Mon | Feb 24, 2020

Stanford building sold

Published:Wednesday | July 7, 2010 | 12:00 AM
The Stanford Financial Group headquarters building is seen in the heart of Houston's affluent Galleria district in February 2009. - File

The Houston building that housed the headquarters of disgraced financier Allen Stanford has been sold for US$12.5 million after an auction failed to attract competing offers.

"We are about to file a motion to confirm the sale," Kevin Sadler, the lead attorney for the court-appointed receiver Ralph Janvey, said Friday via email.

Janvey posted a public notice that the 186,000-square-foot office tower, located across the street from Houston's upscale Galleria shopping mall, would be sold in a sealed-bid auction on June 24.

The opening offer of US$12.5 million was submitted by Dirk Laukien, a Houston real estate investor who agreed to pay cash for the property.

The building was valued on property tax rolls at US$7.1 million.

Stanford, who denies all wrongdoing, has objected to the receiver's sale of his assets and properties before he's been convicted of anything.

Stanford behind bars

The founder of the Stanford Financial Group of companies is in a federal prison in Houston awaiting trial in January on 21 criminal charges that he swindled investors of more than US$7 billion through a scheme involving certificates of deposit sold through his Antiguan-based Stanford International Bank.

Stanford faces parallel allegations in a US Securities and Exchange Commission lawsuit that gave control of his personal and corporate assets to Janvey for liquidation to pay creditors and investors.