TWG Global Denies Fraud in $20 Billion Insurer Deals as Federal Probes Intensify
Updated
Updated · CNBC · Aug 26
TWG Global Denies Fraud in $20 Billion Insurer Deals as Federal Probes Intensify
3 articles · Updated · CNBC · Aug 26
Summary
TWG Global said there has been "no fraud" and no harmed parties, calling recent reports "multipronged attacks" as DOJ and SEC investigations examine about $20 billion of transactions tied to its insurers.
The company said it is cooperating with both agencies and has submitted a plan with Group 1001 to address regulatory concerns, including eliminating affiliated investment and loan exposure.
Delaware Life this month agreed to swap up to $6.5 billion of related-party investments for independent assets after revising affiliated holdings to 42% of invested assets from 3%; S&P then cut its outlook to negative.
TWG also rejected claims it is selling sports assets to raise insurance capital, saying Mark Walter's pending Lakers sale came at a 25% premium and that the Dodgers are not for sale.
Neither Walter nor his companies have been charged by the DOJ or named in an SEC enforcement action, though both Delaware Life and Clear Spring previously received grand jury subpoenas.