Switzerland Hands Over Remaining $150 Million to the United States from Massive Ponzi Scheme

Switzerland’s Federal Ministry of Justice announced on Tuesday morning that the government will return $150 million from blocked Swiss bank accounts by the end of this year to the United States, to be given to victims of convicted Ponzi scheme con artist Robert Allen.

Switzerland’s Federal Ministry of Justice announced on Tuesday morning that the government will return $150 million from blocked Swiss bank accounts by the end of this year to the United States, to be given to victims of convicted Ponzi scheme con artist Robert Allen.

“The release (of the blocked funds) became possible after the American financier Allen Stanford’s fraud conviction became permanent,” the Swiss justice ministry said in a statement, pointing out that $50 million had previously been returned.

Allen, a former Texas financier, was convicted of fraud by a Houston jury in the year 2012 in what prosecutors called a $7.2 billion fraud that lasted two decades and which was eclipsed in size only by the Ponzi scheme run by Bernie Madoff.

According to a 2012 sentencing memorandum, US federal prosecutors said that Allen was a “ruthless predator” who routed $116 million in … proceeds “through a Swiss slush fund he controlled at Societe Generale.”


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