Durham NC November 22, 2022: At a hearing in North Carolina State Court on Monday, attorneys for North Carolina Department of Insurance (NCDOI) Commissioner Mike Causey argued that Greg Lindberg’s insurance companies should be liquidated rather than sold to a buyer who has offered to pay over $300 million for them.
“Mike Causey knows that the day my North Carolina insurance companies are sold policyholders will be able to access their funds in full. He knows that a buyer is willing to pay over $300 million for them. And he knows the sale can close in a matter of months if his department approves the deal,” Lindberg says.
“Despite knowing all of this, Causey instructed his lawyers to argue that the companies should be liquidated, a process that can take several years,” Lindberg says. “This is pure politics and policyholders are being hurt by it,” Lindberg says.
Lindberg says the offer to purchase his North Carolina insurers is backed by a well-capitalized reinsurance investor with over $1 billion in capital who has offered to provide reinsurance for most of the reserves.
“The NCDOI does not want my insurance companies to be sold because that means Mike Causey has been making false statements about them since day one,” Lindberg stated. “Causey’s agents received the first letter of intent to purchase my North Carolina insurers in May of this year. They didn’t even bother responding until October,” Lindberg says.
“Mike Causey’s actions here make it clear that his objective is the destruction of Greg Lindberg, not the protection of policyholders,” Lindberg says. “If that isn’t politically-motivated abuse of power, I don’t know what is,” Lindberg says.
By NCDOI’s own admission, there is substantial available liquidity in CBL and BLIC, and they are more than able to meet policyholder needs today, Lindberg says. In fact, their cash position is so good that NCDOI just filed a request to relax the moratorium standards the court put in place in 2019 so more policyholders could get access to more of their benefits now.
Over $1.1 Billion In Total Pending Transactions Underway Lindberg Says
Lindberg reports that Global Growth companies have over $1.1 billion of pending sale and refinancing transactions that will facilitate the exit of Global Growth from the insurance business. “Global Growth has received letters of intent, purchase agreements, and in some cases definite documents on these various transactions that can be closed in a matter of weeks if cooler heads can prevail,” Lindberg says.
“After four years of false reporting about my insurance companies, I am looking forward to putting the lies to bed once and for all with the sale and rehab exit of my North Carolina insurers,” Lindberg says.
Mike Causey Told Staff He Targeted Lindberg For Political Reasons, Lindberg Says
The root of this problem is politics. More litigation from the NCDOI does not change that.
“Mike Causey told his staff that he was targeting me because I supported his opponent in the 2016 election,” Lindberg says.
Causey ran for the position of North Carolina Insurance Commissioner five times before winning by less than 1% of the vote. Lindberg supported Causey’s opponent. Immediately upon taking office, Causey ensured that Lindberg’s insurance companies stopped receiving fair and equitable regulation.
Rather than address Lindberg’s legitimate business concerns, the Commissioner used his position to attempt to entrap Lindberg. After the government accused Lindberg of conspiracy to commit honest services wire fraud and bribery concerning programs receiving federal funds, the United States Court of Appeals for the Fourth Circuit unanimously ruled that his conviction violated his Constitutional rights and must be vacated.
“I will continue to fight until every policyholder is paid out and until every one of these false claims are dismissed. My 633 days in prison after being wrongfully convicted hardened my resolve to seek justice regardless of how long it takes: I have no fear of false accusations from the government. These false claims are merely an attempt to wear me down,” Lindberg says.
Lindberg says that despite all of the attacks, “his head is bloody but unbowed” and he continues to do whatever it takes to support his North Carolina insurers. “Since I bought them, I invested over $500 million in my insurance companies, and I continue to invest in them today on a regular basis to protect policyholders,” Lindberg says.
“Dog piling false claims on Greg Lindberg helps no one,” Lindberg says, “and hurts policyholders.”
About Greg Lindberg. Greg Lindberg is an entrepreneur, a leadership coach, an author, and a father. His latest book describing his time at Federal Prison Camp Montgomery can be downloaded at www.greglindberg.com or purchased on Amazon. Over the course of his career, he has acquired and transformed more than 100 companies that were either failing or underperforming, each time finding and empowering great talent—people with the same commitment to hard work, learning, entrepreneurship, and a roll-up-your-sleeves attitude. Today, these companies are worth billions of dollars and employ 7,500 people. In 2020, he founded Interrogating Justice, a non-profit organization whose mission is to bring awareness and help advance solutions that hold corrupt government actors accountable, ensure fairness in sentencing, support reentry, and provide access to justice for all. To learn more visit:https://interrogatingjustice.org/