SEC Charges Stanford Financial in $8B Fraud - washingtonpost.com
I'm holding you personally responsible, dana.The Securities and Exchange Commission today charged a prominent Texas businessman and three of his companies with an $8 billion fraud in the sale of certificates of deposit. The case appears to mark one of the largest alleged frauds by a money manager in U.S. history.
Robert Allen Stanford and his companies sold $8 billion of CDs -- guaranteed fixed-income investment products -- to investors by "promising improbable and unsubstantiated high interest rates," the SEC said in a statement. The agency named in its complaint Stanford International Bank Ltd., based in Antigua, and related firms based in Houston.
A federal judge in North Texas, where the case was filed, has frozen Stanford's assets. The SEC said Stanford had not cooperated and that it is still investigating the alleged fraud.