Iorio Law says it represents investors in more than $50 million in DST offerings

Iorio Law PLLC said Aug. 17 that it now represents investors holding beneficial interests in Delaware Statutory Trust investments acquired for more than $50 million in the aggregate, including more than $40 million in Versity- and Crew-related DSTs.

The firm said the offerings cited in its release include suspended distributions, mortgage-loan defaults, lender disputes, bankruptcy and foreclosure proceedings, sponsor-control disputes and declining property performance. It said those conditions can leave DST investors with limited access to income and little practical ability to exit positions quickly.

According to the release, the firm’s DST work spans offerings sponsored or issued by Nelson Brothers Professional Real Estate, NB Private Capital, Versity Investments, Crew Enterprises and Inspired Healthcare Capital. The release also said Crew Enterprises was formerly known as Versity Invest.

The release listed 14 Versity- or Crew-related DSTs represented by the firm: One on 4th DST, Hayworth Tanglewood DST, Vintage DST, The Walk DST, Apex South Creek DST, 4th and J DST, Oakbrook DST, Shadowglen DST, Inspire on 22nd DST, Astoria DST, Wolf Run DST, Buckingham DST, The Nine DST and Campus Walk DST. It also said the firm represents investors in Versity Income Property notes.

Iorio Law said public filings, sponsor communications and investor reports point to problems across those offerings, including suspended distributions, defaults, lawsuits and limited access to reliable financial information. The firm also named a long list of broker-dealers it said were involved in the sale of one or more represented investments, including Great Point Capital, Purshe Kaplan Sterling Investments, Coastal Equities, Emerson Equity, Lion Street Financial, Stonecrest Capital Markets, IFP Securities, WestPark Capital, IBN Financial Services, Dempsey Lord Smith, WealthForge Securities, AAG Capital, Cabin Securities, Aurora Securities, Capulent and MSC-BD.

The release quoted founder and managing attorney August M. Iorio as saying investors can face suspended income, illiquidity, defaults, lawsuits and possible principal impairment when DST offerings run into trouble. He also said broker-dealers are meant to serve as independent gatekeepers and should not simply repeat sponsor marketing materials or miss red flags.

In the same release, the firm said it has handled more than 800 securities arbitration matters and has recovered nearly $100 million for investors throughout Iorio’s career. The release also noted that claims against brokerage firms often proceed in FINRA arbitration and may include negligence, omissions, breach of fiduciary duty, breach of contract, failure to supervise, control-person liability and state securities law violations.

The release said possible remedies may include rescission or rescissory damages, compensatory damages, lost income, statutory interest, attorneys’ fees and costs, and punitive damages where supported by law and evidence. It also said allegations remain allegations unless established through an arbitration award, judicial decision or settlement.

The release does not identify any court ruling or arbitration award tied to the DST matters described.

Sources

• PR Newswire release: Iorio Law PLLC now represents investors holding more than $50 million in DST investments

Editorial note: This article was prepared with AI assistance and includes source attribution for reader review.