Welcome to the Retirement Value LLC Receivership website. This website was established to provide information regarding the status of the case as well as our efforts to recover assets for the investors’ benefit.  If you have questions that are not answered by the website, please contact the Receiver directly.  His contact information can be found on the Contact Information page.

Receiver’s Report

Although the active phase of the Receivership has ended, the Receiver continues to manage the estate’s cash and insurance policies.  To keep the investors and court informed, the Receiver will report on the status of the estate and his activities quarterly. You can find the quarterly reports on the Investor Communications page. The Receiver has issued his report for the fourth quarter 2017.

Maturities

Policy Nos. LFG782-090409-HO ($5 million) and ING201-071509-AG ($5 million) matured in February 2018. The Receiver has collected the death benefit for Policy LFG782 and is in the process of collecting the death benefit for Policy ING201. Later this year, the Receiver will determine whether the estate has enough money available to make a distribution in light of the reserves that he is required to maintain. If the Receiver determines that he has enough excess cash to make a distribution, he will seek permission from the Court to do so. Cash reserves are currently low. Accordingly, the Receiver anticipates that he will need to use most, if not all, of the $10 million in maturities experienced so far in 2018 to replenish the cash reserves.

The Portfolio

To date, ten of the policies in the portfolio have matured generating $37.7 million in collected death benefits. With the maturities and distributions to date, the portfolio is performing as expected. While the Receiver anticipates making additional distributions, he does not know when the next distribution will be made or how much it will be. Whether a distribution will be made and the amount of the distribution depends largely on the number and size of the policies that mature. Each maturity will not necessarily result in a distribution. The Receiver can make a distribution only when the cash held by the Receiver exceeds the amount that he is required to keep in reserve to pay premiums and other expenses. 

AXA Equitable and Voya Increase Cost of Insurance

AXA Equitable and Voya have notified the Receiver that they have raised the cost of insurance rates on eight of the policies in the portfolio.

 Based on the most recent actuarial analyses (performed in February 2016), the Receiver believes that these cost of insurance increases by AXA and Voya will reduce recoveries by investors between $1.8 million and $2.5 million with the most likely outcome being recoveries reduced by $2.2 million.  Because of the performance of the portfolio to date, however, the Receiver still anticipates that the portfolio will yield distributable net cash flow roughly equal to 100% of investors’ initial investment, plus or minus 20%.  In short, the Plan remains on track despite these rate increases.  This issue is discussed in more detail in the Receiver’s December 31, 2015 Annual Report.

Indictments Handed Down

The State of Texas has indicted Dick Gray, Wendy Rogers, Michael McDermott, Ron James and Don James for crimes arising out of their roles in Retirement Value.  Each has been accused of money laundering, conspiracy, fraud in connection with the sale of a security and theft by fraud, all of which are felonies under state law.  The indictments were handed down by a grand jury in Collin County and the case will be prosecuted by the Collin County District Attorney’s Office. 

Contacting the Court

Please do not call or write the Judge directly. If there is something that you wish to bring to the Judge’s attention, you must file a motion, pleading or other document with the Travis County District Clerk at the following address:

Amalia Rodriguez-Mendoza
Travis County District Clerk
P.O. Box 679003
Austin, TX 78767-9003

Your document should identify this case by its title and cause number (State of Texas vs. Retirement Value, LLC et al; In the 126th Judicial District Court of Travis County, Texas; Cause No. D-1-GV-10-000454). You must also send a copy to the Receiver and to the other parties to the case. Upon request, the Receiver will provide a copy of the current list for service on the parties and counsel. The Travis County Law Library has forms and other useful information for parties without lawyers.