GWG Holdings Inc., the bankrupt financial services firm and sponsor of non-traded bond offerings backed by life settlements, revealed late yesterday that three members of its board of directors have tendered their resignations.
David De Weese and David Cavenson tendered their resignations from the board of directors and committees thereof on Nov. 15 and Nov. 16, respectively. According to GWG, both of the former directors independently confirmed that their respective resignations were not due to any disagreement with the company.
Separately, on Nov. 16, the company’s former chief financial officer and treasurer, Timothy L. Evans, also resigned as a member of the board of directors.
The DI Wire reported last week that the company’s president and chief executive officer, Murray T. Holland, as well as Evans, both resigned as executive officers of the company without resigning from their positions as members of the board of directors of GWG.
In his letter of resignation from his board seat, Evans explains that when he resigned as CFO he did not also resign specifically as a director on the company’s board because he thought that he could continue to be helpful to the company, and that any potential conflicts of interests would be addressed by the special committee’s role in the company’s governance.
“However, I am resigning my position as a director on the company’s board, as well as my other positions with the company and its affiliates, now because I do not want my continued presence on the company’s board to be a distraction as the company continues to work through the Chapter 11 restructuring process,” wrote Evans.
Most recently, The DI Wire reported that GWG’s board was suspended by the United States Bankruptcy Court for the Southern District of Texas, Houston Division, pending the outcome of a hearing scheduled for Dec. 1, 2022.
GWG Holdings is a financial services firm based in Dallas, Texas. Through its subsidiary, GWG Life, LLC, GWGH owns and manages a portfolio of life insurance policies that, as of Sept. 30, 2021, included $1.8 billion in face value of life insurance policy benefits.