Stanford group finance officer admits huge fraud

WASHINGTON: The chief financial officer of the investment company owned by Texas cricket mogul Allen Stanford Thursday pleaded guilty to charges stemming from a seven-billion-dollar fraud.

James Davis, 60, the former chief financial officer of Houston-based Stanford Financial Group (SFG), pleaded guilty to fraud and obstruction charges, the Department of Justice said in a statement.

Davis admitted he and his co-conspirators defrauded investors who bought about seven billion dollars in certificates of deposit (CDs) administered by the Antigua-based Stanford International Bank.