Written by 5:32 pm Blog, Securities Fraud Articles

Grant Thornton Resigns as Accountant for ARC REITs

According to InvestmentNews, the accountant for eight non-traded REITs held by real estate manager, American Realty Capital, has resigned. Grant Thornton was the former independent registered public account for the companies.

The REITs included: ARC – Retail Centers of America Inc., ARC – Retail Centers of America II Inc., ARC Daily Net Asset Value Trust Inc., ARC Healthcare Trust II Inc., ARC Healthcare Trust III Inc., ARC New York City REIT Inc. and ARC Realty Finance Trust Inc.

The non-traded REITs were brought to the market by Nicholas Schorsch. Mr. Schorsch recently stepped down from American Realty Capital Properties and the company is under investigation following a $23 million dollar accounting error. As result “Sales of ARC REITs slowed as broker-dealers began suspending the product,” according to InvestmentNews.

Soon after it was known that the error was intentionally uncorrected, Mr. Schorsch resigned as chairman of ARCP and the broker-dealer holding company, RCS Capital Corp (aka RCAP).

The foregoing information, which is all publicly available, is being provided by The White Law Group.

The White Law Group, LLC is a national fraud, securities arbitration, investor protection and securities regulation/compliance law firm with offices in Chicago, Illinois and Vero Beach, Florida.

To learn more about The White Law Group, visit www.whitesecuriteslaw.com.

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