Allen Stanford Ponzi Scheme

[scion]

Stanford settlement clear way for investor recoveries

Tuesday, March 12, 2013
http://blog.chron.com/lorensteffy/2013/03/stanford-settlement-clear-way-for-investor-recoveries/?utm_medium=twitter&utm_source=twitterfeed#print

A legal settlement between the court-appointed receiver in Dallas for Allen Stanford’s financial empire and the liquidators winding down the Stanford International Bank in Antigua should clear the way for Stanford’s long-suffering investors to recover some of their losses.

The deal frees up most of the $350 million in assets that had been frozen in various foreign bank accounts since Stanford’s global investment scheme was revealed to be a $7 billion fraud in 2009.

“It is important to note that this agreement is one of the most complex undertakings of its kind,” said Kevin Sadler, the attorney for the receiver. “Hundreds of millions in assets are spread over three countries, all subject to multiple competing claims of civil and criminal enforcement officials and court-appointed officials in five different countries.

The overlapping legal jurisdictions involved in the case include the U.S., Antigua, Canada, the U.K. and Switzerland.

The receiver had already begun the process of distributing other money he had recovered on behalf of investors.

Even with the latest settlement, though, investors are still likely to recover only a pittance of what they initially invested.

The lawsuit between the receivers and the bank liquidators had been one of the biggest hurdles to resolving the investor claims in the Stanford case. Many investors worried that the battle would drain off what little money was still left.

Allen Stanford is serving a 110-year prison sentence, and several other top lieutenants in his firm also received lengthy sentences.

http://blog.chron.com/lorensteffy/2013/03/stanford-settlement-clear-way-for-investor-recoveries/?utm_medium=twitter&utm_source=twitterfeed#print