A shareholder of New Senior Investment Group is alleging that members of the Board used a $640 million acquisition of Holiday Retirement properties to pad their pockets and damage the investors. The New Senior shareholder filed his case in Delaware Chancery Court in December 2016 and then amended the suit on June 8th. The suit names the Board of Directors and the real estate investment trust (REIT) as defendants.
New Senior is owned by Fortress Investment Group. Holiday Retirement and the Holiday Portfolio were also majority owned by Fortress Investment Group. The suit alleges that the acquisition of the Holiday Portfolio was made “on unfair terms and for an inflated price.” This triggered losses for shareholders, but benefitted high level employees at Fortress.
If you have a shareholder lawsuit contact Thomas E. Patterson at tpatterson@pattersonlawfirm.com or (312)-223-1699.