Investigating potential claims involving United Development Funding IV (UDF IV)
Did you suffer losses investing in United Development Funding IV (UDF IV) at the advice of your financial advisor? If so, the attorneys at The White Law Group may be able to help you recover your losses by filing a FINRA arbitration claim against the brokerage firm that sold you the investment.
United Development Funding IV operates as a real estate investment trust (REIT) in the United States. It focuses on originating, purchasing, participating, and holding investment secured loans for the acquisition and development of parcels of real property as single-family residential lots; and the construction of model and new single-family homes, including development of mixed-use master planned residential communities.
There has been a lot of controversy about the REIT in the last few years. The SEC launched an investigation into United Development Funding IV in 2014 after a hedge fund manager accused the REIT of a Ponzi-like scheme.
In February of 2016, United Development Funding IV disclosed that it received a grand jury subpoena. The FBI seized documents and computers in a raid of the UDF IV offices in Grapevine, Texas.
UDF IV’s stock was also suspended at that time and no assurance can be given regarding the resumption of regular trading.
On May 17, 2017, the Nasdaq Stock Market LLC (Nasdaq) announced that it would delist the common shares of United Development Funding IV (Trust).
Latest News from United Development Funding IV
On Tuesday, the REIT announced that they will be unable to file their next 10-Q by the deadline required by the SEC.
UDF IV has not filed quarterly or annual reports dating back to the fourth quarter of 2015. UDF IV notes that it has been working with its independent accountants, EisnerAmper LLP, since June 2016, to produce quarterly and annual reports for periods since the quarter ended December 31, 2015.
The White Law Group has handled dozens of FINRA arbitration claims against brokerage firms involving improper sale of UDF investments, including UDF III and UDF IV.
Brokers have a fiduciary duty to perform due diligence on any investment. They must ensure that investment recommendations are consistent with their client’s age, net worth, risk tolerance, investment experience and objectives, risk tolerance. If a broker overlooks suitability requirements, investors may have an actionable claim to recover their losses in a product in a claim through FINRA dispute resolution.
For a free consultation with a securities attorney, please call The White Law Group at 1-888-637-5510.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Vero Beach, Florida.
For more information on The White Law Group, please visit our website at www.WhiteSecuritiesLaw.com.