CHARLOTTE, N.C. (AP) — An insurance mogul who was once a major political donor in North Carolina is facing federal charges after pleading guilty in connection with what prosecutors called a $2 billion scheme to defraud insurance regulators, policyholders and others through numerous companies. While in custody he skimmed funds for his personal benefit.

Greg E. Lindberg, 54, of Tampa, Florida, entered the plea Tuesday before U.S. Magistrate Judge David Keesler in Charlotte to one count of conspiracy to commit a civil offense against the United States and one count of conspiracy to commit money laundering. documents.

Lindbergh, previously A lawsuit was filed on 13 charges In February 2023, he could face a maximum of 10 years in prison for the money laundering conspiracy charge and five years in prison for other conspiracy charges, the U.S. Department of Justice said in a news release.

Lindberg, who previously lived in Durham, North Carolina, was already awaiting sentencing after he and a co-worker. They were sentenced in May He was found by a federal grand jury to have attempted to bribe North Carolina’s elected insurance commissioner to secure preferential regulatory treatment in his insurance business. The duo were first convicted of the two crimes in 2020, but a federal appeals court vacated these convictions and ordered new trials to be made.

A document signed by Lindberg and government attorneys that formed the basis of Tuesday’s plea said Lindberg and others conspired to engage in crimes related to the insurance business, wire fraud and investment advisor fraud from at least 2016 through at least 2019. He and others also attempted to deceive the state Department of Insurance and other regulators by evading regulatory requirements, concealing their company’s status and using insurance company funds for themselves, a press release said.

According to the government, this all resulted in companies controlled by Lindberg investing more than $2 billion in loans and other securities with their own subsidiaries, and Lindberg and his collaborators laundering the proceeds of the scheme. The 2023 indictment alleged that Lindberg personally benefited from “forgiving” more than $125 million in loans made to him from insurance companies he controlled, the news release said.

Lindberg created a complex network of insurance companies, investment companies, and other business entities and used them to engage in multimillion-dollar circular transactions. Lindberg’s actions harmed thousands of policyholders, deceived regulators, and created major risks to the insurance industry,” said Dena J. King, U.S. Attorney for the Western District of North Carolina. The FBI and the U.S. Securities and Exchange Commission also joined the investigation.

There was no immediate response to emails sent Wednesday about the plea to an attorney for Lindberg and to a website about Lindberg’s wellness and leadership activities.

A sentencing date has not yet been set. Lindberg surrendered to US marshals on Tuesday and asked to be held at a facility in Tampa before sentencing. Kessler scheduled another hearing on the matter next week. A judge sentenced Lindberg to more than seven years in prison following his first conviction for bribery-related crimes in 2020.

Lindberg has previously donated more than $5 million to state and federal candidates and committees since 2016, favoring Republicans but also donating to Democrats.

The U.S. Justice Department said one of Lindberg’s top executives pleaded guilty in late 2022 in a case involving conspiring to defraud the U.S. in connection with a scheme to move money between Lindberg and others between insurance companies and other businesses Lindberg owned. He said he was still waiting for the sentence.