Depositors turned away from Stanford banks

[Phoenix-Risen]

Source: Yahoo.com


ST. JOHN'S, Antigua – Panicky depositors were turned away from Stanford International Bank and some of its Latin American affiliates Wednesday, unable to withdraw their money after U.S. regulators accused Texas financier R. Allen Stanford of perpetrating an $8 billion fraud against his companies' investors.

Some customers arrived in Antigua by private jet and were driven up the lushly landscaped driveway of the bank's headquarters, only to be told that all assets have been frozen pending an investigation by Antiguan banking regulators.

"I don't know what to think. I have my life savings here," said Reinaldo Pinto Ramos, 48, a Venezuelan software firm owner who flew in by chartered plane from Caracas Wednesday with five other investors to check on their accounts. "We're waiting to see some light."

Banking regulators and politicians around the region are scrambling to contain the damage after the U.S. Securities and Exchange Commission filed civil fraud charges against the billionaire on Tuesday. Regional Director Rose Romero of the SEC's Fort Worth office called it a "fraud of shocking magnitude that has spread its tentacles throughout the world."



Read more: http://news.yahoo.com/s/ap/20090218/ap_on_bi_ge/cb_antigua_stanford_7

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This kind of thing could very well spread. Won't take much in today's climate to spur a world wide bank panic.

[catnhatnh]

1. This is more likely to be a laugh riot....

Bank fraud, high returns, rumors of money laundering for Mexican drug cartels??? Chartered private jets and "investors" crying poor? Tennessee State senators workplace raided by the FBI? John Cornyn and unknown companion on three day fact finding junket???

[Baby Snooks]

3. Apparently not a rumor...

Nothing "in print" yet but Houston television stations reported earlier that the FBI did put a lid on the SEC investigation because he was laundering money for the Mexican drug cartels. Never mind all the Americans who lost everything. The war on drugs was more important. Or, perhaps, making sure the war on drugs didn't involve certain Americans?

And no one knows where he is. Probably in Brazil. Where he probably stashed the $8+ billion that appears to be missing. His wife, who was divorcing him, would like to find him as well. She's been living off $100,000 a month temporary support. Which of course has come to an end.

Another one of Houston's "pillars of the community." And unlike Ken Lay, this one was really generous. Several charities are worried they may not survive now that the check is not going to be in the mail.

[depakid]

7. "Never mind all the Americans who lost everything."

Any American who lost their money by "investing" with this guy deserves exactly what they're going to get. And then some.

I mean hey- I've got this offshore bank, paying you higher than reasonable to expatriate your money- without insurance in Antigua

[Liberal_in_LA]

2. uh oh

[Left Coast2020]

4. Oh Please, Let John Cornyn be involved! Somehow Please!

That would be lovely :rofl:

[aquart]

5. 78% of his political donations were to Democrats?

Oh, great.

[bertman]

6. Why am I not surprised??

[acmavm]

8. Because there are a number of dems who regularly sell us out for the

Predator Class maybe?

[bertman]

10. Bingo. We have a winner.

[Tatiana]

11. I think they are commonly referred to as "Blue Dogs." n/t

[bertman]

12. In this instance that may be true, but unfortunately this has become an epidemic

in the Democratic party as well as the Republican party.

[Tatiana]

13. Your point is well-received.

Just pointing out that the Blue Dog wing of the Democratic party always puts corporate interests ahead of average Americans. They are a cancer on our party and all of them should get primaried.

[bertman]

14. Not gonna happen with the DLC types like Rahm in charge. They love blue dogs so much

they recruit them.

Sick.

[midnight]

9. I thought most of the banks had an electronic run last fall.