Stanford's investment boss to receive three years' jail

Laura Pendergest-Holt, the former chief investment officer for Allen Stanford, has agreed to plead guilty and will receive a three-year prison sentence for her role in a $7bn (£4.5bn) fraud. Earlier this month, the former billionaire Stanford was sentenced to 110 years in prison for running a Ponzi scheme in which he stole money from investors around the world to finance an extravagant lifestyle.

In March, a jury convicted Stanford of 13 charges including fraud and conspiracy for selling certificates of deposit from his bank in Antigua to thousands of investors in the US and Latin America. He had already spent some of those proceeds on yachts, girlfriends, sponsorship of a cricket tournament and other accoutrements of a high-rolling life.

Ms Pendergest-Holt, pictured, will plead guilty to a single obstruction of justice charge tomorrowbefore the US District Judge David Hittner. She was indicted on obstruction of justice and conspiracy charges related to her allegedly false testimony to the US Securities & Exchange Commission, which was investigating the fraud.