Stanford Group: Madoff II?

Robert Allen Stanford, head of Stanford Financial Group, looks like he's about to replace Bernard Madoff in the financial scandal headlines. His "massive ongoing fraud" in selling some $8 billion worth of high-yielding certificates of deposit from an Antigua-based bank has regulators coming after the Houston-based financial company. Federal agents raided his offices Tuesday morning.

From the NYT:

In the complaint, filed in Federal District Court in Dallas, the S.E.C. accused Mr. Stanford and two associates — James M. Davis, a director and chief financial officer of Stanford Group and the Antigua-based bank affiliate, and Laura Pendergest-Holt, the chief investment officer of both organizations — with misrepresenting the safety and liquidity of the uninsured C.D.’s.

The C.D.’s were sold by Stanford International Bank through the firm’s registered broker-dealer and investment adviser, which are in Houston. Both the bank, which claims $8.5 billion in assets and 30,000 clients in 131 countries, and the brokerage unit, which operates about 30 offices in the United States, were named in the S.E.C. suit. Stanford Financial asserts that it advises about $50 billion in assets.

The WSJ links to the SEC's statement on the charges, and points out that it appears Stanford lost money in the Madoff scandal. From the WSJ:

The SEC said that Stanford suffered losses in the alleged Madoff fraud, contradicting Stanford's assurances to its investors that it had no direct or indirect exposure. According to the SEC, Messrs. Stanford and Davis were told on Dec. 15 that Stanford companies had a loss of roughly $400,000 based on indirect exposure to Mr. Madoff.

Also, is this lastest charge the other financial fraud Madoff whistleblower promised to hand the SEC when he testified earlier this month? Or is there more to come?