Tr?id=566623520170033&ev=PageView&noscript=1

Silver Star Properties REIT Investigated by SEC

Posted on July 19th, 2023 at 1:15 PM
Silver Star Properties REIT Investigated by SEC

From the desk of Jim Eccleston at Eccleston Law 

Silver Star Properties REIT Inc. received notice of an investigation by the Securities and Exchange Commission. The SEC’s letter raised concerns regarding the company’s 10-K. The SEC believes the 10-K may be evidence of mismanagement of the company. A specific inquiry includes the significant depreciation of value in the company’s net asset value per share, from $12.08 in 2021 to $6.25 in 2022, among other things.

The SEC advised Silver Star to retain documents and data that may be relevant to the investigation. Specifically, the SEC requested the retention of documents and data related to:

• Silver Star’s purchase of all equity interests in Southern Star Self-Storage Investment Company

• The determination that Silver Star had material weaknesses in controls over the review

• Approval and disclosure of related party transactions and the insufficient design of controls relating to the timing of revenue recognition of estimated recoveries of operating expense items under leasing agreements

The SEC also advised Silver Star to retain documents and data related to key employees including Silver Star’s investigation into “certain violations of fiduciary and other duties to Silver Star by Hartman”, the removal of Allen Hartman as the executive committee of the Silver Star’s board of directors as executive chairman of the company, and the termination of the agreement between Hartman Short Term Income Properties XX Inc. and Mr. Hartman.

 

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, transition, regulatory, and disciplinary matters.

Tags: eccleston, eccleston law

Return to Archive

TESTIMONIALS

Previous
Next
Quotes Bigger

I have the best legal firm in the country to defend me. Awesome job!

Cindy C.

LATEST NEWS AND ARTICLES

1780588152 Law
June 4, 2026
Former Wells Advisor Alleges Age Discrimination

A former Wells Fargo senior private client financial advisor in Wisconsin has filed a federal lawsuit alleging the firm terminated him because of his age rather than an alleged workplace profanity incident.

1780507151 Law
June 3, 2026
Starwood REIT Suspends Most Redemptions Amid Liquidity Pressure

Starwood Real Estate Income Trust (SREIT) has announced a temporary suspension of its share repurchase program for most investors.

1780415363 Law
June 2, 2026
SEC Charges California Trader in Alleged $43 Million Ponzi-Like Scheme

The Securities and Exchange Commission (SEC) has filed a civil action against a California day trader accused of operating a $43 million Ponzi-like scheme that allegedly defrauded more than 400 investors.