Exhibit 99.2

 

CASE NAME:

Life Partners, Inc.

 

CASE NUMBER:

15-40289 (Jointly Administered)

 

UNITED STATES BANKRUPTCY COURT

 

NORTHERN AND EASTERN DISTRICTS

 

DALLAS AND TYLER DIVISONS

 

FOR POST CONFIRMATION USE

 

QUARTERLY OPERATING REPORT

 

AND

 

QUARTERLY BANK RECONCILEMENT

 

In accordance with Title 28, Section 1746, of the United States Code, I declare under penalty of perjury that I have examined the attached Post Confirmation Quarterly Operating Report, and the Post Confirmation Quarterly Bank Reconcilement and, to the best of my knowledge, these documents are true, correct and complete. Declaration of the preparer (other than responsible party), is based on all information of which preparer has any knowledge.

  

RESPONSIBLE PARTY:
Original Signature of Responsible Party	/s/ Eduardo S. Espinosa
Printed Name of Responsible Party	Eduardo S. Espinosa
Title	Trustee
Date	4/20/2017
PREPARER:
Original Signature of Preparer	/s/ Bonnie Stripling
Printed Name of Preparer	Bonnie Stripling
Title	Accountant
Date	4/20/2017

 

  

POST CONFIRMATION

QUARTERLY OPERATING REPORT

 

CASE NAME:

Life Partners, Inc.

 

CASE NUMBER:

15-40289 (Jointly Administered)

 

QUARTER ENDING: March 31, 2017

 

1		BEGINNING OF QUARTER CASH BALANCE:							$127,284.42
		CASH RECEIPTS:
		CASH RECEIPTS DURING CURRENT QUARTER:
		(a). Cash receipts from business operations			+				$639.33
		(b). Cash receipts from loan proceeds			+
		(c). Cash receipts from contributed capital			+
		(d). Cash receipts from tax refunds			+
		(e). Cash receipts from other sources			+				$1,234.55	1
2		TOTAL CASH RECEIPTS			=				$1,873.88	5
		CASH DISBURSEMENTS:
		(A). PAYMENTS MADE UNDER THE PLAN:
		(I). Administrative			+				$2,861.56	2
		(2). Secured Creditors			+
		(3). Priority Creditors			+
		(4). Unsecured Creditors			+
		(5). Additional Plan Payments			+				$99.33	3
		(B). OTHER PAYMENTS MADE THIS QUARTER:
		(1). General Business			+				$3,062.84
		(2). Other Disbursements			+				$176.42	4
3		TOTAL DISBURSEMENTS THIS QUARTER							$6,200.15	5
4		CASH BALANCE END OF QUARTER			=				$122,958.15

 

1

Cash receipts from other sources includes $1,234.55 transferred from paypal back to LPI checking account #4080.

2

Administrative Payments made under the plan includes reimbursement of Trustee's travel expenses.

3

Additional Plan Payments are cash contributed to Position Holder Trust.

4

Other disbursements are cash transferred to LPI Financial Services bank account #4069 to cover bank fees.

5

Cash Receipts & Disbursements do not include amounts deposited directly to or disbursed from Life Partners Position Holder Trust accounts or the Life Partners Creditors' Trust account. See attached Supplements to Post Confirmation Quarterly Operating Report & Bank Reconcilement for receipts and disbursements from the Position Holder Trust & Creditors' Trust accounts.

 

  

POST CONFIRMATION

QUARTERLY BANK RECONCILEMENT

 

CASE NAME:

Life Partners, Inc.

 

CASE NUMBER:

15-40289 (Jointly Administered)

 

The reorganized debtor must complete the reconciliation below for each bank account, including all general, payroll

and tax accounts, as well as all savings and investment accounts, money market accounts, certificates of deposits, governmental obligations, etc. Accounts'with restricted funds should be identified by placing an asterisk next to the account number.

Attach additional sheets for each bank reconcilement if necessary.

 

QUARTER ENDING: March 31, 2017

 

		Bank Reconciliations		Account #1				Account #2				Account #3				Account #4
A.		Bank		Bank of Texas				Bank of Texas				Bank of Texas								TOTAL
B.		Account Number		4080				4091				2027
C.		Purpose (Type)		Checking				Checking				Checking
1		Balance Per Bank Statement		$	6,966.96			$	117,249.36			$	0.00								$124,216.32
2		Add: Total Deposits Not Credited																		+	$0.00
3		Subtract: Outstanding Checks		$	63.31			$	1,194.86			$	0.00								$1,258.17
4		Other Reconciling Items																			$0.00
5		Month End Balance Per Books		$	6,903.65			$	116,054.50			$	0.00							=	$122,958.15
6		Number of Last Check Written			2859				4485				1044
7		Cash: Currency on Hand																		+	$0.00
8		Total Cash - End Of Month																		=	$122,958.15

 

CASH IN:

INVESTMENT ACCOUNTS

 

Date of

Type of

Bank, Account Name & Number

Purchase

Instrument

Value

9

+

10

+

11

+

12

+

13

Total Cash Investments

=

$0.00

14

TOTAL CASH

LINE 8 - PLUS LINE 13 = LINE 14 ****

$122,958.15

****

 

**** Must tie to Line 4, Quarterly Operating Report

 

 

SUPPLEMENT-1 TO POST CONFIRMATION

QUARTERLY OPERATING REPORT & BANK RECONCILEMENT

 

CASE NAME:

Life Partners, Inc.

 

CASE NUMBER:

15-40289 (Jointly Administered)

 

Receipts and Disbursements of Life Partners Position Holder Trust

For Informational Purposes Only

 

The Life Partners Position Holder Trust is providing this reporting for informational purposes only. Funds received and disbursed are primarily trust funds outside of the former bankruptcy estate.

 

		QUARTER ENDING:  March 31, 2017				Period Ending December 31, 2016		Quarter Ending March 31, 2017
1		BEGINNING OF QUARTER CASH BALANCE:				$0.00		$108,736,059.54
		CASH RECEIPTS:
		CASH RECEIPTS DURING CURRENT QUARTER:
		(a). Cash receipts from business operations		+		$2,087,552.65		$58,013,451.53	1
		(b). Cash receipts from loan proceeds		+		$55,000,000.00		$0.00
		(c). Cash receipts from contributed capital		+		$1,425,876.49		-$1,135.22	2
		(d). Cash receipts from escrow accounts:
		Premiums Collection Acct #2016*		+		$5,561.35		$0.00
		Premium Escrow Account FHPREA #0027*		+		$9,031,980.94		$0.00
		Maturities Account MEA #0019*		+		$36,422,599.96		$0.00
		All ATLES Accounts		+		$156,139,199.96		$0.00
		(e). Cash receipts from other sources:
		Sale of Servicing Rights		+		$4,000,000.00		$0.00
		Sale of Assets to Vida		+		$60,000.00		$0.00
2		TOTAL CASH RECEIPTS		=		$264,172,771.35		$58,012,316.31
		CASH DISBURSEMENTS:
		(A). PAYMENTS MADE UNDER THE PLAN:
		(I). Administrative:
		Payments to Bankruptcy Professionals		+		$15,138,836.96		$2,153,859.62
		Plan Administration Professionals		+				$780,148.21
		Other Administrative Claims		+		$735,000.00		$521,630.44
		US Trustee Fees		+				$21,775.00
		(2). Secured Creditors		+		$0.00		$0.00
		(3). Priority Creditors:
		Maturity Funds		+		$124,886,459.85		$14,956,388.49	3
		Interest on Maturity Funds Loan		+		$1,965,116.54		$143,833.17
		Excess Escrow Funds				$0.00		$8,096,667.92
		(4). Unsecured Creditors		+		$0.00		$0.00
		(5). Additional Plan Payments:
		Creditors' Trust Funding		+		$2,000,000.00		$5,000,000.00
		Exit Loan Interest		+				$1,899,027.78
		DIP Loan Repayment		+		$10,157,777.77		$0.00
		Unused Credit Line Fee		+		$100,000.00		$0.00
		(B). OTHER PAYMENTS MADE THIS QUARTER:
		(1). General Business		+		$11,666.69		$11,804,519.70	4
		(2). Other Disbursements		+		$441,854.00		$33,536.16	5
3		TOTAL DISBURSEMENTS THIS QUARTER		=		$155,436,711.81		$45,411,386.49
4		CASH BALANCE END OF QUARTER		=		$108,736,059.54		$121,336,989.36	6

 

1

Quarter Ending March 31,2017 includes $35,853,794.15 in maturities and $22,122,836.42 in premium receipts which includes prepetition amounts, premiums advanced & platform service fees.

2

This includes cash contributed to the Position Holder Trust by the debtors and is shown on the Debtors Quarterly Operating Reports as cash disbursed to the trust. Quarter End 3/31/17 reflects an adjustment of $1,234.55 resulting from the closeout of the PayPal account being deposited back to LPI's operating account #4080.

3

Maturity Funds Paid Out to Position Holders to-date total $139,842,848.34, but some checks have been returned and are subject to being reissued.

4

General Business Payments includes $11,078,191.61 in premiums paid on active policies and $423,375 for Securities Intermediary On Boarding Fee.

5

Other Disbursements for December 31, 2016 includes payments for D&O & E&O insurance and for March 31, 2017, includes payments of other miscellaneous bankruptcy expenses.

6

Cash on the books of Life Partners Position Holder Trust at the end of the month.

 

 

SUPPLEMENT-2 TO POST CONFIRMATION

QUARTERLY OPERATING REPORT & BANK RECONCILEMENT

 

CASE NAME:

Life Partners, Inc.

 

CASE NUMBER:

15-40289 (Jointly Administered)

 

Receipts and Disbursements of Life Partners Position Holder Trust

For Informational Purposes Only

 

The Life Partners Position Holder Trust is providing this reporting for informational purposes only. Funds received and disbursed are primarily trust funds outside of the former bankruptcy estate.

 

QUARTER ENDING: March 31, 2017

 

				Account #1				Account #2				Account #3				Account #4				Account #5
A.		Bank		Bank of Texas				Bank of Texas				Bank of Texas				Bank of Texas				Bank of Texas
B.		Account Number		6025				6091*				6498				9012*				9020*
C.		Purpose (Type)		Checking				Checking				Checking				Escrow				Escrow
		BANK RECONCILIATION
1		Balance Per Bank Statement		$	5,059,002.15			$	20,425,897.91			$	22,120,575.64			$	18,487,156.47			$	19,120,093.47
2		Add: Total Deposits Not Credited
3		Subtract: Outstanding Checks		$	1,750.87			$	10,148,900.49
4		Other Reconciling Items
5		Month End Balance Per Books		$	5,057,251.28			$	10,276,997.42			$	22,120,575.64			$	18,487,156.47			$	19,120,093.47
6		Number of Last Check Written			1079				3434				n/a				n/a				n/a
7		Cash: Currency on Hand
8		Total Cash - End Of Month

 

				Account #6				Account #7				Account #8				Account #9				Account #10
A.		Bank		Bank of Texas				Bank of Texas				Bank of Texas				Bank of Texas								TOTAL
B.		Account Number		9038*				6036*				6135				6080
C.		Purpose (Type)		Escrow				Checking				Checking				Checking
		BANK RECONCILIATION
1		Balance Per Bank Statement		$	14,663,795.68			$	26,564,803.47			$	432,657.73			$	4,721,596.65								$131,595,579.17
2		Add: Total Deposits Not Credited																						+	$0.00
3		Subtract: Outstanding Checks														$	108,371.38								$10,259,022.74
4		Other Reconciling Items														$	138.50								$138.50
5		Month End Balance Per Books		$	14,663,795.68			$	26,564,803.47			$	432,657.73			$	4,613,363.77			$	0.00			=	$121,336,694.93
6		Number of Last Check Written			n/a				n/a				n/a				2529
7		Cash: Currency on Hand																						+	$294.43
8		Total Cash - End Of Month																						=	$121,336,989.36

 

CASH IN:

INVESTMENT ACCOUNTS

 

Date of

Type of

Bank, Account Name & Number

Purchase

Instrument

Value

9

+

10

+

12

+

13

Total Cash Investments

=

$0.00

14

TOTAL CASH

LINE 8 - PLUS LINE 13 = LINE 14 ****

$121,336,989.36

****

 

**** Must tie to Line 4, Quarterly Operating Report

 

* Accounts with restricted funds have been identified by placing an asterisk by the account number. These accounts are controlled by a third party and are not in the custody of the Position Holder Trust.

 

 

SUPPLEMENT-3 TO POST CONFIRMATION

QUARTERLY OPERATING REPORT & BANK RECONCILEMENT

 

CASE NAME:

Life Partners, Inc.

 

CASE NUMBER:

15-40289 (Jointly Administered)

 

Receipts and Disbursements of Life Partners Creditors' Trust

For Informational Purposes Only

 

The Life Partners Creditors' Trust is providing this reporting for informational purposes only. Funds received are primarily funding transfers from the former bankruptcy estate.

 

		QUARTER ENDING:  March 31, 2017				Period Ending December 31, 2016		Quarter Ending March 31, 2017
1		BEGINNING OF QUARTER CASH BALANCE:				$0.00		$1,842,330.00
		CASH RECEIPTS:
		CASH RECEIPTS DURING CURRENT QUARTER:
		(a). Cash receipts from business operations		+
		(b). Cash receipts from loan proceeds		+
		(c). Cash receipts from contributed capital		+		$2,000,000.00		$5,000,000.00	1
		(d). Cash receipts from tax refunds:		+
		(e). Cash receipts from other sources:
		Settlement Proceeds		+				$208,918.98
		Other		+				$500.00
2		TOTAL CASH RECEIPTS		=		$2,000,000.00		$5,209,418.98
		CASH DISBURSEMENTS:
		(A). PAYMENTS MADE UNDER THE PLAN:
		(1). Administrative:
		Plan Administration Professionals		+
		(2). Secured Creditors		+		$0.00		$0.00
		(3). Priority Creditors:		+
		(4). Unsecured Creditors		+		$0.00		$0.00
		(5). Additional Plan Payments:		+
		(B). OTHER PAYMENTS MADE THIS QUARTER:
		(1). General Business		+
		(2). Other Disbursements
		Professional Fees Expenses		+				$1,760,884.06
		Trustee & Board Fees & Expenses		+		$2,000.00		$111,981.20
		Bond & Liability Insurance		+		$155,670.00
3		TOTAL DISBURSEMENTS THIS QUARTER		=		$157,670.00		$1,872,865.26
4		CASH BALANCE END OF QUARTER		=		$1,842,330.00		$5,178,883.72	2

 

1

Funding from Position Holder Trust shown on Supplement-1 to Post Confirmation Quarterly Operating Report & Bank Reconcilement under (A)(5) Additional Plan Payments.

2

Cash on the books of Life Partners Creditors' Trust at the end of the month.

 

  

SUPPLEMENT-4 TO POST CONFIRMATION

QUARTERLY OPERATING REPORT & BANK RECONCILEMENT

 

CASE NAME:

Life Partners, Inc.

 

CASE NUMBER:

15-40289 (Jointly Administered)

 

Receipts and Disbursements of Life Partners Creditors' Trust

For Informational Purposes Only

 

The Life Partners Creditors' Trust is providing this reporting for informational purposes only. Funds received are primarily funding transfers from the former bankruptcy estate.

 

QUARTER ENDING: March 31, 2017

 

				Account #1				Account #2				Account #3				Account #4				Account #5
A.		Bank		Rabobank N.A.																				TOTAL
B.		Account Number		0166
C.		Purpose (Type)		Checking
		BANK RECONCILIATION
1		Balance Per Bank Statement		$	5,223,845.72																				$5,223,845.72
2		Add: Total Deposits Not Credited																						+	$0.00
3		Subtract: Outstanding Checks		$	44,962.00																				$44,962.00
4		Other Reconciling Items																							$0.00
5		Month End Balance Per Books		$	5,178,883.72			$	0.00			$	0.00			$	0.00			$	0.00			=	$5,178,883.72
6		Number of Last Check Written			113
7		Cash: Currency on Hand																						+
8		Total Cash - End Of Month																						=	$5,178,883.72

 

CASH IN:

INVESTMENT ACCOUNTS

 

Date of

Type of

Bank, Account Name & Number

Purchase

Instrument

Value

9

+

10

+

11

+

12

+

13

Total Cash Investments

=

$0.00

14

TOTAL CASH

LINE 8 - PLUS LINE 13 = LINE 14 ****

$5,178,883.72

****

 

**** Must tie to Line 4, Quarterly Operating Report