GWG Trustee Strikes Deal Shielding Former Officials, Companies

GWG Holdings Inc.’s litigation trustee is seeking approval for a settlement with former executives that includes liability releases following a complaint filed last year accusing them of “corporate looting.”

The ex-officials, including former GWG director and board chairman Bradley K. Heppner, along with related companies, would receive protection against claims of damaging the company’s estate.

The deal would result in $50.5 million for the litigation trust, according to a motion filed March 7 in the US Bankruptcy Court Southern District of Texas.

The trustee, who pursues legal claims on behalf of the life insurance bond seller for the benefit of ...