GWG L Bond Investors Can Expect to Receive Approximately $26.94 to $34.46 for Every $1,000 Invested

Background:

• GWG Holdings, Inc. (“GWG”) filed for Chapter 11 bankruptcy protection on April 20, 2022.
• GWG’s Chapter 11 bankruptcy plan (the “Plan”) went into effect on August 1, 2023. As part of the Plan, GWG’s assets were liquidated through the GWG Wind Down Trust.
• As of December 31, 2024, the GWG Wind Down Trust had sold nearly all its tangible assets and had only $3 million in net assets. Read more about the GWG Wind Down Trust’s latest Status Report: GWG L Bonds Update: Investor Recovery Outlook and Wind Down Trust Report (April 2025).
• The Plan also established a GWG Litigation Trust, tasked with investigating and prosecuting potential claims against third parties who may have contributed to GWG’s failure.
• In March 2025, the GWG Litigation Trust announced proposed settlements with various defendants totaling $91.3 million. The settlements are subject to court approval. Read more about the GWG Litigation Trust’s settlements: GWG Holdings L Bond Settlement: $50.5 Million Agreement Reached with Defendants Including Beneficent and Brad Heppner – What It Means for Investors.

For more information, please visit our GWG L Bond Investor Recovery Center.

How Much Will GWG L Bond Investors Receive from the Bankruptcy Settlements?

On April 30, 2025, the GWG Litigation Trustee filed a Supplemental Notice of Proposed Settlements in the United States Bankruptcy Court for the Southern District of Texas.

According to the court filing, after deducting legal fees and expenses, approximately $59.8 million of the $91.3 million will be available for distribution, assuming court approvals. The GWG Wind Down Trust estimates that the cumulative distribution from the four settlements will be between $2.694% and 3.446% of the approximate $1.67 billion in pre-petition GWG L Bond holdings that are now Series A1 WDT Interests.

In Plain English:

• At the time of GWG’s bankruptcy filing in April 2022, GWG owed approximately $1.67 billion to L Bondholders.
• The four announced settlements, which still require court approval, will generate approximately $59.8 million for the GWG Wind Down Trust.
• Of that amount, GWG L Bond investors will likely receive between 2.7% and 3.45% of their original investment.
• In other words, investors can expect to receive approximately $26.94 to $34.46 for every $1,000 invested.

Can GWG L Bond investors recover additional investment losses?

Yes. In addition to the bankruptcy liquidation, GWG L Bond investors may be able to recover further losses by filing claims against the brokerage firms that sold these high-risk, speculative, and illiquid securities. These firms, which earned high commissions from the sales, had legal duties to their customers.

Iorio Law PLLC has already recovered approximately $3.5 million for GWG L Bond investors. We believe that pursuing recovery from the financial firms that marketed and sold these risky products remains the strongest avenue for investors to recoup their losses.

Take Action: Contact Iorio Law PLLC for a Free Consultation

If you invested in GWG L Bonds, we encourage you to contact Iorio Law PLLC today for a free, no-obligation consultation to discuss your legal rights and recovery options.

📞 Call: (646) 330-4624
📧 Email: info@iorio.law
📍 Location: One World Trade Center, 85th Floor, New York, NY 10007
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For more information on our GWG L Bonds investigation, please visit gwglawyer.com.

About Iorio Law PLLC

Based in New York, NY, Iorio Law PLLC is a leading securities arbitration law firm dedicated to representing investors nationwide. With 15 years of experience and a proven track record in handling 700 cases, we are committed to fighting for GWG L Bond investors on a contingency fee basis—you only pay if we recover money for you.