Snitches

Was Stanford a Drug Informant?

Turns out that Sir Allen Stanford may not have actually been flying under the Fed's radar all those years while orchestrating his alleged multi-billion dollar Ponzi scheme. He may have been allowed to do so. An investigation by the BBC has uncovered secret documents that show Stanford's close ties to known money-laundering operations in Latin America, as well as the U.S. Drug Enforcement Agency. In 1999, Stanford wrote a check to the DEA for $3.1 million, a payment which arouses suspicions that he may have been snitching on his money-laundering clients. Also, in 2006, the SEC's initial inquiry into the Texan's shady business practices was cut short, perhaps due to the DEA's intervention.