A Blast From The Past
In 2009, the DOJ unsealed a criminal indictment against Robert Allen Stanford, Leroy King (pictured) and others charging each with one count of conspiracy to commit mail, wire and securities fraud; seven counts of wire fraud; ten counts of mail fraud, and one count of conspiracy to commit money laundering stemming from a $7 billion investment fraud scheme. The indictment also charged Stanford and King with one count of conspiracy to obstruct a Securities and Exchange Commission investigation and one count of obstruction of an SEC investigation.
Although never charged with FCPA offenses, the DOJ alleged that Stanford and his co-defendants made false and misleading representations about the regulatory scrutiny of the Stanford International Bank Ltd. (SIBL) (an offshore bank controlled by Stanford and located on the island of Antigua) by Antiguan authorities, when, in fact, Stanford was making corrupt payments of more than $100,000 to King (the former chief of Antigua’s Financial Services Regulatory Commission) to ensure that the Antiguan bank regulatory authority that he headed did not accurately audit, or verify the assets reported in the bank’s financial statements.