Today's Lengthy email from HE. Where to start?
Mar 13, 2020 16:18:25 GMT
disappointedinvestor, maryanne, and 1 more like this
Post by nemesis on Mar 13, 2020 16:18:25 GMT
It is important to note that during the time when HE voluntarily ceased collecting Management Fees from HMIC, maturating mortgages were being reinvested.
Originating fees generated from these reinvested maturing mortgages that were paid to the Manager were paid directly by the borrower and represented no cost to Investors.
Without these originating fees the Manager would not have been able to staff appropriately to manage the current mortgages and HRAC properties and maximize recovery values as set out in the HRAC sales activity report.
So basically management is saying "hey, it didn't cost you a thing to make us personally wealthy through originating fees". That is why we would like to keep churning this company. There's more to be had.
I would like to see exactly how much has been paid to management in originating (and other fees) and of that amount, show me a spreadsheet that gives us line by line detail of operating expenses: Office expenses, salaries and benefits, travel, support staff.
Management continues to perpetuate the fiction that a few disgruntled investors are just standing in the way of HE making changes that will give us all the best chance of recouping our dollars. I say, pay out the disgruntled group of investors now. How many could there be? Then all the other investors will be happy to fall in with your future plans for a development company and you can also attract new investors to this wonderfully performing fund.
Maybe we need an open vote. Who votes to exit and who votes to stay. Then we will know where we truly are.
Originating fees generated from these reinvested maturing mortgages that were paid to the Manager were paid directly by the borrower and represented no cost to Investors.
Without these originating fees the Manager would not have been able to staff appropriately to manage the current mortgages and HRAC properties and maximize recovery values as set out in the HRAC sales activity report.
So basically management is saying "hey, it didn't cost you a thing to make us personally wealthy through originating fees". That is why we would like to keep churning this company. There's more to be had.
I would like to see exactly how much has been paid to management in originating (and other fees) and of that amount, show me a spreadsheet that gives us line by line detail of operating expenses: Office expenses, salaries and benefits, travel, support staff.
Management continues to perpetuate the fiction that a few disgruntled investors are just standing in the way of HE making changes that will give us all the best chance of recouping our dollars. I say, pay out the disgruntled group of investors now. How many could there be? Then all the other investors will be happy to fall in with your future plans for a development company and you can also attract new investors to this wonderfully performing fund.
Maybe we need an open vote. Who votes to exit and who votes to stay. Then we will know where we truly are.
