Bradley Heppner, formerly associated with corporate leadership, is facing charges of securities fraud, wire fraud, and additional offenses. According to the U.S. Attorney's Office, Heppner, the former CEO and Board Chairman of GWG Holdings, Inc., is accused of using a shell company to divert over $150 million for personal use, allegedly misleading the company's board, auditors, and the SEC.
The indictment details actions by Heppner, who previously founded the financial services startup Beneficient. He is accused of using his position at GWG Holdings to facilitate a payment for a reported debt owed by Beneficient to the Highland Consolidated Limited Partnership (HCLP), a shell company reportedly under his control. As noted in official statements, these actions contributed to GWG Holdings filing for Chapter 11 bankruptcy after being unable to meet more than a billion dollars in obligations, affecting tens of thousands of retail bondholders.
Heppner was arrested in Dallas, Texas, and is now facing legal proceedings. The Southern District of New York's U.S. Attorney Jay Clayton and FBI Assistant Director Christopher G. Raia described the case in statements obtained by the U.S. Attorney's Office. Clayton stated, "When executives like Heppner lie and cheat to enrich themselves at the expense of everyday investors, they corrupt the integrity of our public markets."
Raia stated that Heppner is accused of falsifying documents and interfering with investigations. Heppner faces several charges, each carrying potential prison time. The case is being handled by prosecutors Thomas Burnett, Daniel G. Nessim, and Alexandra Rothman of the SDNY’s Securities and Commodities Fraud Task Force and involves allegations of executive-level misconduct.
