Reps. Garrett, Maloney Introduce the Restoring Main Street Investor Protection and Confidence Act of 2015
WASHINGTON, D.C. – U.S. Representatives Scott Garrett (R-N.J.), Chairman of the House Financial Services Capital Markets and Government Sponsored Enterprises Subcommittee, and Carolyn Maloney (D-N.Y.), Ranking Member of the Subcommittee on Capital Markets and Government Sponsored Enterprises, today introduced H.R. 1982, the Restoring Main Street Investor Protection and Confidence Act of 2015.
H.R. 1982 would reaffirm and clarify key protections for ordinary investors that were put in place when Congress passed and amended the Securities Investor Protection Act (SIPA). In particular, the bill aims to properly shield innocent individual investors who have already been defrauded and financially devastated by Ponzi schemes perpetrated by Bernie Madoff, Allen Stanford, and others from further “clawbacks” by the Securities Investor Protection Corporation (SIPC) Trustee.
“This bill is about creating confidence in our markets and protecting innocent investors—investors with their life savings on the line—from abuse, and malfeasance,” said Garrett. “If Americans lose faith in our securities markets, and the government agencies that give them their seal of approval, it could have a devastating impact on our capital markets and our economy. If enacted, this legislation will bring confidence back to Main Street investors by ensuring fairness for victims, enhancing efficient functioning of U.S. securities markets, and strengthening the oversight and accountability of the Securities Investor Protection Corporation (SIPC).”
“The last thing a defrauded investor needs is an additional shakedown from the Securities Investor Protection Corporation,” said Maloney. “This important legislation would shield mom and pop investors from these so-called clawbacks, and ensure we go after the criminals, not the victims. It’s a pleasure to work with Representative Garrett on this important legislation.”