R. Allen Stanford, the Texas billionaire who has been on the lam since the SEC charged him for fraud on Tuesday, has been found in Virginia.

MSNBC is reporting that the "FBI served civil papers" to the banker, who is accused of trying to bilk 50,000 clients out of $8 billion.

ABC is reporting that Stanford turned in his passport to federal prosecutors.

Quoting one of Stanford's lobbyists, Ben Barnes, who is a former Texas public official, ABC reported that Stanford is "very depressed," and wanted to end the manhunt for him by going to the Justice Department.

Earlier this week, U.S. Marshals seized Stanford's assets, and clients have been flocking to Antigua to try and withdraw funds.

ABC is also reporting that Stanford is also under investigation in connection with an alleged drug money-laundering scheme for Mexico's Gulf Cartel.

Read