On April 15, the Securities and Exchange Commission (SEC) charged that Total Wealth Management, a San Diego investment firm headed by Jacob Cooper, had taken kickbacks without informing its clients.
The firm's regular KOGO radio program promoted both its piety (Boy Scouts, Marine Corps, Mormon Church) and its investment savvy. But secretly, it was taking "revenue sharing fees," or kickbacks, from the firms whose investments it was peddling, said the SEC. The agency issued a cease-and-desist order and demanded return of ill-gotten gains, financial penalties, and relief to the investors.
Some of those ill-gotten gains found their way into a Washington, Utah, gun shop named Dixie GunWorx, according to an amended civil complaint filed yesterday (August 26) by the San Diego law firm of Aguirre & Severson. The shop advertises that it is "a full service gunsmithing and firearm sales company" that, among many things, will build a custom-made rifle for customers.
Aguirre & Severson's original complaint was filed April 16, the day after the SEC filed its case. The amended case says that any profits or property interests that the gun shop got from its Total Wealth Management clients should be returned to the plaintiffs.
Jacob Cooper used funds from Total Wealth Management to finance Dixie Gunworx, according to the amended complaint.