March 2: Hearing to lift Stanford Financial restraining order - WMC Action News 5 - Memphis, Tennessee

Reported By Andy Wise

March 2: Hearing to lift Stanford Financial restraining order

I can tell from a lot of your e-mails that some of you who are Stanford Financial investors are getting a lot of mixed messages about when the U.S. Securities & Exchange Commission (SEC) will lift its freeze of your accounts.

A Germantown, TN, woman who asked not to be identified sent me an e-mail after her local bank told her it could transfer her Stanford funds to a local account within days.  She wrote:

"I have consulted with my bank's investment department...to have my funds (no CDs) with Stanford investments switched to them.  I understand that that the process will take 7-14 days.  Will this REALLY occur?"

I talked to Pamela Weaver, press secretary for Mississippi Secretary of State Delbert Hosemann.  Hosemann is one of several state and federal officials who have subpoenaed Stanford Financial's records.

"The SEC has given our office no definitive timeline as to when the accounts will be unfrozen," says Weaver.  "However, the temporary restraining order expires on Monday, March 2, 2009 at 5:00 pm.  A hearing will be held at 10:00 am that same day to determine whether the temporary restraining order will be lifted, extended or made permanent."

That hearing will take place at the U.S. District Court in Dallas, TX, where federal officials filed their lawsuit.

A Mid-South banking source who also asked not to be identified told me, "We're informing our customers who contact us about transferring funds from a Stanford account that it's not possible until the receiver in the Stanford case decides to release the funds, which has not happened."

March 2, we'll have a better idea of when that WILL happen.  Stay tuned!

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