Seven charges against Allen Stanford dropped

US Federal prosecutors have narrowed their criminal case against Allen Stanford, the Texas financier accused of running a $7 billion Ponzi scheme. 

The government on Wednesday filed an amended, 14-count indictment in a US District Court in Houston that drops five mail-fraud counts and two wire-fraud counts.

It also dropped part of a conspiracy count. 

Stanford now faces five counts of mail fraud and five counts of wire fraud.

The 61-year old could still face as many as 20 years in prison if convicted on any of the 10 fraud counts in the revised complaint.

An arraignment date has been set for May 19 on the new indictment.

However, his attorney Ali Fazel said that date would be changed because someone who is incompetent cannot be arraigned.

Since being declared incompetent to stand trial by a judge in January, Stanford has been at a hospital to treat an addiction to an anti-anxiety medication he developed while in jail.            

The one time billionaire, who has been in Federal custody since 2009, is accused of defrauding investors and using proceeds in part to fund other ventures and a lavish lifestyle.