- United Development Funding III, United Development Funding IV (OTCPK:UDFI) and certain individuals agree to a consent order that enjoins the companies from future violations of certain provisions of the federal securities laws.
- The Individuals under the consent order are also subject to disgorgement and monetary fines, though the companies' statement doesn't say how much they're required to pay.
- The companies and the individuals neither admit nor deny the allegations of the complaint and none of UDF's executives will be limited from continuing to manage the companies' business.
- UDF now intends to pursue its litigation against Kyle Bass and Hayman Capital.
- The SEC had been conducting an investigation of the companies since April 2014 and SEC staff had issued "Wells Notices" in Sept. 2016.
- Source: Press Release
- Previously: UDFI +3% after lawsuit against Kyle Bass, Hayman Capital allowed to proceed (June 12)
- Now read: Affinion Group to sell insurance division to Mill Point Capital
Original article