WASHINGTON, D.C. July 22, 2009—The following is a statement from North American Securities Administrators Association (NASAA) President and Colorado Securities Commissioner Fred Joseph on yesterday’s decision by the Court of Appeals for the District of Columbia Circuit concerning the U.S. Securities and Exchange Commission’s (SEC) rule on equity-indexed annuities. NASAA is the oldest international organization devoted to investor protection. NASAA’s membership consists of the securities administrators in the 50 states, the District of Columbia, the U.S. Virgin Islands, Canada, Mexico and Puerto Rico.
“The court’s decision represents a victory for investors in that it supports the core legal position of the SEC and NASAA that equity-indexed annuities are securities and should be regulated as such under the federal securities laws.
“We are confident that the SEC will move expeditiously to resolve the procedural issues highlighted by the Court. The sooner the rule becomes effective, the sooner the SEC can begin addressing the fraud and abuse that is taking place in the sale of EIAs, using the regulatory tools available under the federal securities laws.”
For more information:
Bob Webster, Director of Communications