The former chief of Antigua’s Financial Services Regulatory Commission (FSRC) has pleaded guilty for his role in connection with the Stanford International Bank (SIB) Ponzi scheme.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division and U.S. Attorney Ryan K. Patrick of the Southern District of Texas made the announcement.
Leroy King, 74, of Dickerson Bay, Antigua, was the last remaining defendant in the SIB scheme. Today, he pleaded guilty to one count of conspiracy to obstruct justice and one count of obstruction of justice for his role in obstructing the Securities and Exchange Commission (SEC) investigation into SIB. He was extradited to the United States in November 2019.
King is a dual citizen of the United States and Antigua. Beginning in approximately 2002, he served as the administrator and CEO of the FSRC, an agency of the Antiguan government. As part of his duties, he was responsible for Antigua’s regulatory oversight of Stanford International Bank Limited’s (SIBL) investment portfolio, including the review of SIBL financial reports and the response to requests by foreign regulators, including the SEC, for information and documents about SIBL’s operations.
In or about 2005, the SEC began investigating R. Allen Stanford and Stanford Financial Group (SFG) and made official inquiries with the FSRC regarding the value and content of SIBL’s purported investments. From 2005 through February 2009, Stanford, James Davis, King and others conspired to obstruct the SEC’s investigation of SFG, SIBL and their related entities. From at least 2003 through February 2009, Stanford made regular secret corrupt payments of thousands of dollars in cash and gifts to King in order to obtain his assistance in hiding the truth about SFG and SIBL from the SEC and other regulatory agencies.
Over the course of the conspiracy, Stanford’s cash payments to King totaled approximately $520,963.87. Stanford also provided King tickets to both Super Bowl XXXVIII in Houston, Texas (2004) and Super Bowl XL in Detroit, Michigan (2006). Stanford also provided King with repeated flights on private jets Stanford or SFG entities owned.
King later denied the SEC’s request for help, and he wrote that the FSRC “had no authority to act in the manner requested and would itself be in breach of law if it were to accede to your request.” In reality, the FSRC did have this authority and failed to exercise such because of the payments and other benefits Stanford gave to King.
A federal jury found Stanford guilty in June 2012 for his role in orchestrating a 20-year investment fraud scheme in which he misappropriated $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.
U.S. District Judge David Hittner of the Southern District of Texas accepted the plea today and set sentencing for April 24.
The FBI’s Houston Field Office, IRS Criminal Investigation and the U.S. Postal Inspection Service investigated the case. Trial Attorney Brittain Shaw of the Criminal Division’s Fraud Section and Assistant U.S. Attorney John Pearson of the Southern District of Texas are prosecuting the case.
The Justice Department extends its gratitude to the government of Antigua for its cooperation and assistance.
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CAUGHT LIKE A RAT IN A TRAP – PENITENTIARY MISERY
This is the simplest way to describe this unfolding development.
There was really no other way out, as the ‘…former FSRC Director had been ‘…Inescapably Caught Like A Rat In A Trap.’
This appears to be half the troubles he had faced.
The first half appeared to have been;
(i) ‘…Bad legal advice resisting and delaying his departure after being ‘…Magisterially and judicially ordered to be Extradited; and
(ii) …Being fleeced over ten years of his financial resources doing so in futility.’
The other half of his troubles now lies in the mind of Trial Judge David Hittner.
That which he now faces, is not only ”’Judge David Hittner,’ but also that which possibly looms precariously to descend upon;
(a) …His liberty;
(b) …Freedom of movement; and
(c) …Immediate to his country of domicile.’
Though this is not a ‘…Case and circumstances’ similar to Jamaican reggae artist ex-convict Mark Anthony Myrie ‘Buju Banton,’ dependent upon what ‘…Judge David Hittner’ dish out, Leroy King might still be considered for ‘…early parole.’
The reggae artist was ‘…incarcerated in a US penitentiary [2011] and released and deported to Jamaica [2018].’
He subsequently sought to redeem himself by taking a ‘…Long Walked To Freedom’ with concerts in several Caribbean islands, including Antigua and Barbuda [August 10, 2019].
Not sure, how ‘Leroy King’ would do it, and don’t know ‘…what the hell he sings or could sing’ when he returns.
Ah ha! Even in ‘…Penitentiary Misery,’ could sing – Short Shirt’s ‘…Nobody Go Run Me.’
But for his ‘…10-year Extradition Resistance,’ seems likely that it might be a very ‘…Long Wait’ before he ‘…Walks To Freedom.’
CORRIGENDUM
(c) ‘…Should read;
‘…Immediate travel or return to his country of domicile.’
Notes From A Native Son Of The Rock!
Possibility … 125 Years in the Pen! Probability … A Death Sentence! Never Surrendered Citizenship!
Sad! Sad! Sad!
Leroy King…
1…is it a “fact,” that he has cut a deal with the Authorities in Antigua, Barbuda & Redonda, those on both sides of the Parliament aisle, not to go to trial in the US, which might implicate many a “Big Fish” in the Nation?
2…is it a “fact,” that he’ll probably get sentenced, to no more, than five to ten, and will only serve, three with probation?
3…is it a “fact,” that his accommodations after he’s released in the US will be paid for by those, said Big Fish in Our Nation? Since, he won’t be able to leave the US.
That didnt take long. Now he gets permanent citizenship 8n the US; jail of course.
What’s done in the dark, will come to light!
Plead guilty due to overwhelming evidence, and no doubt hoping for a lighter sentence.
Don’t think for a moment that he’s the only one that took bribes!
He’ll now be lying in the same bed as his Stanford cronies.
Well that didn’t take long!!! Why on earth fold so fast and so easily yet you mounted a robust defense all the way to the top proclaiming your innocence??
Even he finally confessed that he is guilty as hell. He old now and trying to get ready to meet the Judge of all the ages. In the meantime, enjoy your stay in the USA! Soon “time will be no more”. The final judgement awaits. What a wasted life. There is much to be learned from this, for us all.
RIP (rot in prison)
Folded like an old suit. I am now waiting on the “spin” given for his plea of guilt.
Personally I am very sorry for Mr. King. He is a Son of the Soil . I always maintained that He was given bad Legal advice by His Antiguan Lawyer. Now He is facing a long prison sentence. Let Us hope that He will be given 10 years maximum so that He will return to Antigua by 2030 . Let Us pray for our Antigua Counterpart. Very Sad
May be facing 3 to 10 years since his guilty plea. By pleading, this better his chance of not spending the rest of his live in prison. Smart move from his lawyer.
But some of these people who held these positions, such as Mr. King, at that time don’t really understand their role and responsibilities. Even if he opted to provide the SEC with Stanford’s portfolio and its value, he would not even have a clue of the details. And this is without mentioning the blind eye payment of “…approximately $520,963.87” that he was cashing in. He was moving like a smart big shot back then, but he is not that smart, after all. The smart thing to do was to resign from the position once the SEC started knocking for info that he has no clue of what are the real answers. But he got big headed and stated sinking himself into Stanford’s cover up trap which led him straight to face the US Justice. Don’t worry Sir! You will be more comfortable than a stay at 1735.
Like many in his position, he thought it was all good when he was exploiting the situation!
The smart thing… would have been to have known his responsibilities, and acted accordingly.
He was riding the gravy train like many others. Chou chou… The train done stop!
True. True. True. “Coin Dadly” got it 100% right.
Lesson to learn people in authority swallow text books. Always keep your eyes on their actions not what comes from their mouth.
Many Leroy King’s are currently holding top Public Service jobs. Why do you think he is the only one???
Leroy King got caught what about the many who continue to swindle the public as if it is a normal occurrence….
Dammek we haffy go arftah dem CUSTOMS ppl.
If we don’t go after them, the Coronavirus will
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