Plaintiffs Fourth Amended Petition - Texas State Securities Board

iii.
iv.
Kiesling Porter has no legal obligation, ability or wherewithal to litigate
any contestable matters that relate to said life insurance policies or the
payment of claims thereon, and
Kiesling, Porter is not required to continue to serve as the escrow agent, or
as the beneficiary of the policies, and it can relinquish its duties by
canceling the Escrow Agreement at any time.
E. Investors are not named as “irrevocable co-beneficiaries” or as any type of
beneficiary with the insurance carriers; but rather, are completely unknown by the
carriers, and are therefore not entitled to receive the death benefits of the life
insurance policies from the issuing insurance carrier when the insured dies.
F. The assets, liabilities or capitalization of Defendant Retirement Value and
Kiesling Porter, or any information that would allow a prospective investor to
assess or verify that Defendant Retirement Value and Kiesling Porter could
continue to operate through the maturity of investments in the RSLIP Program.
G. The identity of and information about the “Policy Financing Entity,” the “Policy
Aggregator,” and persons and entities who perform managerial efforts in regard to
the RSLIP Program.
H. Information relating to the methodology used to track the insured and determine
when he or she dies.
I. True and accurate information regarding the life expectancy estimates.
J. A true and accurate accounting of the actual or anticipated use of investor funds
including, but not limited to, the amount of investor funds that will be used to pay
commissions to sales agents, fees or profits to Retirement Value and its agents,
and the salaries or other payments made to management, the effectuation of
medical reviews to predict a date of death, the use of Kiesling Porter as a
purported “escrow agent” and any other fees or charges associated with the
RSLIP Program. For example, disclosing to investors that 30-40% of investors’
funds were used to pay commissions to sales agents, fees, and profits to
Retirement Value, and its agents in addition to the amount of investor funds used
to acquire the life insurance policies and pay the policy premiums,
K. Defendants Retirement Value routinely instructed Kiesling Porter to use funds
purportedly escrowed to pay the purchase price and premiums for one policy to
pay portions of the purchase price and premiums for other policies.
State of Texas v. Retirement Value, LLC, et al.
Plaintiff’s Fourth Amended Verified Petition Page 36 of 57