Stanford Update: Top Execs Talking to Feds

Stanford Financial’s #2 exec, James Davis, spent yesterday answering questions from the Feds regarding his boss’ alleged multi-billion-dollar Ponzi scheme, his new lawyer says.

The Securities and Exchange Commission has said it believes Davis was an active participant in R. Allen Stanford’s alleged mega-swindle.  But Davis’ lawyer told Bloomberg that his client was “the whistleblower,” who alerted the SEC to an apparent effort to mislead investigators in February that resulted in obstruction charges for Davis’ protégé, Laura Pendergest-Holt.

Readers will recall that Davis had earlier pled the Fifth, refusing to answer investigator’s questions about where all the money went.  But he’s cooperating now, Finn told Bloomberg -– “fully and actively,” in the attorney’s words.

Pendergest-Holt has said she’s innocent of the obstruction charges. She recently agreed to delay any indictment while she continues to cooperate.