Another billionaire, Sir R. Allen Stanford of Texas bytes the dust. SEC civil complaint alleges among other charges that Stanford and companies lied about the safety of the Stanford International Bank (SIB) CDs, that they faked historical data of other investments and that they falsely reassured investors that there was no exposure to losses from the Madoff affair. Today federal agents raided the offices of Stanford Financial Group and a U.S. federal judge ordered his assets along with those of his companies frozen and placed into receivership. Criminal charges were not announced, at least not yet.

U.S. charges Allen Stanford with "massive" fraud
By Anna Driver and Simon Evans

HOUSTON/ST JOHN'S, Antigua (Reuters) - Flamboyant Texas billionaire Allen Stanford and three of his companies were charged with "massive ongoing fraud" Tuesday as federal agents swooped down on his U.S. headquarters.

In a civil complaint filed in federal court in Dallas, the U.S. Securities and Exchange Commission accused Stanford, who sponsored international cricket matches, and two other top executives at Stanford Financial Group of fraudulently selling $8 billion in high-yield certificates of deposit in a scheme that stretched from Texas to Antigua and around the world.

"We are alleging a fraud of shocking magnitude that has spread its tentacles throughout the world," said Rose Romero, regional director of the SEC's office in Fort Worth, Texas.

The SEC complaint names Stanford International Bank, based in Antigua with 30,000 clients in 131 countries and $8.5 billion in assets, as well as broker-dealer and investment adviser units based in Houston, with 30 U.S. offices. In all the company claims to oversee $50 billion in assets.

Stanford's assets have been frozen and a federal judge has appointed a receiver "to take possession and control of defendants' assets for the protection of defendants' victims."

On Tuesday morning, about 15 federal agents, some wearing jackets identifying them as U.S. marshals, entered the lobby of Stanford's office in the Houston Galleria area, a Reuters eyewitness said.

Stanford Financial remained open for business but was "under the management of a receiver," according to a sign taped to the door of the firm's Houston office. Stanford spokesman Brian Bertsch referred press inquiries to the SEC.

Stanford, a 58-year-old Texan running the firm that his grandfather founded, has denied any wrongdoing. His location remained a mystery after the SEC said on Tuesday he had failed to respond to recent subpoenas seeking testimony and did not produce "a single document.

Stanford's real estate holdings and celebrity associations have drawn comparisons with Wall Street investment manager Bernard Madoff, charged in an alleged $50 billion fraud.

Stanford has endorsement relationships with golfer Vijay Singh and England soccer star Michael Owen as well as involvement in polo.

Last year Forbes Magazine estimated Stanford's personal fortune at $2.2 billion.

Stanford's website showed no apparent cause for distress on Tuesday, touting a motto of "hard work, clear vision, value for the client." The website highlighted its sponsorship of the 2009 Sony Ericsson Open in Key Biscayne, Florida in March.

According to the 25-page SEC complaint, Stanford International Bank (SIB) sold $8 billion in CDs "by promising high return rates that exceed those available through true certificates of deposits offered by traditional banks."

There were no signs of imminent criminal charges against Stanford, and a Justice Department spokesman would not confirm or deny the existence of a criminal investigation.

But Peter Henning, a professor at Wayne State University Law School in Michigan and a former federal prosecutor, said U.S. prosecutors have likely already filed a sealed criminal indictment against Stanford to be unveiled at a later time.

"The amount of money involved indicates that there will be criminal interest in this, as well as the number of potential victims involved," Henning said.

'BETRAYED'

Investors like Kelly Dehay, a Realtor, showed up at Stanford's Houston office on Tuesday to inquire about their funds, only to be turned away at the door.

Dehay said his Stanford broker sold him a CD held by the Antiqua-based SIB and promised returns above 8 percent. "I started planning for my retirement a long time ago," Dehay said. "I feel very betrayed."

The developments come as investors, politicians and regulators focus on the returns promised and provided by investment firms, following the alleged Madoff scheme.

Stanford's investment companies were exposed to losses from the alleged Madoff scheme but falsely reassured investors otherwise, the SEC charged.

The SEC outlined the Madoff link in its charges against Stanford, and said his firm had sought to remove nearly $200 million from its accounts in recent weeks.

The SEC also alleged that Stanford falsely told at least one customer earlier this month that he could not withdraw a multimillion-dollar certificate of deposit because the SEC had frozen the account.

"Recently, as the market absorbed the news of Bernard Madoff's massive Ponzi scheme, SIB has attempted to calm its own investors by claiming the bank has no 'direct or indirect' exposure to Madoff's scheme," the SEC said. "These assurances are false."

SERIES OF ALLEGATIONS

The SEC also alleged that:

-- SIB reported identical returns of 15.71 percent in 1995 and 1996, which the SEC called "improbable" and suspicious.

-- Ninety percent of SIB's claimed investment portfolio was in a "black box" shielded from any independent oversight, and only Allen Stanford and aide James Davis, also charged, knew details of the bulk of the portfolio.

-- Stanford failed to cooperate with the SEC probe and continued to mislead investors by falsely saying the SEC had frozen accounts or the company had ordered a moratorium on CD redemptions.

-- A major, unidentified clearing firm stopped processing wires to SIB for purchase of SIB-issued CDs after the clearing firm was unable to obtain information about the company's financial condition.

-- Stanford used false information to promote a mutual fund program separate from the CDs. The program grew to more than $1.2 billion from less than $10 million in 2004.

James Dunlap, an Atlanta lawyer representing about a dozen investors who bought CDs from Stanford Financial Group, said he planned to sue the financial firm as early as Tuesday and would likely allege the company breached its contract.

Dunlap is representing several investors who tried unsuccessfully to get back their investments with Stanford in recent days.

Several investors have told lawyers they assumed the CDs they bought were safe short-term instruments that were insured, two lawyers said. But when an investor working with Dunlap tried to get $250,000 out of a CD that came due last week, she was told she would have to wait.

ANTIGUA

Stanford came to prominence in the cricket world following his private Twenty20 competition in the Caribbean and, in particular, the $20 million game in November between England and his own team, made up of West Indian players.

The England and West Indies cricket boards suspended sponsorship talks with Stanford following the fraud charges.

"The England and Wales Cricket Board (ECB) and the West Indies Cricket Board (WICB) have suspended negotiations with Sir Allen Stanford and his financial corporation concerning a new sponsorship deal," the ECB said in a statement.

ECB chairman Giles Clarke said his organization may utilize get-out clauses in its deal with Stanford.

"Clearly, that is a matter we would consider," he told reporters before suggesting that the proposed quadrangular Twenty20 series in England in May was now unlikely to happen.

(Writing by Martin Howell in New York, Chris Baltimore in Houston, Reporting by Anna Driver and Erwin Seba in Houston; Jason Szep and Simon Evans in St. John's, Svea Herbst in Boston, Randall Mikkelsen in Washington, Jane Sutton in Miami and Karen Jacobs in Atlanta)

Source: Reuters

CRIMINAL UPDATE for Sidney D "Trip" Camper III aka. Sydney Camper aka.Trip Camper. Apparently, Trip Camper has created yet another shell holding company (s) by the name of Limestone Energy Holdings, in association with Hilliard Bender Energy LLC. And before that, it was Coyanosa Resources. Why is this criminal still on the loose? INVESTOR ALERT: Please do not invest one dollar in this person, as you will never see one penny of it in return. If he approaches you with his passport and fabricated stories about his charitable donations to St. Jude, run the other way and call the FBI. Don't be a victim of Ponzi scheme fraud. See the SEC links above to see how Allen Standford fired Sydney Trip Camper III by forcing him to resign when they ran a Ponzi scheme on Datec and the Akhoy family business. Without a minute to waste, Sidney Trip Camper III went on to Los Angeles and ruined another business by bilking them for hundreds of thousands of dollars and an illegal hostile takeover together with Ed Berkhof.

Trip Camper is a Fraud. He IS wanted by the FBI and The IRS.
His Cell number is 1-954-646-7525.
I hope they Catch this pile of Shit !
Mark

I was introduced to him and I am concerned as to whether any of this true, I sent him some confidential information and he claimed to control a bank in NZ (www.exchequertrust.co.nz)-I also referred clients-please tell me if this is true and what evidence I am freaking out right now please

I am tired of people with misplaced values being rewarded in this society. This is especially true of high level business men. If they can add to the bottom line, then their moral shortcomings are overlooked. I certainly don't want any of these people in Dallas. I can recommend the names of some Dallas moving companies who can ship these guys out of our town for good.

Allen Stanford's school of serial swindlers use name dropping, stamped passports, falsified tax returns, and donations to St. Jude's to gain trust and power over private companies with aspirations to go public. According to SEC files, Sydney Trip Camper botched a deal with the Ahkoy family's Datec and was fired from Elandia Inc. by Allen Stanford. With help from his new partner in crime, Sydney Camper went on to his next victim in Los Angeles and ruined this private company by forming a shell holding company, opening secret bank accounts, and using all THEIR assets to get OTHER people to loan HIM money = PONZI SCHEME!!!! In true Stanford form, Sydney Camper moved on to InZon and Ed Berkhof is orchestrating a new scam with FMC Telecom. Frank Cassidy, owner of FMC Telecom, is either his new fellow fraudster or Mr. Cassidy has fallen victim to Ed Berkhof's new scheme. The FBI and SEC are investigating Allen Stanford, James M. Davis and their den of thieves including Sidney D. Trip Camper III and Ed Berkhof.

Trip is doing it again with a gas and oil co. That he is using to obtain 100s of Millions of dollars in loans. The name of this co. is Coyanosa Resources, LLC. Also he is doing it as well with a women named Cindy Estes and a well known criminal named John Spanos. Trip, claiming to be 50% owner is trying to sell coal and take out loans against it to the tune of $650M.

To top it off, Trip is claiming to be the chairman of Glazier Reserve Bank. He's using his standard MO and set up a duplicate LLC in Nevis using the actual banks name. At one time he was in charge of the wealth management committee until he was fired from the bank because of the news on the net about his Fraud. In turn he set up a duplicate Bank in Nevis.

It never ends with Mr Camper and now his desperation and greed just might take him down. With the gas co he has set up a duplicate co in Ft. Lauderdale that his partner CB Poyner doesn't know about or the other investors. Again, the same MO.

Before Inzon, there was Elandia. Victims of Elandia fraud, the Ahkoy Family is now suing Elandia in Pacific and Florida courts. Elandia's Allen Stanford and Sydney D. "Trip" Camper orchestrated the Ponzi scheme against Datec, the Ahkoy family business. When Elandia was exposed, Allen Stanford forced Sydney Camper to resign and before it was official, Sydney Camper found his next fraud victim in Los Angeles - a private and profitable company with aspirations to go public. With the help of his new partner in crime Edward G. Berkhof, Sydney Camper formed a "shell" holding company and together they pretended to be the owners of this private company, arranged a trip to London, opened up secret bank accounts, performed an illegal hostile takeover, and ruined the los angeles company in the same fashion as Datec, the Ahkoy family business.

Ponzi schemer Allen Stanford is in the hands of the FBI while swindlers Sydney Camper and Ed Berkhof are STILL at large. Investors Beware! Sydney Camper is a fraud and uses his stamped passport, donations to St. Jude's and Stanford Group references to gain trust. According to Google, he now hones his Ponzi skills at InZon. According to recent articles, "FMC Telecom Acquires SMS" and FMC Telecom founder Frank Cassidy is either a NEW partner in crime for Ed Berkhof OR he is simply ANOTHER victim fallen prey to Ed Berkhof's web of lies and empty promises to "take a company public". Ed Berkhof is neither a President, COO or Investor of anything. Ed Berkhof is a con artist and a has-been third rate bass player from Florida trying to find a payday.

The SEC and the FBI are investigating Allen Stanford's business relatives and continuing their search for serial swindlers such as Sydney Camper and Ed Berkhof.

View links below for more information on Elandia/Ahkoy:

http://www.secinfo.com/d14D5a.v6Q98.c.htm
http://www.secinfo.com/d14D5a.v6Q98.d.htm

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