Feds Interview Accused Fraudster's Dad

Allen Stanford's father calls case against son "a witchhunt."

ByABC News
February 24, 2009, 6:05 PM

February 25, 2009— -- James Stanford, father of accused billionaire fraudster R. Allen Stanford, met Tuesday with federal officials in Waco, Tex. who are probing his son's alleged multi-billion-dollar swindle.

Stanford, 81, responded to a subpoena from lawyers with the Securities and Exchange Commission. The SEC last week filed a civil complaint against his son, accusing him of bilking tens of thousands of investors out of roughly $8 billion. The elder Stanford is a member of the board of Allen's firm, Stanford Financial.

The meeting took place in the U.S. Attorney's office in the federal courthouse in Waco and lasted more than an hour. Emerging from the meeting, the senior Stanford declined to discuss the specifics of his conversation with the SEC. He told a reporter for ABC News affiliate KXXV that he believed the SEC's actions against his son amounted to "a witchhunt."

"I'm totally surprised," James Stanford said of the SEC's complaint against his son. "It's a rush to judgement on the part of the government."

Stanford came to the meeting without a lawyer. He said he had not spoken to his son since news of the SEC probe broke. A spokesperson for the SEC said the commission had no comment.

Stanford was accompanied by four women, including his wife, a granddaughter, and his secretary of 24 years, Charlotte Berry. Stanford and Berry are both employees of his son's firm, Stanford Financial Group.

Berry told the reporter she will "go to my grave knowing James had nothing to do with this." Of Allen, Berry said, "I can't believe he did any of this. . . Allen is not the type to lie."

The younger Stanford, in a brief conversation with ABC News, said he planned to speak about the case next week.