On July 16, 2019, U.S. Federal District Judge Sam Lindsay ordered the creation of a Fair Fund to compensate investors in UDF who lost money due to UDF management’s illegal and unethical conduct as charged by the Securities and Exchange Commission on July 3, 2018

June 10, 2019 (Must Read): US Federal Judge Barbara Lynn Denies UDF Management’s Motion to Dismiss

Posted July 19, 2019

"Defendants also argue that LOF’s Offering Memorandum discloses that LOF 'expect[s] to make Investments with affiliates of [UMTH].' (ECF No. 32 at 20). Although the Offering Memorandum and the Partnership Agreement discuss that conflicts of interest may arise between LOF and its affiliates, neither document waives or exculpates Defendants from bad faith."

"Further, Plaintiff’s Complaint sufficiently pleads that the UDF Entity Defendants knowingly participated in the alleged breach. (See ECF No. 1 ¶¶ 39, 52) (alleging that Defendants caused LOF to enter into the loan participation agreement with UDF III while 'knowing that UDF III’s financial condition was precarious, that it could not pay distributions to its investors and that UDF III would not be able to fully repay any loan from LOF . . . .')"

ALERT: U.S. Federal Judge Sam Lindsay orders the creation of a Fair Fund for investors in UDF

Posted July 17, 2019

On July 16, 2019, the U.S. Federal District Judge Sam Lindsay ordered the creation of a Fair Fund to compensate investors in UDF who lost money because of UDF management’s illegal and unethical activities as charged by the Securities and Exchange Commission on July 3, 2018.  

ALERT: UDF “used Land Opportunity Fund as a pawn in the Ponzi scheme”

Posted July 16, 2019

"To do so, UDF used funds from UDF IV, V, and LOF to (1) either 'purchase' portions of non-performing loans from UDF III, which loans defaulted shortly after the purchase, or (2) to make 'loans' to entities that had already borrowed money from UDF III but had trouble paying it back, and have those entities in turn repay the earlier loans to UDF III."  

View More News