United Development Funding IV fka UDFI

[56Chevy]

Its hard to resist predicting what the pps should, or could, be in light of the outcome on this recent class action lawsuit (cal).

The real win here is what the cal didn't reveal...that being anything close to resembling a "smoking gun" of wrong-doing or criminal intent to defaud as Bass & Co told the world was going on.

When you throw around words with accusations of UDF being a billion dollar "ponzi scheme" it naturally scared the crap out of the investors and the bankers alike. You leave and ask questions later because it immediately conjers up a long list of infamous dealings by the likes of a Tom Petters or Bernie Madoff or Allen Stafford...just to name a few.

Does UDF merit being counted among their ranks?? According to Bass & Co the answer is apparently yes. But if this cal [outcome] is any indication the answer is apparently not. Was there damning evidence the cal lawyers werent aware of only Hayman Capital is privy to? I guess we'll find out.

The thing is the SEC and FBI has had over 2 years to perform a prostrate exam on UDF..think about that for a minute and imagine the hardship that had to be to do business for the next few YEARS with your computers and files all seized..r u kidding me! Your clients, shareholders and business associates assuming the worst with most of them abandoning the ship. Was UDF sloppy or negligent...yes, no question...and adjustments will be made. They have got to do better. But the main thing is nothing close to criminal To date that I'm aware of has been found or hinted at after all this time. If someone has news to the contrary please share.

But what I want to know is would Hayman Capital survive the same 2 year federal prostrate exam UDF had to endure??..complete with a very public and splashy FBI raid of the Hayman offices ...spread all over the Dallas area tv breaking 5 o'clock news?? Could Hayman endure all that and not suffer a mass exodus of clients and business associates... and 24 months later walk away with nothing more than what amounts to some minor speeding and jay walking violations?? I wonder. Im not sure any business or individual could come away perfectly "clean". After all if you're the FBI and you go in with the proverbial guns blazing and you do a raid you better find something!! ..or look damn foolish in the process. If they go in like that youre gonna be found " guilty" of something ..no matter what! Just sayin'

The real damage here was the inuendo of wrong-doing. It worked to perfection! Sixty million dollars worth of perfection! Shorts and longs have a right to their thoughts on a company ...there isnt anybody on Wall St who doesnt formulate opinions (good or bad) about a company and its management. I do.. we all do.

The question is what constitutes a punch well below the belt??

Now what the court has to decide is - was that punch planned, choreographed and knowingly intentional?

I'll accept what the court reveals and decides. I personally hate this kind of stuff. I like fights to be fair...and maybe it was...we'll see.

Marker:
United Development F (UDFI)
$3.32 up 0.32 (10.67%)
Volume: 16,723