Yet Another Billionaire Charged with Fraud
June 19, 2009 by Mark Ellis
Filed under Business
It is the kind of news that investors all around the world dread: Allen Stanford, founder and chairman of the Stanford Group, an entity that took in billions of dollars worth of private investments, has been charged with fraud. His investors, including some outside of the United States, have started referring to him as a scam artist on the level of Bernie Madoff.
Stanford’s business had been in sharp decline since February, when regulators started accusing him of perpetrating massive fraud, but now that he has been indicted on fraud, conspiracy, and obstruction charges, Stanford faces significant legal punishment. Those who invested with Stanford have called for nothing less than the maximum punishment available.
In true tail-covering fashion, Stanford points the finger at the government, stating that his companies were doing well until the government seized them in February. He claims that he has been singled out to serve as a “scapegoat” for the investors who have lost so much money with him.
Image: Flickr
