February 27. 2009

R. Allen Stanford

The U.S. Supreme Court gave R. Allen Stanford a free pass to break the law, via a 1982 decision it rendered that, "Tied regulators hands a bit."

The Supreme Court deregulated the certificate of deposit industry, which flung open the door for crooks like Stanford to wreak havoc.

Said decision subsequently caused Stanford's criminal conduct to mushroom into a $8 billion dollar fraud, that has heavily impacted investors in the Caribbean, South America and parts of America. Nice going!

Leave it to the Supreme Court to let a rich criminal get away with murder. It's appears to be standard operating procedure with that dishonorable court, in making decisions that come back to haunt the nation.

But was Stanford truly rich. One cannot claim to be rich when one's assets are stolen from others. That makes one a criminal and degenerate, preying on hard working people.

Did Court Ruling Prolong Stanford Probe?

Slow SEC progress in the Stanford Financial case could be attributed to a 1982 Supreme Court decision on securities law

Is the U.S. Supreme Court partly to blame for prolonging R. Allen Stanford's alleged $8 billion fraud involving questionable certificates of deposit sold by his Antigua-based bank?

One reason being offered up by some within the Securities & Exchange Commission for the agency's slow progress in unmasking Stanford's alleged $8 billion fraud is a 1982 high court ruling that tied regulators hands a bit. In Marine Bank v. Weaver, the nation's high court ruled that a bank CD is not the same thing as a stock or a bond and is not governed by federal securities laws.

In effect, the Supreme Court ruling left it up to bank regulators to go after abuses in the marketing or selling of CDs. Ever since, the SEC has been loath to get involved in any investigation involving the sale of CDs for fear the case might be tossed out of court.

http://www.businessweek.com