I sent a letter to the President regarding Greg Lindberg

Just before Christmas, I sent an important letter to President Trump, advising him not to pardon Greg Lindberg.

Billionaire Lindberg owned a number of North Carolina-based insurance companies, including Colorado Bankers Life Insurance Co., Bankers Life Insurance Co., Southland National Insurance Corp. and Southland National Reinsurance Corp. Lindberg harmed policyholders by diverting money from his insurance companies to other companies he owned and used much of that money to finance his lavish lifestyle, purchasing jets, yachts and mansions. When my expert staff at the Department of Insurance raised concerns about the financial stability of his insurance companies and tried to take corrective action, Lindberg tried to get me to fire the experts trying to keep his insurance companies solvent. He tried to bribe me in order to get a senior official removed. I worked with the FBI and was wearing a wire when he made the offer.

As I said in my letter to the president, Lindberg’s criminal conduct was not incidental, technical or victimless. It was deliberate, sustained and directly aimed at corrupting a state regulatory system charged with protecting the public so he could enrich himself.

These are not victimless crimes. The diversion of moneys from Lindberg’s insurance companies to his affiliate companies and ultimately to his own pockets irreparably harmed the insurance companies to the point where the companies had to be liquidated. Fortunately for policyholders, state guaranty associations exist to help policyholders get up to $300,000 of the money due to them when insurance companies go belly up.

Unfortunately for the policyholders, Lindberg fought liquidation in the courts and his appeals to higher courts resulted in delayed benefits for the policyholders. Many of these policyholders had invested in Lindberg’s insurance companies as a means of providing annuities and other benefits so that they could retire comfortably.

These illegal activities put the victims’ financial security at risk and they continue to suffer repercussions today. These harms are real, ongo- ing and irreparable.

Lindberg has a well-financed and aggressive public relations campaign as he seeks a pardon from Trump. Media reports say he’s hired well-placed lobbyists with ties to the president in an attempt to obtain a pardon.

Sworn testimony, recorded evidence, the findings of a federal jury and Lindberg’s own admission of guilt make it clear that he received due process and every legal protection afforded under our Constitution. Clemency is most compelling when it corrects a miscarriage of justice or shows mercy where the law has operated too harshly. Neither condition applies here.

North Carolina’s two U.S. Senators, Thom Tillis and Tedd Budd, have weighed in against a pardon. I thank them for their thoughtful response.

My hope is that Trump will deny any request for a pardon or commutation of sentence for Lindberg. To do otherwise would undermine public confidence in the rule of law and send a troubling message to those entrusted with regulatory authority and to those tempted to corrupt it.

N.C. Department of Insurance Commissioner Mike Causey.