Bloomberg the Company & Products

Bloomberg Anywhere Login


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Texas Fund Manager Convicted in ‘Life Settlement’ Scheme

Don't Miss Out —
Follow us on:

June 10 (Bloomberg) -- Adley H. Abdulwahad, one of three principals at Houston-based A&O Resource Management Ltd. charged with stealing $103 million in a death benefits scheme, was found guilty by a federal court jury in Virginia of conspiracy, securities fraud and money laundering, prosecutors said.

Abdulwahad, 35, and his colleagues stole money from 800 people across the U.S. and Canada, including elderly retirees who lost their life savings, in a scheme to sell “life settlements,” U.S. Attorney Neil MacBride in the eastern district of Virginia said today in an e-mailed statement.

The investments involved life insurance policies that were sold to a third party, with the policy owner getting a cash payout while the buyer of the settlement investment paid the premiums to maintain the policy and collect the benefit upon the death of the insured person, prosecutors said in September when Abdulwahad was charged.

The underlying life insurance policies never existed in any number that they could possibly pay off their investors, prosecutors said. Evidence at trial showed that Abdulwahad routinely used investor funds for personal use, including a lavish home, a Ferrari and a BMW, according to the statement. Abdulwahad faces as long as 20 years in prison. A co-defendant was convicted in March.

Murray Janus, Abdulwahad’s attorney, didn’t return a voice-mail message seeking comment after regular business hours today.

The case is U.S. v. Allmendinger, 3:10-cr-00248, U.S. District Court, Eastern District of Virginia (Richmond).

To contact the reporter on this story: Karen Gullo in San Francisco federal court at +1-355-1916 or

To contact the editor responsible for this story: Michael Hytha at +1-415-617-7137 or

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.