Real Estate Investment Fraud

Moody National REIT II Announces Postponement of Valuation of Shares

Published on: November 11, 2021 | by Shepherd Smith Edwards & Kantas, LLP

More Bad News for The Non-Traded REIT’s Investors

Publicly registered non-traded real estate investment trust, Moody National REIT II, announced in August 2021 that its Board had made the decision to postpone the valuation of its shares. Considering that the non-traded REIT has not updated its net asset value (NAV) since December 2019, this announcement is cause for further concern for investors.

Our securities fraud attorneys have been speaking to investors of this non-traded REIT who have suffered significant losses, most of whom likely paid $25/share. Contact Shepherd Smith Edwards and Kantas (SSEK Law Firm at investorlawyers.com) today at (800) 259-9010 so that we can help you explore your legal options.

Cetera Advisors Broker Jeffrey Meyers Accused of Making Unsuitable REIT Investment Recommendations

Published on: November 10, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Hospitality Investors Trust Was One of the REITs Marketed

Cetera Advisors Network broker Jeffrey Gerard Meyers, an Overland Park, Kansas financial advisor, is named in two pending customer disputes.

The claimants are accusing him of making unsuitable investment recommendations involving non-liquid real estate investment trusts (REIT). One of the products was Hospitality Investors Trust (HIT REIT), which declared bankruptcy after the COVID-19 pandemic began.

SEC Investigates Ex-MVP American Securities Broker Mike Shustek Over REIT Investors’ Losses

Published on: September 7, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Ex-Broker Mike Shustek is Accused of Fraudulently Enriching Himself and the Company

Michael Vincent Shustek, an ex-MVP American Securities stockbroker and the CEO of a number of real estate investment trusts (REITs) is facing SEC charges. The ex-broker is being accused of enriching himself and The Parking REIT since 2012.

He purportedly did this by causing financial harm to Vestin Realty Mortgage I and Vestin Realty Mortgage II, two of the real estate investment trusts that he founded. The Commission contends that Shustek took $29M from the two Vestin REITs to become involved in a number of “money-losing transactions” that involved reselling the same several buildings repeatedly.

Florida Retiree Files $500K REIT Arbitration Case Against Securities America

Published on: July 28, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Broker Alan Douglass Unsuitably Overconcentrated Investor’s Funds in Non-Publicly Traded Products

An investor based in Lutz, Florida has filed a Financial Industry Regulatory Authority (FINRA) arbitration claim against Securities America. This investor suffered losses in real estate investment trusts (REITs) and other non-publicly traded investments. The claimant, who is a retiree, suffered up to $500K in investment losses, which he is seeking in damages.

Securities America broker, Alan Duane Douglass, was this claimant’s financial advisor. He not only unsuitably recommended private placements and real estate investment trusts (REITs) to this customer but also, overconcentrated the customer’s portfolio with these risky investments.

Brokers May Have Unsuitably Recommended Lodging Fund REIT III

Published on: May 7, 2021 | by Shepherd Smith Edwards & Kantas, LLP

SEC Looks at Reimbursements Made to Legendary Capital REIT III

If your financial advisor recommended that you invest in Lodging Fund REIT III and you suffered losses, you may have grounds for a broker fraud claim to recover damages.

The publicly registered non-traded real estate investment trust (REIT) disclosed in a recent filing with the US Securities and Exchange Commission (SEC) that since December 2020 the latter has been looking into certain reimbursements made to Legendary Capital REIT III, LLC, as well as at disclosures involving reimbursement procedures and policies.

Utah Retirees Files $500K Investor Fraud Claim Over GPB & REIT Losses After Working With Triad Advisors & Broker Michael Payne

Published on: January 11, 2021 | by Shepherd Smith Edwards & Kantas, LLP

Triad Advisors and its Ex-Florida-Based Broker Placed Claimants Funds In Too Risky GPB Capital & REIT Investments

Two Utah retirees have filed a Financial Industry Regulatory Authority (FINRA) arbitration claim against Triad Advisors, Inc. over losses they suffered from investing in GPB private placements and privately traded real estate investment trusts (REITs), including American Realty Capital Trust. Now they are seeking up to $500K in damages.

The couple worked with former Triad Advisors broker Michael Payne, who is now a broker with Proequities, Inc. in Longwood, Florida. He also is a financial representative with Payne Financial Group in Winter Springs, Florida.

Brokers May Have Unsuitably Recommended ARC NYC REIT To Retail Investors

Published on: December 2, 2020 | by Shepherd Smith Edwards & Kantas, LLP

After American Realty Capital New York City Real Estate Investment Trust Went Public, Share Price Plunged

If you are a retail investor whose broker recommended that you invest in American Realty Capital (ARC) New York City Real Estate Investment Trust (REIT), you may have grounds for an unsuitable investment recommendation claim.

ARC NYC REIT is a risky, speculative investment and definitely shouldn’t have been marketed to inexperienced investors, conservative investors, seniors, or retirees. Although initially a non-traded real estate investment trust (non-traded REIT), and also an illiquid investment, ARC NYC REIT went public on the New York Stock Exchange (NYSE) in August.

Not All Resource Real Estate Opportunity REIT Investors May Have Been Apprised of Risks

Published on: November 19, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Resource Real Estate Opportunity REIT and REIT II Shares Reportedly Trading Under NAV Price

With shares in Resource Real Estate Opportunity REIT and Resource Real Estate Opportunity REIT II reportedly trading privately at lower prices than their net asset value (NAV), some investors may be wondering why they were never fully apprised of all the risks.

The news of the lower than NAV trading prices comes several months after both non-traded real estate investment trusts announced they were partially suspending share redemptions amidst their plans to merge with Resource Apartment REIT III, Inc.

Another Customer Files REIT Losses Claim Against Frank Briseno III of FSC Securities and Nettworth Financial

Published on: October 26, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Metairie, LA Broker Allegedly Made Unsuitable Recommendations to Retirees

If you suffered serious investment losses from working with FSC Securities Corp. stockbroker and Nettworth Financial investment advisor, Frank Briseno III, you may have grounds for a Financial Industry Regulatory Authority (FINRA) arbitration claim to recover your losses.

Briseno, who is a Metairie, Louisiana broker, also co-ran Nettworth Financial Group with another FSC Securities broker. The New Orleans investment advisory firm, which may no longer be in operation, has been accused by more than two dozen retirees of unsuitably selling them real estate investment trusts (REITs) while generating high commissions.

Investors Have Lost Money in RW Holdings NNN Real Estate Investment Trust

Published on: October 19, 2020 | by Shepherd Smith Edwards & Kantas, LLP

Unsuitable Investment Recommendation May Be a Factor in Brokerage Firm Customers’ Losses

Investors in RW Holdings NNN REIT, Inc., a non-traded real estate investment trust formerly called the Rich Uncles NNN REIT, have suffered significant losses this year.

Not only did RW Holdings NNN REIT announce in May 2020 that it was suspending its offering and plans to revise its net asset value (NAV)/share, but also, any NAV and distribution rate would likely be lower in the wake of the impact that COVID-19 is having on the markets. The company pointed to its inability to collect 100% of all contractual rents because of the pandemic as a reason for re-evaluating its distribution rate.