The SEC's Indictment of Allen Stanford

The Securities and Exchange Commission had filed a civil complaint against Stanford alleging that the bank was engaged in $7 billion fraud. The SEC also accused the Stanford group of covering its tracks by continually recruiting new investors to cover the high returns promised to current investors, the classic definition of a Ponzi scheme. When the charges were announced, Stanford's bewildered investors lined up outside the bank's offices in Houston and Antica,. only to be turned away and directed to a website maintained by the quarterpointed receiver who was now in possession of all of Stanford's assets. Over 1,000 Stanford employees in the US no longer had a job.