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Mutual of Omaha, BankPlus Face Conspiracy Suit Over Ponzi Scheme

March 21, 2019, 8:59 PMUpdated: March 21, 2019, 11:48 PM

Mutual of Omaha Insurance Co. and BankPlus face civil conspiracy and racketeering claims for their role in a Ponzi scheme involving a Mississippi timber company.

The companies and their executives helped Arthur Lamar Adams recruit investors for Madison Timber from 2011 until the company’s 2018 collapse under the weight of a federal criminal probe, according to a lawsuit filed in Mississippi federal court by Madison’s court-appointed receiver.

“Defendants were essential to the growth of the Madison Timber Ponzi scheme,” the suit says. Without the “defendants’ encouragement and assistance,” it adds, the timber compnay “would have failed before ensnaring hundreds of ...