Stanford was badly beaten but his injuries were not said to be life-threatening. The incident occurred at the privately run Joe Corley detention centre north of Houston, Texas.
A US Marshalls spokesman said: “He got into an altercation with another inmate. He’s being examined by medical staff and treated for his injuries.”
His lawyer Kent Schaffer added: “Mr Stanford is fine. Contrary to reports, he is not in intensive care at the hospital.
“I understand his injuries are not serious enough to keep him in the hospital.” Mr Stanford is accused of cheating investors out of $7bn (£4.38bn). He denies all 21 charges against him.
The six foot four inches tall Texan property developer and banker took dual US and Antiguan-Barbudan citizenship and was given a knighthood by the islands. Much of his business empire was based in Antigua, the Caribbean island. It is alleged he paid investors “improbable if not impossible” returns using deposits from his bank in Antigua.
He indulged his natural flamboyance and love of cricket by sponsoring a West Indies Stanford Superstars team which beat England.
But now he is a prisoner. It was the second time in a month that Stanford, 59, has received medical treatment.
He was taken to hospital on August 27 with a heart rate of 300 beats a minute just before he was due to appear in court in Houston.
Tests discovered an aneurysm in the leg which was successfully operated on.
Stanford’s long-estranged wife has meanwhile sued her former divorce lawyer Nancy Rommelmann for $200 million claiming that she never told her client about a “verbal” offer to settle the divorce in January 2008 for $200 million (£124 m). All of Stanford’s assets were frozen in February of this year and his wife says she didn’t learn of the offer until after that.
Susan Stanford said she would have readily accepted a $200 million offer.
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