Nothing like aggressive board oversight to minimize the possibility of ‘massive, ongoing fraud’:
WSJ: The Mexia [Texas] branch is where Stanford Financial began as a business. It no longer plays a role in the firm, [Sir Allen’s dad] James Stanford said.
Stanford bank board member O.Y. Goswick lives nearby and is a family friend. Mr. Goswick had a stroke in 2000 and “can’t string seven words together,” said son Richard Goswick, also of Mexia. There was talk of removing him from the board at one point, according to Richard Goswick and James Stanford, but because he was a family friend he remained, and kept getting paychecks for being on the board.
O.Y. Goswick also received an SEC subpoena to be deposed, and his son Thursday was trying to obtain a doctor’s affidavit explaining his father’s medical condition.
Sir Allen’s dad, James Stanford, is also on the board:
WSJ: James Stanford said he hasn’t physically attended a board meeting for years, but sometimes listens in on a conference call to the meetings. He bristled at the suggestion that his son’s operations weren’t overseen by experienced financial people.
“Where do you get financial experience? If you live and pay your bills I call that financial experience,” he said. James Stanford said he has no money invested in the Antigua bank.