​​​Retirement Value LLC, Receivership

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.  The Receiver will distribute an annual report effective as of the end of each calendar year.  The quarterly reports can be found on the Investor Communication page.   The Receiver has issued his report for the second quarter 2016.


The Court has approved a $2.5 million distribution to the investors. The RV Investors will receive $2,372,170 and the HCF Investors will receive $127,830.  This distribution is the third distribution, raising the total distributed to the investors to $11.0 million or 13.7% of the amount invested.

The Receiver mailed distribution checks to the Investors on April 2, 2016.  Unfortunately, a number of checks were returned as “undeliverable.” If you have not received your distribution check, please contact the Receiver immediately.  A list of Investors whose checks were returned is on the “Undeliverable Checks” page.  Investors have until April 3, 2017 to claim their checks.

The Receiver would like to remind all Investors that it is each Investor’s responsibility to make sure that the Receiver has the Investor’s current mailing address as well a  telephone number and/or e-mail address.  While he will attempt to locate Investors, the Receiver is not required to do so and his ability to do so is limited.

                                                                               The Portfolio

To date, seven of the policies in the portfolio have matured generating $26.5 million in death benefits.  As a result of these maturities and litigation recoveries, the Receiver was able to distribute about $8.5 million to the investors.  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.  Distributions can only be made when the cash held by the Receiver exceeds the amount 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.

Face Value
               $ 2,500,000

 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.

                                                   Court Finds Retirement Value Engaged In Fraud

On February 21, 2013, the Court granted the State’s motion for partial summary judgment against Retirement Value finding that “Retirement Value engaged in fraud or fraudulent practices in the course of selling unregistered securities” in violation of the Texas Securities Act. The Court ordered Retirement Value to make restitution to the RV investor-victims. While it will not change the total amount of money payable to the investors, the order supports the Plan of Distribution and supports the ability of investors to claim that recoveries from the estate should be treated as the recovery of theft losses for tax purposes.