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5th Circ. Told To Allow Stanford Ponzi Victims Into Suit
Law360 (October 7, 2020, 10:45 PM EDT) -- The Fifth Circuit was told it should undo a lower court's ruling and allow 147 duped investors to intervene in a lawsuit seeking monetary damages from banks that facilitated R. Allen Stanford's Ponzi scheme because the Official Stanford Investors Committee doesn't have standing to pursue their Texas Securities Act claims.
Circuit Judge E. Eugene Davis repeatedly asked attorneys for both sides to explain how the court's 2019 ruling in Zacarias v. Stanford International Bank should factor into its decision here. In that case, the court upheld receiver settlements against two insurance brokers for a combined $133 million, rejecting arguments from investor...