United Development Funding IV fka UDFI

[actofwill]

I think they pocketed fees as per their management agreements. Conflicts of interest as per usual for any BDC/REIT? The reason they should generally go for a 20-30% discount to NAV. Here the discount was arguably bigger and hence interesting as a buy. Yes tough going if no accounts are being published, but you can't blame management for that IMO.

In terms of cash being paid from the company to the SEC for settlement. It would not surprise me this was part of some insurance coverage, indemnity coverage is typically held in name of management at the company not at the individual names. I know this is the case in Europe, please shout if the US is different?