United Development Funding IV fka UDFI

[actofwill]

It did not disappoint!

I think the Edelman discovery contains at least 2 smoking guns.

It's interesting to see the Edelman emails, because, remember, Bass urged all Hayman employees at some point to switch to Signal. However, they were having calls with Edelman who then internalised those calls via emails amongst themselves.

What is the smoking gun no.1 here IMHO is that on the 16th of February 2016 Edelman and hence Hayman/Bass knew about the FBI raid. As Bass asked Edelman to prepare a scenario if the FBI would conduct a raid.

That is arguably inside information which governments can't spill to anyone outside government. If Bass has traded on that info then that is very likely to be insider trading.

Excerpt of internal Edelman email on the 16th2016:

"Hi guys -
We've been asked to scenario plan for an FBI/SEC raid. Pls keep this to yourself for now,..."
http://www.udfonline.com/wp-content/uploads/2021/06/Edelman009274.001-Ex.-LL-Edelman-is-asked-to-scenario-plan-for-an-FBI-SEC-raid-and-prepares-media-blitz-two-days-before-it-happened-2.16.2016.pdf

My conjecture is that Bass wanted to switch to Signal once he was getting close to the FBI/SEC and got wind of a potential raid so he could plausibly deny knowing it and hence perhaps trade on the information?

The other point of note is (2) that sending the "open" letter to all auditors to deter them to work for UDF was made an open letter on the actual ADVICE of the US Attorney (!), because otherwise (if addressed directly) it would have been at danger of being "tortuous interference". The interplay here between government and a profit driven hedge fund with a short on is jaw dropping. Apart from the malicious intention on Bass'/Parker's side being completely laid bare.

http://www.udfonline.com/wp-content/uploads/2021/06/Edelman011910001-Ex.-JJJ-Edelman-discusses-Haymans-strategy-to-post-an-open-letter-geared-towards-an-auditor-audience-if-UDF-hires-auditor-6.8.2016.pdf

There are many more bits that will not go so well for Bass in front of a jury.