NEW YORK, Dec. 23, 2015 (GLOBE NEWSWIRE) -- Wolf Haldenstein Adler Freeman & Herz LLP announces that a class action lawsuit has commenced in the United States District Court for the Northern District of Texas on behalf of purchasers of United Development Funding IV ("UDF IV" or the “Company”) (NASDAQ: UDF ) common stock during the period between June 4, 2014 and December 10, 2015, inclusive (the "Class Period").
Shareholders who incurred losses on shares purchased within the Class Period are urged to contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774.
If you purchased shares of United Development Funding IV, you may, no later than February 19, 2016, request that the Court appoint you lead plaintiff of the proposed class.
The filed complaint alleges that UDF IV and certain of its executive officers made a series of false and misleading statements during the Class Period, and failed to disclose material adverse facts about the Company's business, operations, and prospects.
On December 10, 2015 a report was published on the Harvest Exchange alleging that the Company was operating a Ponzi-like real estate scheme. UDF entities would raise capital to bail out prior offerings that were not generating sufficient cash flow to support their respective distributions. In addition, the Company itself disclosed on the same day that UDF III and UDF IV had been cooperating since April 2014 with a nonpublic fact-finding investigation being conducted by the Securities and Exchange Commission.
On this news, shares of UDF IV fell $6.05 per share, or more than 35%, to close on December 10, 2015 at $11.15 per share, on heavy trading volume. The stock further declined on December 11, 2015, to close at $8.55 per share
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein Adler Freeman & Herz LLP by telephone at (800) 575-0735, via e-mail at classmember@whafh.com , or visit our website at www.whafh.com . All e-mail correspondence should make reference to the “UDF IV Investigation.”
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Contact: Wolf Haldenstein Adler Freeman & Herz LLP Patrick Donovan, Esq. Gregory Stone, Director of Case and Financial Analysis Email: gstone@whafh.com, donovan@whafh.com or classmember@whafh.com Tel: (800) 575-0735 or (212) 545-4774
