Open Letter to Ralph Janvey, Attorneys for the Receiver, and the Official Stanford Investors Committee - Request for Timely Response
COViSAL FOR RESTITUTION, SINCE 2009 http://www.covisal.org
March
17, 2025
Open Letter to Ralph
Janvey, Attorneys for the Receiver, and the Official Stanford Investors
Committee, responsible for the Judicial Administration of the Stanford
Financial Group and Distributions to the Victims.
Subject:
Request for Timely Response to COViSAL’s Inquiries
Dear
Mr. Ralph Janvey, Attorneys, and the Official Stanford Investors Committee,
I am
writing to you in this Open Letter on behalf of COViSAL (Coalition of Stanford
Victims in Latin America - 2009), its members, and followers, to express our
deep concern and disappointment over the lack of response to our communications
dated January 7 and February 6 regarding the "U.S. Receiver's Claims
Process," the transition to Verita Global, and the future of the Judicial
Administration of the Stanford Financial Group.
These
inquiries were made in good faith to ensure transparency and address the
uncertainties faced by countless victims whose lives depend on this process.
We have not received any acknowledgment or response to these emails. This
silence is disheartening and undermines the trust that COViSAL and its
members have placed in the leadership of the Receiver, their attorneys, and the
Official Stanford Investors Committee ("OSIC").
Inexplicable
and Unacceptable Facts
It is
incomprehensible that in the numerous documents published over more than a
decade of civil litigation, the U.S. Securities and Exchange Commission
("SEC") has not been held fully accountable for failing to protect
investors, nor has the Department of Justice ("DOJ") been held
responsible for failing to ensure justice or reparations for the desperate
victims who lost their savings.
As
highlighted in the "Reports of Investigation": Case No. OIG-516 and
Case No. OIG-526 (March 31, 2010) by the SEC’s Office of Inspector General, the
SEC's Fort Worth District Office (FWDO) had indications as early as 1997 that
Allen Stanford was perpetrating a Ponzi scheme. What did the SEC do?
Nothing. It allowed the fraud to continue.
The
recent guilty plea by TD Bank in Case No. 2:24-cr-00667-ES-1 (United States vs.
TD Bank, N.A.) underscores the crucial role financial institutions
played in facilitating this fraud. Despite receiving substantial information
from the U.S. Receiver and OSIC about TD Bank’s involvement in illicit
activities related to the Stanford fraud, the DOJ did not inform OSIC or the
Receiver about its investigation into TD Bank for money laundering from 2014 to
2023.
This
lack of transparency and timely action is evident in the inexcusable
omission of Stanford victims in Case No. 2:24-cr-00667-ES-1 (United
States vs. TD Bank, N.A.).
We
Demand Justice
We
respectfully urge you to press the DOJ to ensure that a significant portion of
the $3 billion settlement with TD Bank (Case No. 2:24-cr-00667-ES-1 / United
States vs. TD Bank, N.A.) is allocated to compensate the victims, under Section 308(a) of the Sarbanes-Oxley Act.
Closure
of the SEC vs. Stanford International Bank, Ltd, et al. Case No. 3:09-CV-298N
On
January 29, 2025, Federal Judge David C. Godbey ordered the closure of the
16-year lawsuit: SEC vs. Stanford International Bank LTD, et al., and the
creation of a Fair Fund for the Receiver to distribute to the victims
the restitution amounts set by the Court for each defendant.
To
the detriment of Stanford’s victims, none of the defendants in this lawsuit
(Stanford Financial Group Building Inc, Stanford Financial Group Company,
Stanford Capital Management LLC, James Davis, Gilberto López, Robert Allen Stanford,
Stanford International Bank, and Stanford Group Company) have available funds
to pay the penalties imposed in the Final Judgment. Therefore, it is
imperative that a significant portion of the $3 billion settlement with TD
Bank be allocated to Stanford’s victims, most of whom are elderly or vulnerable
individuals who, having lost their life savings in this monstrous fraud,
are now facing destitution.
Specifically,
we would like to know:
1.
How does the closure of the SEC vs. Stanford
International Bank LTD. et al. case impact the "U.S. Receiver's
Claims Process"?
2.
Can Verita Global update its contact information
(emails and phone numbers)?
3.
Does Verita Global guarantee timely responses
to victims’ concerns?
4.
Can Info-SFC explain the new modus operandi for
delivering checks via UPS?
5.
Can Info-SFC provide the UPS tracking number?
6.
Why were some checks randomly issued with a $10
deduction?
7. When will the Receiver's 2nd Schedule of
Distribution Payments to Be Made Under the 11th Interim Plan be published?
8.
Is there a date set for the Twelfth Distribution? What
funds will it include?
COViSAL
has been a steadfast advocate for Stanford’s victims since 2009, and we remain
committed to ensuring that our members' voices are heard. We believe that
open dialogue and collaboration are essential to achieving a fair and equitable
resolution for all parties involved.
We
hope this open letter serves as a reminder of how important accountability and
transparency are in this process. We kindly request your prompt response to
address these critical issues together.
Sincerely,
/s/ Jaime R. Escalona
Jaime
R. Escalona
On behalf of COViSAL
Twitter:
@COViSAL
jaenrodes@covisal.org
