The Peiffer Wolf securities attorneys, Jason kane and Joe Peiffer, are investigating transfers of funds between certain programs in the United Development Fund (“UDF”) family of funds. UDF is a Texas-based Real Estate Investment Trust (“REIT”) that was publicly traded until trading was halted this week, following an FBI search of their office. REITs are often comprised of different programs, and transfers of investor funds between programs may or may not be proper.
According to Kyle Bass, a hedge fund manager in Texas, United Development Fund improperly transferred money from one UDF program to another. According to Bass, this resulted in UDF behaving like a Ponzi scheme, in which money from new investors is transferred to pay older investors. UDF has not been charged in court or been proven to have engaged in any wrongdoing and has denied the charges.
The securities attorneys at Peiffer Wolf were investigating UDF prior to this week’s halt in trading and have already been retained by investors to pursue claims in connection with UDF’s activities. The firm often handles cases involving REITs that improperly transfer money between funds and engage in Ponzi-scheme behavior.
The Peiffer Wolf lawyers have together represented thousands of investors in cases from class actions to FINRA arbitrations, tailored to meet the investors’ needs. They take most cases of this type on a contingency-fee basis and advance court costs and fees, and only get paid for their fees and costs from funds they recover on behalf of investors.
Investors in United Development Fund who believe they have lost money and would like to learn more about their legal options may contact the Peiffer Wolf securities practice attorneys Jason kane, Joe Peiffer, or James Booker, toll-free at 216-589-9280 or by email at firstname.lastname@example.org.