NEW YORK (Bloomberg) — There is "little doubt" that Allen Stanford, accused of masterminding an $8.5 billion fraud, was engaged in a "Ponzi scheme" based on the condition of his offshore bank, the institution's receiver said.

"We have identified assets in multiple jurisdictions around the world that are measured in the hundreds of millions of US dollars," said Nigel Hamilton-Smith, who is liquidating Stanford International Bank Ltd. in Antigua. "The liabilities are over $7 billion."

The bank, at the centre of the alleged fraud according to US regulators, was days from collapse when those officials took Stanford's company into receivership, Mr. Hamilton-Smith said.

Investors whose accounts have been frozen since Mr. Hamilton-Smith took over, are unlikely to get their full investments back and shouldn't expect to get access to their money any time soon, he said in a statement yesterday.

"At this time, the liquidators are unable to forecast the extent of the deficiency, but it is likely to be substantial," he said in the statement.

Mr. Hamilton-Smith, of London-based Vantis Business Recovery Services, said he plans to liquidate the bank after concluding its assets were "significantly less than liabilities".

The US Securities and Exchange Commission sued Stanford, two associates and three of his companies on February 17, claiming they ran a "massive ongoing fraud". US District Judge David Godbey in Dallas froze all of Stanford's personal and corporate assets and appointed Texas lawyer Ralph Janvey as receiver.