SocGen to Pay $157 Million Over Allen Stanford Fraud Claims – Bloomberg

Société Générale Private Banking has agreed to pay $157 million to settle a lawsuit that alleges a group of banks enabled the $7 billion Ponzi scheme of financier R. Allen Stanford, according to a federal court filing Tuesday in Texas.

The settlement comes as HSBC Bank, Toronto-Dominion Bank and Independent Bank — formerly Bank of Houston — are set to go to trial on Feb. 27 in Houston over claims they helped support Stanford’s fraud through the banking services they provided.

Trustmark National Bank also entered into a settlement prior to trial, agreeing to pay $100 million to the court-appointed receiver responsible for recouping funds to repay victims of the scheme, which came to light in 2009.

Source: SocGen to Pay $157 Million Over Allen Stanford Fraud Claims – Bloomberg