U.S. — US federal investigators are probing Mark Walter over allegations involving concealed financial connections in loans issued by insurers under his control. The investigation centers on whether fraud occurred during the borrowing of billions from these insurance entities.

Federal prosecutors and the Securities and Exchange Commission are investigating whether Mark Walter or the businesses he controls committed fraud by concealing financial connections while borrowing billions from the insurers. This probe examines the flow of capital within Walter's broader business operations and the transparency of those transactions.

The investigation is focused on four entities that acted as intermediaries for loans issued by insurance companies controlled by Mark Walter to other companies within his business empire. These intermediaries facilitated the movement of funds between the insured entities and other parts of Walter's corporate structure.

The four entities under investigation are Miami-based ABS Capital, investment firm Amistad Financial, commercial real estate broker Bradford Allen, and Hudson Trading. Each of these firms played a role in the loan structures now being scrutinized by federal authorities.

Mark Walter is the chief executive of Guggenheim Partners. The firm is a privately held global financial services firm with more than $345 billion in assets under management, according to reports.