Stanford returns to haunt ECB

The ECB is facing legal action to return around £2.2 million (US$3 million) received from the disgraced financier Allen Stanford, according to a report in the Daily Telegraph.

Receivers acting for creditors of the collapsed Stanford empire are pursuing a number of sporting bodies which had dealings with Stanford.

"There has been a running fear in the ECB that the receiver could come after them, and this could be the knock on the door they have been dreading for two years," a source familiar with the Stanford deal told the newspaper.

The ECB declined to comment on the issue but it is believed it took legal advice on the possibility of this situation occurring some time ago and was advised it was unlikely to have to pay the money back.

The Stanford Super Series, which took place in October and November 2008, was a hugely embarrassing episode for the ECB, which was seeking a bargaining chip in the simmering dispute with its contracted players who were seeking a share of the new-found riches in IPL cricket.

The original US$100 million deal was for five Stanford Super Series, featuring England and a Stanford Superstars XI, which culminated in a $20 million winner-takes-all final at Stanford's private ground in Antigua. His subsequent arrest on fraud charges meant that only the first of those tournaments was played, in which England were humiliated by ten wickets.

The ECB's plans to host an annual quadrangular Twenty20 tournament at Lord's featuring England, a Stanford XI and two international sides, were quietly shelved. Of the prize fund, US$13 million was split between Chris Gayle's victorious Superstars team - money which could also attract the attention of the receivers - while the remaining US$7 million was split between the ECB and the West Indies Cricket Board.

Stanford, who was last month deemed unfit to face trial in Texas on account of his addiction to anti-anxiety drugs, stands accused of fronting a US$7 billion "Ponzi" scheme, charges which he denies. Speaking at the time of his arrest, Rose Romero of the Securities and Exchange Commission, said: "We are alleging a fraud of shocking magnitude that has spread its tentacles throughout the world."