Categories

NIAP Press Release - 12/20/2010

NIAP PRESIDENT RON STEIN STATEMENT WELCOMING LEGISLATION TO PROTECT INVESTORS DEFRAUDED BY BERNIE MADOFF

“I welcome Representative Scott Garrett’s introduction of the Equitable Treatment of Investors Act, which will protect victims that have been defrauded by Bernie Madoff’s Ponzi scheme in the face of the Securities Investment Protection Corporation’s failure to do so.”

“Customers of registered brokers regulated by the SEC are currently bound by law to rely on their customer statements as evidence of what their broker owes them, yet these same statements are used to tax victims of fraud who believed they invested in good faith. The proposed legislation ensures laws intended to protect victims from such actions are enforced, even if the broker engages in fraud.”

Congress passed the Securities Investor Protection Act 40 years ago to protect investors against broker theft and fraud and boost investor confidence. Current efforts to disqualify the values on account statements threaten to undermine that confidence. In particular, ongoing clawbacks against innocent investors are clearly contradictory to the intent of SIPA.

“This bill does not intend to dramatically change the law. It is intended to provide much needed transparency and enforce the spirit of a good law that already exists.”

The Network for Investor Action and Protection (NIAP) is a not-for-profit organization. Founded by former investors of Bernard L Madoff Investment Securities Inc, NIAP seeks to enhance protections for all investors, while pressing for relief for innocent victims of Ponzi frauds.

# # #

Share This Page:
  • email
  • Facebook
  • Twitter
  • LinkedIn