Stop the Madness: Stanford Co-Defendant Asks to be Tried Separately

If past behavior is indeed a reliable predictor of future behavior, we’re in for a wacky few months with Allen Stanford, the financier accused of masterminding a $7 billion Ponzi scheme.

Now, even his co-defendants are looking to get away from the financier, who seems to be having a fairly miserable go of it while he awaits his trial — and whose antics are appearing increasingly erratic. (Click here for a recent story from the WSJ’s Amir Efrati on Stanford’s merry-go-round of lawyers.)

Laura Holt, one of Stanford’s co-defendants asked U.S. Judge David Hittner on Wednesday to separate her trial from that of Stanford, her former boss. In her filing, she cited a “circus-like” behavior by Stanford and his current lead criminal defense lawyer. Click here for the story from the Houston Chronicle; here for Holt’s filing.

The lawyers for Holt, the former chief investment officer of Stanford Financial group, told Judge Hittner that that Holt’s rights to a fair trial could be prejudiced by the Stanford’s antics, which include a whole bunch of lawyer switching.

In their motion, Holt’s lawyers also allege that Stanford and his lawyers, a group called the Bennett-Nguyen Joint Venture, have flouted court orders.

The motion is nicely summarized by the Chron’s Mary Flood:

The motion complains that Stanford faked spitting up blood in court by biting his tongue months ago, has burned through 11 different law firms in a “circus like manner” and mocked the court at a hearing, after which he was ordered to sit and stay quiet.

Bennett has sent a “ridiculous stream of people” into prison to visit Stanford, the motion alleges, says he is bankrupt, has been accused of insurance fraud by his former co-counsel, has submitted a bloated $80 million budget for Stanford’s defense and has misled the court by ghostwriting court correspondence that was supposed to be coming from Stanford.

Bennett refused comment to Flood when she asked about the motion today, before referring the the question to another attorney who was not available.

Prosecutors oppose Holt’s request but refused further comment.

Stanford, Holt and six others face criminal charges involving conspiracy, fraud, bribery and obstruction of justice in what prosecutors say is a $7 billion Ponzi scheme that defrauded some 30,000 investors globally.