Stanford pleads not guilty to fraud charges

This is the second major Ponzi scheme that has come to light in the last year. How could we forget the $65 billion Ponzi scheme that was all of the news this year regarding Bernie Madoff? Madoff plead guilty to his charges, and will learn his fate on June 29 when he goes in for sentencing. Madoff will be facing life in jail for his scheme.

But so far, Stanford is maintaining his innocence. It is a rather bizarre story, though. There are reports of Stanford having documents flown to Antigua in his personal jets to be destroyed. There are reports that Leroy King tipped off Stanford with information about an official SEC inquiry.

With this being the second major Ponzi scheme this year, a lot of people are going to start wondering just how widespread these frauds are, and how long before we hear of the next one.

While some of the money that came into Stanford Financial Group had to have wound up in some sort of investment, it appears as though huge amounts just disappeared. So far it looks as though Stanford was able to siphon off at least $1.6 billion for himself, but there is still another $1 billion that is unaccounted for.

All in all it is alleged that Stanford defrauded around 30,000 investors since his scheme started back in 2001.

What are your thoughts on Stanford's plea? Do you buy his plea, or believe this man is guilty as charged with running the Ponzi scheme.