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Man served with multibillion-dollar fraud case

Robert Allen Stanford was tracked down Thursday in Virginia and served by FBI agents with legal papers in a multibillion-dollar fraud case.

According to FBI spokesman Richard Kolko, the FBI were acting on the behalf of the Securities and Exchange Commission and served Stanford, 58, the papers in Frederisburg, Va.

Officials told the New York Times they suspect Stanford's company, the Stanford Group, used artificially inflated certificates of deposit at its bank to bilk investors.

The SEC alleged Stanford and three of his companies committed and $8 billion fraud that lured investors with promises of high returns on certificates of deposit and other investments.

Yahoo! News reported until the SEC had help from the FBI on Thursday, they had not been able to find Stanford.

An law enforcement official, who spoke anonymously because he was not authorized to discuss specifics in the case, told Yahoo! News authorities did not believe Stanford was purposely hiding or fleeing. Stanford had to surrender his passport under the terms of the court case.

Stanford was not charged with any crime nor arrested, but authorities are still investigating his case.