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Stanford Scandal Reaches Antigua and BarbudaFebruary 27, 2009 By: Joe Pike
It has not been a good year for Antigua, where everything from tourist crimes to financial scandals have rocked the islands and may scare tourists away. We told you about the recent string of tourist-related crimes there earlier in the week and now we focus on the latest reason Antigua tourism can suffer, the Stanford Group scandal.
Yes, even Antigua and Barbuda are feeling the ripple effect of financier Allen Stanford’s alleged $9.2 billion investment sales fraud. As CNN reported last week, Antiguan and Barbudan regulators took control of Stanford's financial institutions on the twin-island nation, a day after federal agents served the Texas businessman with papers accusing him of running an investment fraud scheme. The Antigua-based bank claims its network has $51 billion in deposits and assets under management or advisement, with more than 70,000 clients in 140 countries. The Financial Services Regulatory Commission of Antigua and Barbuda appointed receivers to manage Stanford International Bank Ltd. and Stanford Trust Company Ltd., the commission said in a statement.