A report from GlobalPost reveals that R. Allen Stanford's $8 billion Ponzi scheme scammed hundreds of millions of dollars from wealthy Jews and Jewish charities in Latin America. According to the report, over 1,500 victims so far have come forward in lawsuits against Stanford.
"A lawyer representing Latin American victims estimates that half of the one billion dollars lost in Mexico came from the capital's 40,000-strong Jewish population. The smaller Jewish community of Caracas, Venezuela also appears to have been hit hard," the report said.
"In both cities, Stanford - who was called Sir Allen after the Antiguan prime minister knighted him in 2006 - mounted aggressive advertising campaigns and hired Jewish salesmen, who used their connections and trust within the community to bring in money."
The U.S. government's lawsuit against Stanford charged that his company advertised CDs to be purchased through a company bank, Antigua-based Stanford International Bank, and that the funds were used by the financier to acquire private equity investments and real estate. Stanford is awaiting trial on charges he orchestrated a massive Ponzi scheme. He denies any wrongdoing.
Read the summary of the GlobalPost report here. (GlobalPost Passport membership required for the full report.)
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