Stanford CFO to co-operate with the Feds

Stanford Financial Group CFO James M Davis the company at the centre of an $8bn (£5.6bn) investment fraud is said to be cooperating with federal investigators.

Davis had reportedly cited his Fifth-Amendment rights against self-incrimination in a February filing with the Securities and Exchange Commission.

CFO Davis, who was a college roommate of the cricket-loving billionaire Allen Stanford at Baylor University, plans to work with the Department of Justice and the SEC, his attorney David Finn told the Associated Press.

Reveivers from Vantis are currently on the hunt to recover funds for 28,000 clients of Stanford International Bank and Stanford Trust Company, the two institutions where the fraud allegedly took place.

Further reading:

Stanford stays tight-lipped in fraud case