Following up on our previous blog post, broker dealers that sold UDF non-traded REITs to investors include, but are not limited to, IMS Securities Inc., Berthel Fisher & Co. Financial Services Inc., Centaurus Financial Inc., and VSR Financial Services, Inc.
These firms have a history of regulatory violations and customer complaints:
- The Financial Industry Regulatory Authority (“FINRA”) has fined and/or reprimanded IMS Securities Inc. twice for failure to supervise and once for allowing a registered representative to sell securities in Texas without being licensed in Texas.
- In 2014, FINRA fined Berthel Fisher and Affiliate, Securities Management & Research, $775,000 for supervisory failures related to sales of non-traded REITs and leveraged and inverse ETFs.
- Centaurus Financial Inc. has been sanctioned by regulators for supervisory failures and other violations on multiple occasions. Centaurus Financial Inc. has been a named respondent in at least seven (7) FINRA arbitrations which awarded a combined total of over $2.9 million in favor of investor claimants.
- VSR Financial Services, Inc. has also been sanctioned by regulators for supervisory failures and other violations on multiple occasions. VSR Financial Services, Inc. has been a named respondent in at least six (6) FINRA arbitrations which awarded a combined total of at least $676,964 in favor of investor claimants.
Shares of United Development Funding IV are down over 81% in the last 12 months. Our attorneys have represented investors in securities arbitrations for over 25 years. If you have suffered losses in any United Development Funding REIT, we would like to speak with you. We will assess your case and make a recommendation at no charge. Our cases are typically handled on a contingent fee basis, in which the attorneys’ fee is an amount equal to one-third of the amount recovered.