A former executive of a group of collapsed insurers agreed to plead guilty to federal conspiracy and fraud charges, and forfeit his rights to more than $20 million in a seized bank

A former executive of a group of collapsed insurers agreed to plead guilty to federal conspiracy and fraud charges, and forfeit his rights to more than $20 million in a seized bank account.

Andrew B. Scherr, who agreed to plead guilty in U.S. District Court in Dallas to two criminal counts stemming from the insurers’ collapse, is a former associate of a young financier named Alexander Chatfield Burns.

Mr....