Go to the Globe and Mail homepage

Jump to main navigationJump to main content


Accused fraudster feels the heat in cell with no A.C. Add to ...

Allen Stanford, the Texas financier accused of a $7-billion (U.S) fraud, should be transferred to another detention facility because there has been no air conditioning in the jail cell where he is being held, his lawyer said in a court filing.

"For at least a week, during the hottest part of the summer, with outside temperatures of 100 degrees (38 C) or more, the place where Allen Stanford is being held as a pretrial detainee has had no air conditioning and for part of that time was without power altogether," Mr. Stanford's attorney, Dick DeGuerin, said in a court filing on Sunday.

Mr. Stanford, who has been in custody since his arrest on June 18, is being housed in a single cell that he shares with between eight and 10 other men, according to the filing.

A representative of the federal detention centre located about 40 miles north of Houston could not immediately be reached for comment.

Mr. Stanford, whose net worth was estimated at $2.2-billion by Forbes magazine in 2008, faces criminal charges related to an alleged Ponzi scheme centred around his offshore bank in the Caribbean island of Antigua.

Prosecutors allege Mr. Stanford and executives Laura Pendergest-Holt, Gilberto Lopez and Mark Kuhrt of his now-defunct Houston-based Stanford Financial Group misused most of the $7-billion they advised clients to invest in certificates of deposit from the Stanford International Bank in Antigua.

They have pleaded not guilty to the charges in a 21-count indictment issued June 18.

Mr. Davis was charged with conspiracy to commit mail, wire and securities fraud; mail fraud; and conspiracy to obstruct a Securities and Exchange Commission investigation in court documents also issued June 18.

On June 30, U.S. District Judge David Hittner revoked a $500,000 bond after concluding Mr. Stanford was a "serious flight risk."

Report Typo/Error

Next story




Most popular videos »

More from The Globe and Mail

Most popular