Fallen financier returns to jail

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R. Allen Stanford was back in the infirmary of a Conroe jail Tuesday after tests during a five-day hospitalization revealed a leg aneurysm, his lawyer said.

Stanford is being held without bail on federal fraud charges.

Dick DeGuerin, his criminal defense attorney, said Stanford was discharged from Conroe Regional Medical Center, where he had a cardiac catheterization test Monday. DeGuerin said Stanford was told he has an aneurysm in his leg that is not life-threatening and would require elective surgery to repair.

DeGuerin fears the condition could become more serious later and said he is concerned that his client was told the surgery is elective.

An aneurysm is a bulge or widening of an artery or vein where the wall is weakened. Some are small enough not to cause problems, but others, such as ones in the heart, can burst and be fatal.

Stanford, 59, faces 21 federal felony charges including conspiracy and fraud, in what the government alleges was a $7 billion Ponzi scheme involving certificates of deposit issued by an offshore bank and sold through affiliates of Houston-based Stanford Financial Group.

The once high-living businessman was hospitalized last Thursday with a racing heart hours before his former chief financial officer, James Davis, entered a guilty plea in court.

Stanford also was scheduled to go to court that day for a hearing about his legal representation.

DeGuerin has asked to withdraw and Stanford has asked for other lawyers, but they don’t want to appear in court unless guaranteed they will be paid. Stanford’s assets were all frozen in a civil lawsuit filed by the Securities and Exchange Commission in Dallas.

Since mid-June, Stanford has been in the privately owned Joe Corley Detention Facility in Conroe, where the U.S. Marshals Service keeps pretrial detainees.

Source: http://www.chron.com/disp/story.mpl/business/6598116.html

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