Bankruptcy Court Approves DWG's Reorganization Plan
From the desk of Jim Eccleston at Eccleston Law
The Bankruptcy Court for the Southern District of Texas has approved GWG Holdings Inc.'s reorganization plan. Consequently, all securities issued by the company, which encompass common stock, preferred stock, and debt securities, including L bonds, have been nullified.
GWG Holdings has informed that investors who held these canceled securities have been provided with interests in the GWG Wind Down Trust. This trust, established under Texas law, serves as a liquidating trust formed in accordance with the approved plan.
According to DI Wire, GWG Holdings also intends to file Form 15 with the Securities and Exchange Commission (SEC) to provide notice of the suspension of its reporting obligations under SEC rules. Upon filing Form 15, GWG will immediately cease filing any further periodic reports under the Exchange Act.
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