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Ponzi: SEC Charges Stanford with $8 billion securities fraud
Calculated Risk —
From the SEC: SEC Charges R. Allen Stanford, Stanford International Bank for Multi-Billion Dollar Investment Scheme Stanford's companies include Antiguan-based Stanford International Bank (SIB), Houston-based broker-dealer and investment adviser Stanford Group Company (SGC), and investment adviser Stanford Capital Management. The SEC also charged SIB chief financial officer James Davis as well as Laura Pendergest-Holt, chief investment officer of Stanford Financial Group (SFG), in the enforcement action. Pursuant to the SEC's request for emergency relief for ...
SEC on Stanford International: Multi-Billion Dollar "Scheme"
Paul Kedrosky's Infectious Greed —
... Ponzi zen: SEC Charges R. Allen Stanford, Stanford International Bank for Multi-Billion Dollar Investment Scheme FOR IMMEDIATE RELEASE 2009-26 Washington, D.C., Feb. 17, 2009 — The Securities and Exchange Commission today charged Robert Allen Stanford and three of his companies for orchestrating a fraudulent, multi-billion dollar investment scheme centering on an $8 billion CD program. More here and here. As an aside, and I'm sure this is just me, but it bugs me that the ...
Don’t Be Stupid When Chasing Higher Yields
My Money Blog —
One of my biggest financial pet peeves is when people refuse to realize the connection between return and risk. Whenever you see an investment that offers a “guaranteed safe” or “insured” return that is significantly above what an FDIC-insured bank can offer, it’s safe to assume that your risk has gone up. The latest example is the Stanford Investment Group, which the SEC accuses of massive investment fraud: SIB has sold approximately $8 billion of so-called “certificates of deposit” to investors by promising improbable and unsubstantiated high interest rates. These rates ...
Attorney for Stanford’s “Disaffirmation” of Prior Statements Was Red Flag for SEC
Securities Docket —
[image] The SEC announced yesterday that it has charged Robert Allen Stanford and three of his companies for orchestrating a fraudulent, multi-billion dollar investment scheme centering on an $8 billion CD program. News reports today indicate that the actions of a Stanford attorney who disaffirmed prior statements to the SEC about Stanford played a part in the SEC’s investigation. According to Enforcement Director Linda Chatman Thomsen, the SEC alleged a “massive fraud based on false promises and fabricated historical return data to prey on investors.” The SEC’s complaint, filed in federal court in Dallas, alleges that acting ...
Counsel for Stanford Financial Withdrew Following SEC Testimony of Executive
Securities Docket —
Additional details have emerged on the chain of events that led to counsel for the Stanford Financial Group withdrawing from representing the company and disaffirming all prior statements made to the SEC regarding his former client.
The Memphis Daily News reports that on Tuesday, February 10, five representatives of the SEC took the testimony of SFG’s chief investment officer, Laura Pendergest-Holt, in the SEC’s office in Fort Worth, Texas. Exactly one week later, the SEC charged Pendergest-Holt, CFO James Davis and Chairman R. Allen Stanford with “a fraud of shocking magnitude” that involved defrauding and ...
Another alleged Caribbean Ponzi
FT Alphaville —
... William J. Wise); Ryan D. Hoegel of Lincoln, Calif. (the brother of Kristi Hoegel); Daryl C. Hoegel of American Canyon, Calif. (the husband of Jacqueline Hoegel), Laurie H. Walton of Raleigh; and United T of S, LLC, Sterling I.S., LLC, Matrix Administration, LLC, and Jasmine Administration, LLC. All four entities are based in Las Vegas. The SEC’s enforcement action seeks an order compelling them to return funds and assets traceable to the Millennium Bank fraud. Gosh, that all sounds so familiar . UPDATE: Looks like Business Week was on ...
How to Stop the Next Fraudsters (Tradecraft)
SmartMoney.com —
... this week that R. Allen Stanford’s Stanford Financial, now charged by the SEC as being a $7 billion Ponzi scheme, had had just such suspicions raised by a whistleblower as early as 2003. The SEC was tipped off…but didn’t get around to actually pressing charges for six years. ...
