Antigua

According to reports from CNBC a number of banks including two in the US are facing a new probe by the investigators who are trying to get to the truth in the alleged Allen Stanford Ponzi scheme. The regulators and prosecutors want to learn what the banks and regulators knew about massive deposits and withdrawals from Stanford over the years.

Officials at the U.S. Justice Department reported last week that Texas billionaire Allen Stanford, three associates and a top Caribbean regulator were indicted on fraud, conspiracy and obstruction charges in an elaborate $7 billion pyramid scheme to bilk investors, says Reuters. A federal judge ordered Stanford to be transferred to Houston for a hearing on whether he should be granted bail on charges he orchestrated the fraud through his bank on the Caribbean island of Antigua.