David Markowitz's hiring comes at a pivotal time for TWG Global, which is under investigation by the U.S. Attorney's Office and the SEC regarding how its insurers, Delaware Life Insurance and Clear Spring Life and Annuity, classified approximately $20 billion in loans to companies controlled by CEO Mark Walter.
Markowitz, who has extensive legal experience, including significant roles at Goldman Sachs and the SEC, is expected to enhance TWG's legal strategies as the company navigates these challenges. The investigations have raised concerns about the reclassification of investments from 3% to 42% of invested assets in regulatory filings, following grand jury subpoenas.
Additionally, TWG's recent agreement to exchange $6.5 billion of affiliated investments for non-affiliated assets indicates a proactive approach to address regulatory scrutiny. Walter, who has not been charged with any wrongdoing, recently sold his stake in the Los Angeles Lakers for $12.5 billion, which has drawn further attention to his business dealings.
Markowitz expressed enthusiasm about joining TWG and contributing to its ambitious goals across various industries