PrivClientSG
Guru
- 325
A few things here, first, I don't know the details and specifics on this case, and reading public notices does not give all the answers. Second, I served on the steering committee for the receivership of a life insurance company -- and while no malfeasance, theft, criminal activity, etc., was involved -- there was complete oversight and involvement in every single step of the way by OUTSIDE COUNSEL (not just for the creditor's committee, the receiver, and the various parties). We are not simply talking about an amatuer, or some attorney who works for the DOI. Depending on the actual receivership, rehabilitation, liquidation, etc. -- there are checks and balances throughout the entire process. I would bet money that a criminal would not have any opportunity to benefit or have benefit inure to him/her at any point in the process. What happened prior, compensation, bonuses, and all that which may have gone on, that train may have left the station, but even clawbacks, fraud, and countless other measures of recourse are possible.
Third, I most recently served on a Guarantee Association, the Coordination & Strategy Committee, and the Board of a receivership and liquidation of an insolvent insurance company. This has been a 13 year process to date. Obviously the Guarantee Association is a statutory entity consisting of all the licensed insurers in a state. From the Guarantee Association, a Steering Committee is developed for the receivership, and the ensuing transition and process. I was then asked to serve on the Executive Committee of the receivership -- and the eventual liquidation. Part of this was the formation of a captive reinsurance company which was charged with working the Board, in managing the liquidation runoff of the insolvent insurance company. My point being -- major national law firms were involved. Outside counsel "hunted" down the activities of the principals. All of this took place outside the public eye, for countless reasons. The previous principal was not able to buy a postage stamp from day one. Eventually, both criminal and civil cases investigations and cases were brought forth. Other key players had assets frozen, clawed back, and more. Most of this, for a variety of reasons weren't publicized, although every dollar the receiver found was accounted for.
In the end, I don't think any criminal involved here is going to benefit at all. You may not hear or read about everything, but he is not walking away unharmed.
Third, I most recently served on a Guarantee Association, the Coordination & Strategy Committee, and the Board of a receivership and liquidation of an insolvent insurance company. This has been a 13 year process to date. Obviously the Guarantee Association is a statutory entity consisting of all the licensed insurers in a state. From the Guarantee Association, a Steering Committee is developed for the receivership, and the ensuing transition and process. I was then asked to serve on the Executive Committee of the receivership -- and the eventual liquidation. Part of this was the formation of a captive reinsurance company which was charged with working the Board, in managing the liquidation runoff of the insolvent insurance company. My point being -- major national law firms were involved. Outside counsel "hunted" down the activities of the principals. All of this took place outside the public eye, for countless reasons. The previous principal was not able to buy a postage stamp from day one. Eventually, both criminal and civil cases investigations and cases were brought forth. Other key players had assets frozen, clawed back, and more. Most of this, for a variety of reasons weren't publicized, although every dollar the receiver found was accounted for.
In the end, I don't think any criminal involved here is going to benefit at all. You may not hear or read about everything, but he is not walking away unharmed.
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