I try to look at this objectively.
1). UDF doctored a loan spreadsheet before giving it to an auditor.
2). UDF was using IV funds to pay distributions to III. Often times making “loans” from IV to repay loans from III without the borrower knowing about it.
3). UDF’s prior auditor was fined and the audit partners suspended.
4). UDF settled with the SEC and allegedly used company money to pay the executives’ fines.
5). UDF has had no audit in 6 years despite saying multiple times that ‘“the audit is underway.”
6). UDF execs were indicted by the feds.
7). UDF’s stock was delisted.
8). UDF changed it’s bylaws to entrench management.
9). UDF hasn’t held an annual meeting in 7 years. Shareholders have had no say in how the company has been run during this shitshow.
10). UDF management continues to collect its fees, while owning pitiful amounts of stock.
11). UDF management continues to claim that it’s 100% innocent despite all of the above.
12). UDF is spending millions on legal fees. Is this because they have a good chance at winning or because the executives are looking for someone to blame.
13). Shareholders went 5 years with ZERO information, while watching the stock go to $1.50 before it was eventually delisted. Sure, bv may be $13 but what good does that do to a retiree that sold his shares at $3 because he had no way of knowing if bv was $15 or $0.
I’m sorry, but I don’t think you can blame all of this on Bass. Sure, he got the ball rolling and maybe he made a mountain (ponzi scheme!) out of a molehill, but c’mon, his posts were 6 f’in years ago. How anyone can defend the UDF execs is beyond me.
AI
