HOUSTON, Texas, Wednesday November 13, 2019 – The former chief of Antigua and Barbuda’s Financial Services Regulatory Commission (FSRC) Leroy King has made his first court appearance in the United States, days after being extradited from the twin-island nation to face charges for his alleged role in connection with the Stanford International Bank (SIB) US$7 billion investment fraud scheme.
King, 74, was the last remaining defendant in the SIB Ponzi scheme. He had been fighting his extradition since he was charged in June 2009.
He appeared before US Magistrate Judge Dena Hanovice Palermo in Houston, Texas, yesterday.
King was charged along with Allen Stanford and several others. The indictment charges him with one count of conspiracy to commit mail, wire and securities fraud; seven counts of wire fraud, 10 counts of mail fraud, one counts each of conspiracy to obstruct and obstruction of a Securities and Exchange Commission (SEC) investigation; and conspiracy to commit money laundering.
It is alleged that King accepted more than US$100,000 in bribes from Stanford in exchange for ignoring the actual value of SIB’s assets. He also allegedly assisted Stanford and others in obstructing the SEC’s investigation into the bank.
A federal jury found Stanford guilty in June 2012 for his role in orchestrating the 20-year investment fraud scheme in which he misappropriated US$7 billion from SIB to finance his personal businesses. He is serving a 110-year prison sentence.
Five others were also convicted for their roles in the scheme and received sentences ranging from three to 20 years in federal prison.