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SEC Complaint: Colonial Tidewater Realty Income Partners, LLC

According to records provided by the Securities and Exchange Commission, Colonial Tidewater Realty Income Partners, LLC has been named in a pending SEC complaint. The securities and investment fraud law firm Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments in Colonial Tidewater Realty Income Partners.

According to the SEC, Colonial Tidewater Realty Income Partners is a holding company that “primarily invests in and manages various forms of residential and commercial real estate, including mobile home parks, single-family residences, undeveloped land, and an age-restricted community.” It was involved in an “offering scheme” allegedly conducted by former Signator Investors broker James Glover (CRD# 1296755), who, according to the SEC, solicited “approximately 125 clients to purchase partnership units in Colonial Tidewater.” He allegedly misrepresented material facts related to the product and “lied to investors about the liquidity of Colonial Tidewater’s investments and the expected returns,” and additionally failed to disclose commissions he received from Colonial Tidewater. Finally, the SEC alleged, Mr. Glover “misappropriated hundreds of thousands of dollars of investor funds.”

James R. Glover, who used to be a managing member of Colonial Tidewater, was “permitted to resign” from Signator Investors in May 2012. He is the subject of over 83 official disclosure events, many of are customer complaints regarding investments in Colonial Tidewater.

In May 2015, a customer filed a complaint that settled for $500,000; in July 2014, a customer settled a complaint that settled for $600,000; in June 2014, a customer filed a complaint that settled for $625,000; in December 2013, a customer filed a complaint that settled for more than $4,685,000.

According to the SEC, Mr. Glover misrepresented Colonial Tidewater as a low-risk investment despite the fact it had “become reliant upon infusions of new investor capital in order to stay current with its mortgage obligations and other expenses.” Most of his investors were allegedly unsophisticated and unaccredited. Often, per the SEC’s complaint, he made differing representations to different investors, and promised false rates of return, telling one investor he would receive a 15% annual return if he kept his funds invested for 9-10 years. He allegedly told another investor she would receive a 50% return after five years. According to the SEC, “these representations were without any basis in fact.”

If you have suffered losses investing in Colonial Tidewater Realty Income Partners and/or with James Glover, formerly of Signator Partners, call the securities and investment fraud law firm Fitapelli Kurta at 877-238-4175 without delay. You may be entitled to recoup your losses. We accept all cases on contingency: Fitapelli Kurta only gets paid if and when you collect money. Time to file your claim may be limited, so we recommend you avoid delay. Call 877-238-4175 now to speak to an attorney for free.