Stanford Receiver Asks Full Fifth Circuit to Reverse Panel’s $65M Settlement Annulment

Three federal appeals court judges in New Orleans got it all wrong six weeks ago when they invalidated a $65 million settlement in the eight-year litigation battle over the Allen Stanford Ponzi scheme, according to motions filed late Wednesday.

Lawyers for the court-appointed receiver seeking to recover money for victims of the $7 billion Stanford fraud argue that a panel of the U.S. Court of Appeals for the Fifth Circuit “engaged in independent erroneous fact finding” and ignored established precedent when it rejected a carefully negotiated and district judge-approved settlement agreement in June.