Another debt ceiling debacle could sink the economy
Last year's Congressional debt standoff hurt consumer confidence more than the collapse of Lehman Brothers, Betsey Johnson and Justin Wolfers write. This time could be worse. Read more at Counterparties
Stanford CFO Davis cooperates in investigation: report
A man is silhouetted as he walks past the Stanford Group AG building in Zurich February 18, 2009.
Credit: Reuters/Christian Hartmann
NEW YORK |
NEW YORK (Reuters) - The chief financial officer of Stanford Financial Group, James Davis, is cooperating in fraud investigations of the group, the Wall Street Journal reported on Monday, citing Davis' lawyer.
Davis' cooperation in the federal criminal and civil fraud investigations may help investigators who have struggled to get information from billionaire Texan financier Allen Stanford, people familiar with the matter told the newspaper.
The move marks a turnaround for Davis who, along with Stanford, had earlier asserted his constitutional right to avoid self-incrimination.
U.S. regulators have accused Stanford and his top aide Davis of running a massive Ponzi scheme involving high-yield certificates of deposit (CDs) issued by Stanford's offshore bank in Antigua.
Davis' attorney, David Finn, did not immediately return a call seeking comment.
(Reporting by Elinor Comlay; Editing by Gary Hill)
- Tweet this
- Link this
- Share this
- Digg this
- Reprints
Follow Reuters