It's Official: Stanford is Worse Than Ginn

We talked a few days ago here about a SEC (Securities and Exchange Commission) investigation into Stanford Financial - sponsor of several professional golf events and the Eagles for St. Jude program.  The article we discussed didn't indicate if Stanford would face any charges from the SEC.  Today, the SEC made itself very clear.

Stopping what it called a “massive ongoing fraud,” the Securities and Exchange Commission on Tuesday accused Robert Allen Stanford, the chief of the Stanford Financial Group, of fraud in the sale of about $8 billion of high-yielding certificates of deposit held in the firm’s bank in Antigua. Also named in the suit were two other executives and some affiliates of the financial group.

Shortly after 10 a.m. Central time, about 40 police officers and other law enforcement officials simultaneously entered Stanford Group’s two office buildings in Houston. Many of the law enforcement personnel carried large black briefcases. Stanford group’s headquarters are in two offices in Houston, one within a tower of the Houston Galleria shopping mall, and the other across the street.

In its complaint, the S.E.C. said it could not account for the $8 billion in assets that were housed in the Antigua bank after issuing subpoenas for bank records and to various witnesses. Most witnesses, including Mr. Stanford, Mr. Davis, and the Antigua-based bank’s president, failed to appear to testify nor did they produce documents shedding light on the assets.

$8 billion?  Understandably, clients are making bank runs to Antigua to get their money.  Are the PGA Tour and LPGA Tour getting paid from that missing $8 billion?