R. Allen Stanford, shown in the Houston office of his attorney, Dick DeGuerin, in April, surrendered to the F.B.I. on Thursday.By CLIFFORD KRAUSS
Published: June 19, 2009
HOUSTON — Federal regulators accused the Texas billionaire, R. Allen Stanford, on Friday of bribing an Antiguan regulator as part of an elaborate that included phony financial statements, fabricated performance numbers and sham audits.
Several executives of Mr. Stanford firm, the Stanford Financial Group, as well as the Antiguan regulator, Leroy King, faced civil and criminal charges on Friday, accused of cheating investors out of $7 billion.
The indictment, returned in Houston on Thursday and unsealed Friday morning, charges the five with one count of conspiracy to commit mail, wire and securities fraud; seven counts of wire fraud; 10 counts of mail fraud; and one count of conspiracy to commit money laundering. Mr. Stanford, Ms. Pendergest-Holt and Mr. King also face a charge of conspiracy to obstruct an S.E.C. inquiry. In addition, the Securities and Exchange Commission amended an earlier civil suit to include Mr. King, Mr. Kuhrt and Mr. Lopez.
Prosecutors have accused Mr. King of accepting more than $100,000 in bribes to help Mr. Stanford continue his fraud, which involved billions of dollars of certificates of deposit issued by Stanford International Bank on Antigua. The instruments paid unusually high returns and were marketed around the world, particularly in the United States and Latin America.
Nytimes
Several executives of Mr. Stanford firm, the Stanford Financial Group, as well as the Antiguan regulator, Leroy King, faced civil and criminal charges on Friday, accused of cheating investors out of $7 billion.
The indictment, returned in Houston on Thursday and unsealed Friday morning, charges the five with one count of conspiracy to commit mail, wire and securities fraud; seven counts of wire fraud; 10 counts of mail fraud; and one count of conspiracy to commit money laundering. Mr. Stanford, Ms. Pendergest-Holt and Mr. King also face a charge of conspiracy to obstruct an S.E.C. inquiry. In addition, the Securities and Exchange Commission amended an earlier civil suit to include Mr. King, Mr. Kuhrt and Mr. Lopez.
Prosecutors have accused Mr. King of accepting more than $100,000 in bribes to help Mr. Stanford continue his fraud, which involved billions of dollars of certificates of deposit issued by Stanford International Bank on Antigua. The instruments paid unusually high returns and were marketed around the world, particularly in the United States and Latin America.
Nytimes
