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Ex-Stanford exec to continue being questioned on alleged fraud at Texas financier's bank
HOUSTON (AP) ' The ex-chief financial officer for Texas tycoon R. Allen Stanford's businesses is returning for a second day of testimony in the financier's fraud trial in a federal court in Houston.
James M. Davis, who worked 21 years for Stanford, was to resume testifying Friday.
On Thursday, Davis told jurors he and Stanford fabricated financial statements and other reports that lied about how well certificates of deposit, or CDs, bought from Stanford's Caribbean bank were performing.
Prosecutors allege Stanford used CD depositors' funds to pay for his failed businesses and for his billionaire lifestyle.
Stanford's attorneys contend he was a savvy businessman whose financial empire was legitimate. They have suggested Davis was behind the alleged fraud.
Davis has pleaded guilty in the case as part of an agreement with prosecutors.