United Development Funding IV — Ponzi Scheme Allegations

investors rights attorneysUnited Development Funding, Grapevine-based Real Estate Investment Firm, Raided by FBI, Accused of Running $1-Billion “Ponzi-like scheme”

FBI Agents were recently seen carrying boxes of evidence out of the Texas offices of Grapevine-based real estate investment firm United Development Funding (UDF), following allegations against the company by Dallas hedge fund manager Kyle Bass currently under review by attorneys Joe Peiffer and Alan Rosca.

Kyle Bass alleges that UDF, which finances homebuilding projects through four public entities, allegedly operated a $1-billion “Ponzi-like scheme”.

The The Peiffer Rosca Wolf securities lawyers are currently investigating UDF, have been retained to prosecute claims on behalf of investors, are preparing to take action and would like to talk to investors who invested in UDF programs before or after June, 2014.

UDF IV Share Prices Have Plummeted Over 80% Following FBI Raid

UDF IV, which trades under ticker symbol UDF, saw its share prices plummet following and FBI raid.

UDF dropped from $17.51 per share at the start of December, but finished the year at $11, and has since further tumbled another 55 percent, bringing share value to just above $3, according to FBI reports presently being reviewed by attorneys Alan Rosca and Joe Peiffer.

Finally, FBI spokeswoman Allison Mahan confirmed the raid saying, “The FBI is lawfully present and conducting law enforcement activity,” at UDF’s corporate office in Grapevine.

Securities Lawyers Investigating

The Peiffer Rosca Wolf securities lawyers often represent investors who lose money as a result of alleged Ponzi schemese and are currently investigating United Development Funding alleged scheme. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.

The The Peiffer Rosca Wolf securities lawyers are currently investigating UDF, have been retained to prosecute claims on behalf of investors, and are preparing to take action and would like to talk to investors who purchased UDF shares. Investors who believe they lost money as a result of UDF’s alleged Ponzi scheme may contact the securities lawyers at Peiffer Rosca Wolf, Alan Rosca or Joe Peiffer, for a free no-obligation evaluation of their recovery options, at 888-998-0520.

Alan Rosca (1169 Posts)

Alan is a securities lawyer. He also teaches Securities Regulation at the Cleveland-Marshall College of Law. He focuses his legal practice on complex commercial and financial litigation and arbitration, particularly in the areas of securities and investment fraud. His office is in Cleveland, Ohio.


In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow cases about which we report, and/or to publish subsequent blogs regarding various developments that may occur in such cases. Readers are encouraged to conduct their own research regarding any such cases and any developments that may or may not have occurred in such cases.