CLEVELAND, March 8, 2016 /PRNewswire/ -- United Development Funding IV investors represented by the Peiffer Rosca Wolf securities attorneys filed claims today seeking compensation in connection with their investment in UDF IV. This is the first of several cases that are being prepared by the Peiffer Rosca Wolf securities lawyers on behalf of UDF investors. The Peiffer Rosca Wolf lawyers are continuing to work with other United Development Funding investors and are working to bring additional actions on their behalf.
UDF Investors Represented by the Peiffer Rosca Wolf Lawyers Pursuing Claims Against Broker-Dealer Firms Who Sold UDF Products
The Peiffer Rosca Wolf securities attorneys are preparing claims in FINRA arbitration, individually or as group cases, against a number of the broker-dealer firms that improperly sold to their customers United Development Funding-sponsored investments.
"Brokerage firms have a duty to conduct adequate due diligence on new investment products before recommending such investments to their customers," said attorney Alan Rosca, who is overseeing the Peiffer Rosca Wolf investigation and cases on behalf of UDF investors. "With each investment recommendation, an investment professional makes an implicit representation to his or her customer that he or she has an adequate basis, based on appropriate due diligence and suitability evaluation, to recommend that investment," said attorney Rosca.
Investors who purchased UDF investments in reliance upon the recommendation of a broker-dealer firm may be eligible to pursue claims in arbitration against the firm and seek compensation for any losses they suffered as a result of those investments, according to the Peiffer Rosca Wolf investor right lawyers.
UDF Faces Increased Scrutiny After FBI Raid and Grand Jury Subpoenas
On February 18, 2016, the FBI raided United Development Funding IV's office in Grapevine, Texas and seized documents and computers pursuant to a warrant signed by a federal judge. United Development Funding IV also disclosed that it received a grand jury subpoena.
On the same day, share prices of UDF IV fell to $3.20 before trading was suspended. This follows after the Securities and Exchange Commission began its investigation into United Development Fund IV in 2014 and after famed hedge fund manager Kyle Bass alleged that UDF was using new investor money to pay existing investors, therefore perpetuating a Ponzi-like scheme. UDF denied any wrongdoing.
UDF Investors' Options
If you invested in a United Development Funding program, either before or after June, 2014, and wish to obtain additional information about our investigation and cases we are preparing, or would like to discuss this matter or your rights, please visit www.udfinvestigation.com and complete the contact form, or contact Alan Rosca, James Booker, or Colin Ray toll free at 888-998-0520 or by email at email@example.com.
The Peiffer Rosca Wolf Abdullah Carr & Kane law firm ("Peiffer Rosca Wolf") represents individual and institutional investors who have suffered financial losses as a result of investment fraud or misconduct, Ponzi schemes, unsuitable investment recommendations, or abusive practices in the financial industry.
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