SEC Sued Over Stanford Ponzi Scheme Oversight

Law360, New York (December 13, 2011, 6:21 PM EST) -- Two victims of Robert Allen Stanford's alleged $7 billion Ponzi scheme filed a purported class action Tuesday in Florida federal court seeking to hold the U.S. Securities and Exchange Commission responsible for letting the scheme become so massive.

Carlos Zelaya and George Glantz, investors in Stanford International Bank Ltd., say the SEC believed as early as 1997 that Stanford was operating a massive Ponzi scheme selling fraudulent offshore certificates of deposit and promising unreasonably high rates of return.

“The SEC sat and watched the scheme grow...
To view the full article, register now.




Case Information

Case Title

Zelaya et al v. United States of America

Case Number



Florida Southern

Nature of Suit

Other Statutory Actions


Robert N. Scola, Jr

Date Filed

December 12, 2011

Government Agencies

Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.