Jackman v. Securities Investor Protection Corp. (In re Brentwood Securities, Inc.)

OPINION

Before MOOREMAN, PERRIS and JONES, Bankruptcy Judges. MOOREMAN, Bankruptcy Judge:

This appeal arises out of the bankruptcy court’s order denying in part the appellant’s claim for protection under the Securities Investor Protection Act (SIPA).

FACTS

The debtor, Brentwood Securities, Inc. (“Brentwood”), is a stock brokerage and investment banking firm registered as a broker-dealer with the Securities Exchange Commission. Because the Brentwood did not maintain the minimum net capital required by the SEC to hold customer property and maintain customer accounts, Brent-wood customers were…