North Carolina

North Carolina Supreme Court Lets Stand Greg Lindberg’s Civil Fraud Liability

Published

5 months ago

October 21, 2025

North Carolina Supreme Court Lets Stand Greg Lindberg’s Civil Fraud Liability

The North Carolina Supreme Court has decided that it will not, after all, review another legal filing by convicted insurance entrepreneur Greg Lindberg.

The Oct. 17 ruling lets stand a 2023 decision by the state Court of Appeals, which found that Lindberg and some of his affiliated companies were liable for fraud by misleading life insurance companies and a reinsurance firm that he once owned.

“We hold the trial court’s conclusions of law were supported by findings of fact based on competent evidence,” the appeals court judges wrote in the 2023 opinon.

The high court in December 2023 had agreed to review the appeal court’s order, at Lindberg’s behest. But after hearing oral arguments, the Supreme Court justices changed their minds, noting that “discretionary review was improvidently allowed by order on 13 December 2023.”

No further explanation was offered. But with multiple criminal and civil proceedings stemming from the bribery conviction of and the regulatory crackdown on Lindberg, the appeal court’s 24-page opinion offers a valuable recount of some of the main aspects of the voluminous litigation involving Lindberg since 2016.

“Simply put, Lindberg created a scheme in which he caused $1.2 billon held for Plaintiffs’ policyholders to be invested into other non-insurance companies that he also owned or controlled,” the appellate judges wrote in the opinion in Southland National Insurance Corp., et al, vs. Greg Lindberg, et al.

Lindberg

It all began in 2014 under previous North Carolina Insurance Commissioner Wayne Goodwin, the court explained. Lindberg sought to re-domesticate Southland, Bankers Life Insurance Co., Colorado Bankers Life Insurance Co., and Southland National Reinsurance Corp. to North Carolina. Lindberg struck a special agreement with Goodwin, allowing Lindberg to break what has often been considered a cardinal rule for insurance companies – keeping adequate reserves on hand and under the control of the insurance carrier.

Instead, Lindberg was allowed to invest up to 40% of the insurance companies’ assets into affiliated business entities, and Lindberg soon invested hundreds of millions into non-insurance firms he owned or controlled.

In 2016, Mike Causey defeated Goodwin in the election and took over as insurance commissioner. Causey moved swiftly to reduce the cap on affiliated investments – back to 10%, the court explained.

Lindberg in early 2018 attempted to bribe Causey with heavy campaign contributions, hoping for a relaxation of the rules as he struggled to “untangle his affiliated investments,” the appellate judges noted. Causey cooperated with federal authorities and wore a recording device during the meeting with Lindberg. Lindberg was convicted of bribery in 2020, had his conviction overturned due to improper jury instructions, then was convicted again in 2024. He’s still awaiting sentencing.

Meanwhile, in late 2018, while Lindberg’s prosecution was pending, it became obvious that Lindberg’s affiliated companies would not meet their obligations to restore funds to cover the life insurers’ policyholder liabilities. NCDOI placed Southland and the other insurance companies under administrative supervision. An out-of-state consultant was put in charge, and deadlines were set for repayment of the assets.

With it becoming clear that Lindberg’s affiliated firms would not meet the deadlines, Southland and the other insurance companies signed a memorandum of understanding and other agreements, restucturing the financial obligations, providing a $40 million line of credit to a company owned by Lindberg, and making the affiliated firms subsidiaries of a newly created holding company, the court explained.

In 2019, Lindberg’s affiliated firms failed to meet the restructuring agreements’ goals and failed to make the affiliated businesses part of the holding company. Southland filed suit, charging fraud.

The trial court in Wake County largely agreed, and the appeals court upheld the lower court’s ruling.

“Defendants attempt to convince this Court that the MOU’s main purpose was not only to rehabilitate Plaintiffs’ companies, but to ensure Lindberg would continue to benefit from the overall transaction,” the appellate judges wrote. “This argument ignores another of Defendants’ motivations: to make money using capital provided by hardworking, North Carolina policyholders.”

Lindberg’s team claimed that the memorandum of understanding was unenforceable. The appeals court didn’t buy that argument.

“Defendants and Lindberg have enjoyed the benefit of millions of dollars of debt relief provided by Plaintiffs, yet continue to claim the MOU is unenforceable,” the court wrote.

On other arguments the court was equally critical of Lindberg’s assertions.

“Put plainly, Defendants made representations about their ability to perform under the MOU, then just two weeks before performance was due, cited those exact representations as the reason why they could not perform,” Judge April Wood wrote in the opinion.

And because Lindberg understood the intricacies of the affiliated businesses’ structures, he knew that performance under the MOU was impossible, “yet made representations that induced Plaintiffs to enter into the contract. For those reasons, we hold the trial court did not err in finding Defendants’ actions satisfied the elements of fraud.”

The appeals court remanded part of the case to the lower court to determine remedies available to Southland and the other plaintiff insurance companies.

In November 2024, Lindberg pleaded guilty to $2 billion in fraud in a related prosecution. In July of this year, a federal judge approved a plan to distribute $318 million from the sale of a Lindberg-owned software firm to the life insurance policyholders. In early October, the judge allowed the release of policyholder information so that a special master in the case could finally begin distributing funds to the victims of the fraud.

Read more about Lindberg’s bribery conviction here, and other court rulings here.

Topics
Fraud
North Carolina
Liability

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North Carolina

Duarte girl kidnapped in 2020 at 5 years old found safe in North Carolina

Published

5 hours ago

March 11, 2026

Press Room

Duarte girl kidnapped in 2020 at 5 years old found safe in North Carolina

A girl who was kidnapped from Duarte in 2020 when she was just 5 years old has been found safe in North Carolina.

The Washington County Sheriff’s Office said it found Karen Rojas, who is now 11, on Tuesday. She was enrolled in school under an alias, according to investigators.

Authorities said she was kidnapped on June 2, 2020.

The Los Angeles County Sheriff’s Department and the Los Angeles Department of Children and Family Services notified Washington County law enforcement that she may be in the state.

They coordinated with several agencies, located the girl and took her into protective custody.

“These are very rare occurrences to have such a positive outcome on such an old case as this, but it reminds us that through hard work, and dedication, and cooperation, stories with positive outcomes like these can happen,” the Washington County Sheriff’s Office said in a social media post.

Due to the age of the child, further information was not immediately available.

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North Carolina

These 4 Western NC towns are among WorldAtlas favorites for 2026

Published

18 hours ago

March 10, 2026

Press Room

These 4 Western NC towns are among WorldAtlas favorites for 2026

A new list from WorldAtlas named the publication’s top 10 favorite North Carolina towns of 2026, including several locations located in Western North Carolina.

Founded in 1994 by cartographer John Moen and his wife, Chris Woolwine-Moen, WorldAtlas publishes educational materials and articles on geography, sociology, demography, environment, economics, politics, and travel.

Previous Citizen Times articles have covered numerous mentions of Western North Carolina from WorldAtlas, including “idyllic” and “unpretentious” towns, scenic drives, a favorite downtown area, and more. In the new list, published March 9, WorldAtlas writers chose their all-time favorite North Carolina towns ― almost half of which were located in the western region of the state.

Here’s what WorldAtlas had to say about mountain North Carolina towns, plus the full list and more.

What to do in Banner Elk, N.C.

WorldAtlas noted the range of activities offered in Banner Elk throughout the year. The town sits in the Blue Ridge Mountains between the Sugar Mountain and Beech Mountain ski resorts. Writers highlighted the following locations and activities in Banner Elk:

Wildcat Lake, which has a lifeguarded white-sand beach and is used for swimming, non-motorized boating and fishing for largemouth bass, trout, and bluegill
Grandfather Mountain Nature Museum, a museum located at Grandfather Mountain
The Mile High Swinging Bridge, the highest suspension footbridge in the United States, which visitors can cross on foot

What to do in Blowing Rock, N.C.

Also included on the WorldAtlas list, Blowing Rock takes its name from a rock formation where the wind appears to blow upward. The list highlighted the following locations and activities in Blowing Rock:

The town’s namesake, “Blowing Rock,” is a rock formation known for views of Johns River Gorge and the surrounding forest
Fishing, spelunking and rock climbing opportunities in the area
Moses H. Cone Memorial Park, also known locally as “Cone Park,” which has hiking trails and is located on the Blue Ridge Parkway
Memorial Park on Main Street, where town events and concerts often take place

What to do in Brevard, N.C.

Brevard, also known as the “Land of Waterfalls,” is home to more than 200 waterfalls located across Transylvania County. WorldAtlas highlighted the following locations and activities in Brevard:

Museums, trails, rock climbing and the surrounding area’s many waterfalls
Guided Jeep and hiking tours to view waterfalls throughout Transylvania County
Veterans History Museum of the Carolinas, a museum displaying artifacts from U.S. military conflicts
Transylvania Heritage Museum, a museum focused on local history and genealogy

What to do in Hot Springs, N.C.

Hot Springs’ name comes from the natural springs that attract visitors from across the state and region. The springs are commonly visited by hikers seeking relief after traveling along the Appalachian Trail, which runs through the town. WorldAtlas highlighted the following activities and events:

Kayaking on the French Broad River
Trailfest, a celebration of hiking typically held in April
French Broad River Festival, a celebration of the French Broad River held each year on the first weekend of May
White-water rafting and ziplining opportunities in the area
Fishing, skiing, sport shooting, golf, disc golf, biking and horseback riding opportunities throughout the area
A range of accommodations including campgrounds, privately owned cabins, apartments, suites and cottages, with options from basic to luxury experiences

WorldAtlas’s best towns in North Carolina

The full list of WorldAtlas’s favorite North Carolina towns of 2026 included:

Banner Elk
Beaufort
Blowing Rock
Brevard
Davidson
Edenton
Hot Springs
Seagrove
Manteo
Wrightsville Beach

Iris Seaton is the trending news reporter for the Asheville Citizen Times, part of the USA TODAY Network. Reach her at iseaton@citizentimes.com.

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‘It was dire’: NC State professor returns from Qatar after being trapped during Iran war

Published

1 day ago

March 10, 2026

Press Room

‘It was dire’: NC State professor returns from Qatar after being trapped during Iran war

An North Carolina State University professor is back home Monday night after he was trapped in the Middle East as war with Iran broke out.

Rich Spontak was stuck in Qatar while traveling from Bangkok to Spain and was forced to stay in the country for about a week. Several travelers were trapped for days in the Middle East after Iran’s
Supreme Leader Ayatollah Ali Khamenei and several defense leaders were
killed in joint strikes by the United States and Israel.

Spontak, like many travelers, found himself stranded in the Middle East after the initial attacks, which quickly entangled more surrounding countries, including Kuwait and Saudi Arabia, where seven U.S. service members were killed in retaliatory attacks from Iran.

Spontak said there were times he thought he wouldn’t make it out.

“I would just keep looking out and looking for the missiles,” Spontak said. “Some people that I met along the way were hit by shrapnel from the missles. It was dire.”

Airspace over Iran, Iraq, Bahrain, Kuwait and Syria remained closed, according to flight-tracking service Flightradar24. Azerbaijan also shut the southern sector of its airspace on Thursday after accusing Iran of a drone attack that injured four civilians and damaged an airport building.

Lilia Austin, a Chapel Hill woman who was part of a group of 100 women who went to Israel for a trip the day before Khamenei was killed, also returned home on Sunday after she left Israel through Egypt.

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