Delaware Life Insurance Company relabeled $16.4 billion of investments as tied to connected companies, and federal prosecutors and the Securities and Exchange Commission are examining how those private credit holdings were classified. The capital came from annuities and life policies sold to ordinary savers. Delaware Life and Clear Spring Life and Annuity received grand jury subpoenas in February from the U.S. Attorney’s Office in Manhattan, after which Delaware Life restated related-party investments from about $1.3 billion to about $18 billion. Across both insurers, related-party holdings totaled roughly $25.1 billion, or 43% of assets, aligning with earlier revisions that lifted affiliated invested assets from 3% to 42%. Truist Financial Corp. and Fifth Third Bancorp have paused distributing Delaware Life products amid scrutiny of insurers linked to billionaire Mark Walter. Almost all of $5.2 billion in short-term loans made last year went to affiliates, and A.M. Best, S&P and Fitch rate Delaware Life A-minus with negative outlooks or watches. TWG Global plans to reduce most affiliated investments by the end of 2026, while Mubadala’s planned $10 billion investment remains incomplete. A survey found 77% of U.S. adults call crypto risky inside workplace retirement plans as private equity ownership of insurers has expanded.