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Al Hartman Presses Silver Star Properties (SLVS) on Governance Failures and Fraud Allegations Ahead of October 6 Vote

Summary

The letter from Al Hartman and the Hartman Shareholder Alliance alleges a pattern of potential fraud by Silver Star Properties’ current management, citing concealed records during foreclosures, related-party self-dealing (including $14.4M in minimum interest to Benefit Street Partners), discriminatory stock distribution, material omissions about “troubled properties,” and misleading SEC disclosures. It urges shareholders to ignore pressure to sell at $0.42 per share, blaming management for failed refinancing of a $57.8M Walgreens portfolio, loan defaults, overpriced, fully financed acquisitions, and property neglect tied to tax schemes. The authors claim shares hold real value under competent leadership, invite investors to a 4:00 PM CST call to review evidence and a recovery plan, and ask investors to “vote for accountability” on October 6.

Evidence of Potential Fraud Mounting

September 11, 2025

Dear Fellow Silver Star Properties Shareholders,

The deteriorating situation under current management has crossed the line from mere incompetence into what appears to be potential criminal fraud. The evidence continues mounting while they pressure you to sell your shares for pennies on the dollar.

Clear Pattern of Potential Fraudulent Conduct

The systematic deception by current management now includes multiple indicators of criminal behavior:

· Deliberate concealment of financial records - Refusing legally mandated books and records requests while properties face active foreclosure proceedings

· Blatant self-dealing with related parties - $14.4 million in minimum interest to Benefit Street Partners enriched the very lenders now foreclosing on us

· Discriminatory stock distribution scheme – about 20% of legitimate investors were denied their stock ownership because they were "a part of the Hartman group" (direct quote from CEO Haddock's own text)

· Material omissions and misrepresentation - Never disclosed that Benefit Street Partners had "troubled properties" when structuring these expensive, predatory loans

· Lying about Consent Solicitation to SEC - It did not include the Revocations

This isn't poor judgment—this is a deliberate pattern of enriching insiders at shareholder expense.

URGENT: Do Not Fall for the 42-Cent Theft

Ignore their misleading phone calls.

Management is desperately pressuring you to sell at 42 cents per share so they can try to win the proxy contest.

They have:

· Failed to refinance the $57.8 million Walgreens portfolio

· Defaulted on loans they personally negotiated

· Acquired properties at inflated prices with 100% financing

· Let properties deteriorate while chasing complex tax schemes

Your shares have real value when managed by competent leadership—not criminal incompetents.

Join our live shareholder call today, Thursday at 4:00 PM CST. We'll walk through the mounting evidence, explain our value restoration plan, and answer your questions directly.

Don't let them steal your remaining equity. Vote for accountability on October 6th.

Sincerely,

Al Hartman
The Hartman Shareholder Alliance

Source:

https://www.sec.gov/Archives/edgar/data/831616/000141057825002133/tm2525938d1_dfan14a.htm

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