FBI Finds Fugitive Democrat Financier

Of course conveniently omitted from this story is the word Democrat.

Embattled Texas billionaire Robert Allen Stanford was found by federal agents Thursday, two days after he was named in a multi-billion dollar fraud case, according to several news agency reports.

Stanford, chairman of Houston-based Stanford Financial Group, was charged this week by federal authorities following a U.S. Securities and Exchange Commission investigation, alleging he had engaged in fraud related to the sale of $8 billion worth of high-yield certificates of deposit held in the company’s bank in Antigua.

Stanford does not face criminal charges and was not taken into custody after being served with court papers related to the civil case filed in federal court in Dallas.

For some reason he wasn't taken into custody, but nonetheless is in a world of trouble.

But now the SEC's fraud charges may be the least of Stanford's worries. Federal authorities tell ABC News that the FBI and others have been investigating whether Stanford was involved in laundering drug money for Mexico's notorious Gulf Cartel.

Authorities tell ABC News that as part of the investigation, which has been ongoing since last year, Mexican authorities detained one of Stanford's private planes. According to officials, checks found inside the plane were believed to be connected to the Gulf cartel, reputed to be Mexico's most violent gang. Authorities say Stanford could potentially face criminal charges of money laundering and bribery of foreign officials.

Authorities say the SEC action against Stanford Tuesday may have complicated the federal drug investigation. The SEC had been prepared to move in earlier, but was asked to hold off because of the FBI's undercover investigation. But this week, when officials realized Stanford was moving huge amounts of cash out of his bank, they had no choice to move in, even if it jeopardized the drug money case.

The federal investigation, however, did not stop Stanford from using corporate money to become a big man at last year's Democratic convention in Denver.

A video posted on the firm's web-site shows Stanford, now sought by U.S. Marshals, being hugged by Speaker of the House Nancy Pelosi and praised by former President Bill Clinton for helping to finance a convention-related forum and party put on by the National Democratic Institute.

"I would like to thank the Stanford Financial Group for helping to underwrite this," Clinton said to the crowd at the event.

Thanks to Dan Riehl for the link.