Wednesday, February 18, 2009

Deja Madoff All Over Again

A Bernie Madoff clone, Texas financier R. Allen Stanford, has been accused of “cheating 50,000 customers out of $8 billion dollars” according to an ABC report, “but despite raids Tuesday of his financial empire in Houston, Memphis, and Tupelo, Miss., federal authorities say they do not know the current whereabouts of the CEO.

“The Securities Exchange Commission alleges Stanford ran a fraud promising investors impossible returns, much like Bernard Madoff's $50 billion alleged Ponzi scheme.

“Stanford's business is headquartered on the Caribbean island of Antigua. In the last decade, Stanford and his companies have spent more than $7 million on lobbyists and campaign contributions in efforts to loosen regulation of offshore banks.

“Among the top recipients: Senator Bill Nelson (D-Fla.), Congressman Pete Sessions (R-Texas), Sen. John McCain (R-Ariz.), Senator Chris Dodd (D-Conn.) and Senator John Cornyn (R-Texas), one of the members who took a trip to Antigua where he was entertained by Stanford.”

The report discloses that Nelson and McCain already have pledged to return Stanford’s contributions to charities.

Stanford himself, according to the report, “did not contribute to the McCain Presidential campaign. He gave the maximum $4,600 contribution to President Obama's campaign. Indeed, Obama returned $2,300 that was contributed over the limit to Stanford.”

A Connecticut Post report on Wednesday said Dodd plans to give Sanford's donations to charity.


ABC News has been advised by federal authorities that "the FBI and others have been investigating whether Stanford was involved in laundering drug money for Mexico's notorious Gulf Cartel.

"A video posted on the firm's web-site shows Stanford, now sought by U.S. Marshals, being hugged by Speaker of the House Nancy Pelosi and praised by former President Bill Clinton for helping to finance a convention-related forum and party put on by the National Democratic Institute."

Another Friend of Bill bites the dust.

On Feb. 19, I'll be at Town Hall in Windsor addressing the Republicans from Windsor, Bloomfield and Enfield in a talk I've titled, with a bow to the stressful sixties, "The Revolution Now." The festivities will begin at 7:30.

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