Stanford Bank Venezuela
Encyclopedia
Stanford Bank Venezuela was Stanford International Bank
's subsidiary in Venezuela
. It was headquartered in Caracas
and had many branches throughout Venezuela. The Venezuelan banking regulator estimated that Venezuelans had placed around $2.5bn in deposits with Stanford International. Although Stanford Bank Venezuela and its owner Stanford International were separate entities, news of the U.S. Securities and Exchange Commission's lawsuit accusing their owner, Robert Allen Stanford
, of securities fraud
prompted a run on the Venezuelan bank which forced Venezuela to seize the bank.
In May 2009 the Stanford Bank Venezuela was sold to Banco Nacional de Crédito
for $111m, with the bank being merged into BNC.
Stanford International Bank
Stanford International Bank was a bank based in the Caribbean, which operated from 1986 to 2009. It was an affiliate of the Stanford Financial Group.- Operations :...
's subsidiary in Venezuela
Venezuela
Venezuela , officially called the Bolivarian Republic of Venezuela , is a tropical country on the northern coast of South America. It borders Colombia to the west, Guyana to the east, and Brazil to the south...
. It was headquartered in Caracas
Caracas
Caracas , officially Santiago de León de Caracas, is the capital and largest city of Venezuela; natives or residents are known as Caraquenians in English . It is located in the northern part of the country, following the contours of the narrow Caracas Valley on the Venezuelan coastal mountain range...
and had many branches throughout Venezuela. The Venezuelan banking regulator estimated that Venezuelans had placed around $2.5bn in deposits with Stanford International. Although Stanford Bank Venezuela and its owner Stanford International were separate entities, news of the U.S. Securities and Exchange Commission's lawsuit accusing their owner, Robert Allen Stanford
Allen Stanford
Robert Allen Stanford is a former prominent financier and sponsor of professional sports who is in prison awaiting trial on charges his investment company was a massive Ponzi scheme and fraud. Stanford was the chairman of the now defunct Stanford Financial Group of Companies. A fifth-generation...
, of securities fraud
Securities fraud
Securities fraud, also known as stock fraud and investment fraud, is a practice that induces investors to make purchase or sale decisions on the basis of false information, frequently resulting in losses, in violation of the securities laws....
prompted a run on the Venezuelan bank which forced Venezuela to seize the bank.
In May 2009 the Stanford Bank Venezuela was sold to Banco Nacional de Crédito
BNC (bank)
BNC , Banco Nacional de Crédito, is a Venezuelan commercial bank headquartered in Caracas. It was founded in 1977 in San Antonio del Táchira as Banco Tequendama branch of the Banco Tequendama Colombia....
for $111m, with the bank being merged into BNC.
External links
- Allen Stanford 'fraud': Venezuelans owed one-third of 'fraudulent certificates' - The Daily TelegraphThe Daily TelegraphThe Daily Telegraph is a daily morning broadsheet newspaper distributed throughout the United Kingdom and internationally. The newspaper was founded by Arthur B...
February 19, 2009