The court-appointed receiver who is recovering assets for investors in Allen Stanford's alleged Ponzi scheme is demanding that Libya's sovereign wealth funds return millions of dollars they somehow managed to withdraw just before the firm blew up in 2009, CNBC has learned.
Allen Stanford
And all of the money is on deposit in a U.S. bank.
In a complaint still under seal in U.S. District Court in Dallas, attorney Ralph Janvey demands the return of nearly $55 million in alleged "fraudulent transfers" to the Libyans. The money includes $12 million in funds Libya managed to withdraw just after Allen Stanford made a personal trip to meet with members of the Qaddafi regime in early 2009.
Three weeks later, the Securities and Exchange Commission filed suit against Stanford and his companies, shutting down the alleged scam. A spokesman for Janvey tells CNBC all of the money is in a U.S. bank, but he could not disclose which bank because the order is still under seal.
All of the funds have been frozen by the court, pending a hearing in December.
