Ruling next month on whether to place Stanford businesses under bankruptcy protection

Ruling in Stanford bankruptcy case next month

DALLAS — A ruling on whether to place the businesses of jailed Texas financier R. Allen Stanford under bankruptcy protection will be issued next month, a federal judge said Thursday.

The government charged Stanford of running a $7 billion Ponzi scheme by promising inflated returns on certificates of deposit at his Antiguan bank. He also is accused of skimming more than $1 billion for personal use.

Investor attorney Greg Blue said placing the companies in bankruptcy would give investors a voice in any potential recovery.

Receiver Ralph Janvey, who was appointed by the court to recover as much money as possible for investors, opposes bankruptcy.