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RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS (Tables)
 12 Months Ended
Dec. 31, 2016
Accounting Changes and Error Corrections [Abstract]  
Schedule of Error Corrections and Prior Period Adjustments [Table Text Block]
Consolidated Balance Sheets
 
 
 
December 31, 2016
 
 
 
As previously

reported
 
 
Restatement

adjustments
 
 
As restated
 
 
 
 
 
 
 
 
 
 
 
ASSETS
 
 
 
 
 
 
 
 
 
 
 
 
Available-for-sale securities, at fair value (includes pledged securities of $876,121,505 for December 31, 2016
 
$
870,929,601
 
 
$
-
 
 
$
870,929,601
 
Mortgage loans held-for-sale, at fair value
 
 
2,849,536
 
 
 
-
 
 
 
2,849,536
 
Multi-family loans held in securitization trusts, at fair value
 
 
1,222,905,433
 
 
 
-
 
 
 
1,222,905,433
 
Residential loans held in securitization trusts, at fair value
 
 
141,126,720
 
 
 
-
 
 
 
141,126,720
 
Mortgage servicing rights, at fair value
 
 
3,440,809
 
 
 
-
 
 
 
3,440,809
 
Cash and cash equivalents
 
 
27,534,374
 
 
 
-
 
 
 
27,534,374
 
Restricted cash
 
 
10,355,222
 
 
 
-
 
 
 
10,355,222
 
Deferred offering costs
 
 
96,489
 
 
 
-
 
 
 
96,489
 
Accrued interest receivable
 
 
7,619,717
 
 
 
-
 
 
 
7,619,717
 
Dividends receivable
 
 
122
 
 
 
-
 
 
 
122
 
Investment related receivable
 
 
3,914,458
 
 
 
-
 
 
 
3,914,458
 
Derivative assets, at fair value
 
 
8,053,813
 
 
 
-
 
 
 
8,053,813
 
Other assets
 
 
774,909
 
 
 
-
 
 
 
774,909
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total assets
 
$
2,299,601,203
 
 
$
-
 
 
$
2,299,601,203
 
 
 
 
 
 
 
 
 
 
 
 
 
 
LIABILITIES AND STOCKHOLDERS' EQUITY
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
LIABILITIES:
 
 
 
 
 
 
 
 
 
 
 
 
Repurchase agreements:
 
 
 
 
 
 
 
 
 
 
 
 
Available-for-sale securities
 
$
804,811,000
 
 
$
-
 
 
$
804,811,000
 
Multi-family securitized debt obligations
 
 
1,204,583,678
 
 
 
-
 
 
 
1,204,583,678
 
Residential securitized debt obligations
 
 
134,846,348
 
 
 
-
 
 
 
134,846,348
 
Accrued interest payable
 
 
5,467,916
 
 
 
-
 
 
 
5,467,916
 
Dividends payable
 
 
39,132
 
 
 
-
 
 
 
39,132
 
Deferred income
 
 
203,743
 
 
 
-
 
 
 
203,743
 
Due to broker
 
 
4,244,678
 
 
 
-
 
 
 
4,244,678
 
Fees and expenses payable to Manager
 
 
880,000
 
 
 
-
 
 
 
880,000
 
Other accounts payable and accrued expenses
 
 
2,057,843
 
 
 
-
 
 
 
2,057,843
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total liabilities
 
 
2,157,134,338
 
 
 
-
 
 
 
2,157,134,338
 
 
 
 
 
 
 
 
 
 
 
 
 
 
STOCKHOLDERS' EQUITY:
 
 
 
 
 
 
 
 
 
 
 
 
Preferred Stock: par value $0.01 per share; 50,000,000 shares authorized, 8.75% Series A cumulative redeemable, $25 liquidation preference, 1,610,000 issued and outstanding at December 31, 2016
 
 
37,156,972
 
 
 
-
 
 
 
37,156,972
 
Common Stock: par value $0.01 per share; 450,000,000 shares authorized, 17,539,258 shares issued and outstanding, at December 31, 2016
 
 
175,348
 
 
 
-
 
 
 
175,348
 
Additional paid-in capital
 
 
204,264,868
 
 
 
-
 
 
 
204,264,868
 
Accumulated other comprehensive income (loss)
 
 
(9,268,630
)
 
 
2,436,690
 
 
 
(6,831,940
)
Cumulative distributions to stockholders
 
 
(89,224,194
)
 
 
-
 
 
 
(89,224,194
)
Accumulated earnings (deficit)
 
 
(637,499
)
 
 
(2,436,690
)
 
 
(3,074,189
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Total stockholders' equity
 
 
142,466,865
 
 
 
-
 
 
 
142,466,865
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total liabilities and stockholders' equity
 
$
2,299,601,203
 
 
$
-
 
 
$
2,299,601,203
 
 
Consolidated Statements of Operations
 
 
 
Year Ended December 31, 2016
 
 
 
As previously

reported
 
 
Restatement

adjustments
 
 
As restated
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenues:
 
 
 
 
 
 
 
 
 
 
 
 
Interest income:
 
 
 
 
 
 
 
 
 
 
 
 
Available-for-sale securities
 
$
23,475,765
 
 
$
-
 
 
$
23,475,765
 
Mortgage loans held-for-sale
 
 
430,986
 
 
 
-
 
 
 
430,986
 
Multi-family loans held in securitization trusts
 
 
58,587,780
 
 
 
-
 
 
 
58,587,780
 
Residential loans held in securitization trusts
 
 
10,585,191
 
 
 
-
 
 
 
10,585,191
 
Cash and cash equivalents
 
 
41,994
 
 
 
-
 
 
 
41,994
 
Interest expense:
 
 
-
 
 
 
 
 
 
 
 
 
Repurchase agreements - available-for-sale securities
 
 
(6,237,777
)
 
 
-
 
 
 
(6,237,777
)
Repurchase agreements - mortgage loans held-for-sale
 
 
(237,807
)
 
 
-
 
 
 
(237,807
)
Multi-family securitized debt obligations
 
 
(54,940,386
)
 
 
-
 
 
 
(54,940,386
)
Residential securitized debt obligations
 
 
(8,117,402
)
 
 
-
 
 
 
(8,117,402
)
Net interest income
 
 
23,588,344
 
 
 
-
 
 
 
23,588,344
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other-than-temporary impairments
 
 
 
 
 
 
 
 
 
 
 
 
Increase in credit reserves
 
 
(541,342
)
 
 
1,286,834
 
 
 
745,492
 
Additional other-than-temporary credit impairment losses
 
 
(183,790
)
 
 
-
 
 
 
(183,790
)
Total impairment losses recognized in earnings
 
 
(725,132
)
 
 
1,286,834
 
 
 
561,702
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other income:
 
 
 
 
 
 
 
 
 
 
 
 
Realized gain (loss) on sale of investments, net
 
 
(7,216,137
)
 
 
-
 
 
 
(7,216,137
)
Change in unrealized gain (loss) on fair value option securities
 
 
(4,683,410
)
 
 
(3,723,524
)
 
 
(8,406,934
)
Realized gain (loss) on derivative contracts, net
 
 
(3,089,001
)
 
 
-
 
 
 
(3,089,001
)
Change in unrealized gain (loss) on derivative contracts, net
 
 
5,495,463
 
 
 
-
 
 
 
5,495,463
 
Realized gain (loss) on mortgage loans held-for-sale
 
 
94,187
 
 
 
-
 
 
 
94,187
 
Change in unrealized gain (loss) on mortgage loans held-for-sale
 
 
(151,023
)
 
 
-
 
 
 
(151,023
)
Change in unrealized gain (loss) on mortgage service rights
 
 
(827,864
)
 
 
-
 
 
 
(827,864
)
Change in unrealized gain (loss) on multi-family loans held in securitization trusts
 
 
(5,219,530
)
 
 
-
 
 
 
(5,219,530
)
Change in unrealized gain (loss) on residential loans held in securitization trusts
 
 
404,720
 
 
 
-
 
 
 
404,720
 
Tax interest expense
 
 
(1,860,000
)
 
 
-
 
 
 
(1,860,000
)
Servicing income
 
 
932,424
 
 
 
-
 
 
 
932,424
 
Other income
 
 
32,276
 
 
 
-
 
 
 
32,276
 
Total other income (loss)
 
 
(16,087,895
)
 
 
(3,723,524
)
 
 
(19,811,419
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Expenses:
 
 
 
 
 
 
 
 
 
 
 
 
Management fee
 
 
2,472,353
 
 
 
-
 
 
 
2,472,353
 
General and administrative expenses
 
 
5,867,851
 
 
 
-
 
 
 
5,867,851
 
Operating expenses reimbursable to Manager
 
 
4,747,275
 
 
 
-
 
 
 
4,747,275
 
Other operating expenses
 
 
1,480,341
 
 
 
-
 
 
 
1,480,341
 
Compensation expense
 
 
197,452
 
 
 
-
 
 
 
197,452
 
Total expenses
 
 
14,765,272
 
 
 
-
 
 
 
14,765,272
 
Net income (loss)
 
 
(7,989,955
)
 
 
(2,436,690
)
 
 
(10,426,645
)
Dividends to preferred stockholders
 
 
(3,522,036
)
 
 
-
 
 
 
(3,522,036
)
Net income (loss) attributable to common stockholders
 
$
(11,511,991
)
 
$
(2,436,690
)
 
$
(13,948,681
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Earnings (loss) per share:
 
 
 
 
 
 
 
 
 
 
 
 
Net income attributable to common stockholders (basic and diluted)
 
$
(11,511,991
)
 
$
(2,436,690
)
 
$
(13,948,681
)
Weighted average number of shares of common stock outstanding
 
 
14,641,701
 
 
 
14,641,701
 
 
 
14,641,701
 
Basic and diluted income per share
 
$
(0.79
)
 
$
(0.17
)
 
$
(0.95
)
Dividends declared per share of common stock
 
$
2.04
 
 
$
-
 
 
$
2.04
 
  
Consolidated Statements of Comprehensive Income (Loss)
 
 
 
Year Ended December 31, 2016
 
 
 
As previously

reported
 
 
Restatement

adjustments
 
 
As restated
 
 
 
 
 
 
 
 
 
 
 
Net income
 
$
(7,989,955
)
 
$
(2,436,690
)
 
$
(10,426,645
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss):
 
 
 
 
 
 
 
 
 
 
 
 
Increase (decrease) in net unrealized gain on available-for-sale securities, net
 
 
(3,824,461
)
 
 
3,723,524
 
 
 
(100,937
)
Reclassification adjustment for net gain (loss) included in net income
 
 
(5,589,740
)
 
 
-
 
 
 
(5,589,740
)
Reclassification adjustment for other-than-temporary impairments included in net income
 
 
541,342
 
 
 
(1,286,834
)
 
 
(745,492
)
Total other comprehensive income (loss)
 
 
(8,872,859
)
 
 
2,436,690
 
 
 
(6,436,169
)
Less: Dividends to preferred stockholders
 
 
(3,522,036
)
 
 
-
 
 
 
(3,522,036
)
Comprehensive income (loss) attributable to common stockholders
 
$
(20,384,850
)
 
$
-
 
 
$
(20,384,850
)
  
Consolidated Statements of Cash Flows
 
 
 
December 31, 2016
 
 
 
As previously

reported
 
 
Restatement

adjustments
 
 
As restated
 
 
 
 
 
 
 
 
 
 
 
Cash flows from operating activities:
 
 
 
 
 
 
 
 
 
 
 
 
Net income (loss)
 
$
(7,989,955
)
 
$
(2,436,690
)
 
$
(10,426,645
)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
 
 
 
 
 
 
 
 
 
 
 
 
Other-than-temporary impairment charges
 
 
725,132
 
 
 
(1,286,834
)
 
 
(561,702
)
Amortization/accretion of available-for-sale securities premiums and discounts, net
 
 
(6,751,667
)
 
 
-
 
 
 
(6,751,667
)
Realized (gain) loss on sale of investments, net
 
 
7,216,137
 
 
 
-
 
 
 
7,216,137
 
Realized (gain) loss on derivative contracts
 
 
3,089,001
 
 
 
-
 
 
 
3,089,001
 
Realized (gain) loss on mortgage loans held-for-sale
 
 
(94,187
)
 
 
-
 
 
 
(94,187
)
Unrealized (gain) loss on fair value option securities
 
 
4,683,410
 
 
 
3,723,524
 
 
 
8,406,934
 
Unrealized (gain) loss on derivative contracts
 
 
(5,495,463
)
 
 
-
 
 
 
(5,495,463
)
Unrealized (gain) loss on mortgage loans held-for-sale
 
 
151,023
 
 
 
-
 
 
 
151,023
 
Unrealized (gain) loss on mortgage service rights
 
 
827,864
 
 
 
-
 
 
 
827,864
 
Unrealized (gain) loss on multi-family loans held in securitization trusts
 
 
5,219,530
 
 
 
-
 
 
 
5,219,530
 
Unrealized (gain) loss on residential loans held in securitization trusts
 
 
(404,720
)
 
 
-
 
 
 
(404,720
)
Restricted stock compensation expense
 
 
35,785
 
 
 
-
 
 
 
35,785
 
Net change in:
 
 
 
 
 
 
 
 
 
 
 
 
Accrued interest receivable
 
 
(707,019
)
 
 
-
 
 
 
(707,019
)
Deferred offering costs
 
 
(96,489
)
 
 
-
 
 
 
(96,489
)
Dividends receivable
 
 
25,900
 
 
 
-
 
 
 
25,900
 
Other assets
 
 
(244,441
)
 
 
-
 
 
 
(244,441
)
Accrued interest payable
 
 
119,993
 
 
 
-
 
 
 
119,993
 
Deferred income
 
 
203,743
 
 
 
-
 
 
 
203,743
 
Fees and expenses payable to Manager
 
 
37,097
 
 
 
-
 
 
 
37,097
 
Other accounts payable and accrued expenses
 
 
1,790,336
 
 
 
-
 
 
 
1,790,336
 
Net cash provided by operating activities
 
 
2,341,010
 
 
 
-
 
 
 
2,341,010
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
 
 
 
Purchase of available-for-sale securities
 
 
(585,984,081
)
 
 
-
 
 
 
(585,984,081
)
Purchase of mortgage loans held-for-sale
 
 
(14,772,535
)
 
 
-
 
 
 
(14,772,535
)
Proceeds from sales of available-for-sale securities
 
 
263,153,843
 
 
 
-
 
 
 
263,153,843
 
Proceeds from mortgage loans held-for-sale
 
 
22,490,929
 
 
 
-
 
 
 
22,490,929
 
Proceeds from FHLBI stock
 
 
2,403,000
 
 
 
-
 
 
 
2,403,000
 
Net proceeds from (payments for) derivative contracts
 
 
(3,089,001
)
 
 
-
 
 
 
(3,089,001
)
Principal payments from available-for-sale securities
 
 
96,655,967
 
 
 
-
 
 
 
96,655,967
 
Principal payments from mortgage loans held-for-sale
 
 
275,636
 
 
 
-
 
 
 
275,636
 
Investment related receivable
 
 
(2,323,115
)
 
 
-
 
 
 
(2,323,115
)
Restricted cash
 
 
(2,180,584
)
 
 
-
 
 
 
(2,180,584
)
Due to broker
 
 
4,244,678
 
 
 
-
 
 
 
4,244,678
 
Net cash used in investing activities
 
 
(219,125,263
)
 
 
-
 
 
 
(219,125,263
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities:
 
 
 
 
 
 
 
 
 
 
 
 
Net proceeds from issuance of common stock
 
 
15,503,885
 
 
 
-
 
 
 
15,503,885
 
Purchase of treasury stock
 
 
(283,565
)
 
 
-
 
 
 
(283,565
)
Dividends paid on common stock
 
 
(29,898,918
)
 
 
-
 
 
 
(29,898,918
)
Dividends paid on preferred stock
 
 
(3,522,036
)
 
 
-
 
 
 
(3,522,036
)
Proceeds from repurchase agreements - available-for-sale securities
 
 
7,940,492,000
 
 
 
-
 
 
 
7,940,492,000
 
Proceeds from repurchase agreements - mortgage loans held-for-sale
 
 
16,405,081
 
 
 
-
 
 
 
16,405,081
 
Payments for FHLBI advances
 
 
(49,697,000
)
 
 
-
 
 
 
(49,697,000
)
Principal repayments of repurchase agreements - available-for-sale securities
 
 
(7,644,912,000
)
 
 
-
 
 
 
(7,644,912,000
)
Principal repayments of repurchase agreements - mortgage loans held-for-sale
 
 
(25,909,538
)
 
 
-
 
 
 
(25,909,538
)
Net cash provided by financing activities
 
 
218,177,909
 
 
 
-
 
 
 
218,177,909
 
Net increase (decrease) in cash and cash equivalents
 
 
1,393,656
 
 
 
-
 
 
 
1,393,656
 
Cash and cash equivalents, beginning of period
 
 
26,140,718
 
 
 
-
 
 
 
26,140,718
 
Cash and cash equivalents, end of period
 
$
27,534,374
 
 
$
-
 
 
$
27,534,374
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Supplemental disclosure of cash flow information
 
 
 
 
 
 
 
 
 
 
 
 
Cash paid for interest
 
$
6,355,591
 
 
$
-
 
 
$
6,355,591
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Non-cash investing and financing activities information
 
$
 
 
 
$
 
 
 
$
 
 
Dividends declared but not paid at end of period
 
$
39,132
 
 
$
-
 
 
$
39,132
 
Net change in unrealized gain (loss) on available-for-sale securities
 
$
(8,872,859
)
 
$
2,436,690
 
 
$
(6,436,169
)
Consolidation of multi-family loans held in securitization trusts
 
$
1,227,523,075
 
 
$
-
 
 
$
1,227,523,075
 
Consolidation of residential loans held in securitization trusts
 
$
141,597,866
 
 
$
-
 
 
$
141,597,866
 
Consolidation of multi-family securitized debt obligations
 
$
1,209,181,035
 
 
$
-
 
 
$
1,209,181,035
 
Consolidation of residential securitized debt obligations
 
$
135,223,045
 
 
$
-
 
 
$
135,223,045