stanford International Bank.
