The Peiffer Wolf law firm’s securities practice attorneys, Jason kane and Joe Peiffer, are investigating Texas-based firm United Development Fund (“UDF”) and preparing to take action on behalf of investors in some of the UDF programs – United Development IV, United Development V, United Development III, United Development II, United Development I, and other UDF programs – after it was revealed that the auditor of some of the UDF programs declined to stand for reappointment.
UDF has also admitted that it has been being investigated by the United States Securities and Exchange Commission (“SEC”).
Auditors are subject to certain professional standards regarding the companies that they audit, and may decline to stand for reappointment if they uncover irregularities in a company’s books, among other reasons. Failing to stand for reappointment can be a significant business move for an auditing firm and often results in closer scrutiny of the audited company’s business activities. Neither UDF’s auditor not UDF indicated the declination to stand for reappointment was related to any irregularities. However, United Development Fund’s auditor declining to be reappointed came just as other serious questions have been raised about the company by a hedge fund manager and other investors.
Last week, the Federal Bureau of Investigation searched the company’s offices and a number of securities lawsuits have been filed against the company.
The Peiffer Wolf securities attorneys are already working with investors to recover losses suffered as a result of their investments in United Development Fund programs. They take most cases of this type on a contingency-fee basis and typically advance case costs and only get paid from funds recovered on behalf of investors.
Investors who believe they have lost money in United Development Fund may contact attorneys Jason kane, Joe Peiffer, or James Booker for a free, no-obligation evaluation of their legal options or to ask more questions about the investigation, by email at firstname.lastname@example.org, or toll-free at 585-310-5140.