R. Allen Stanford’s investors didn’t lose their money the right way. That’s the securities industry’s quixotic stance on whether to grant insurance coverage for U.S. investors who claim they were fleeced by Stanford’s brokerage business. For almost three years, investors caught in the collapse of what regulators say was a $7 billion Ponzi scheme have awaited a decision by the Securities Investor Protection Corp. During that time, the Securities Industry and Financial Markets Association, which represents about 650 brokers nationwide, has been urging SIPC not to pay. Read more in the Houston Chronicle here.
