A monetary advisor primarily based in Edina, Minnesota, faces a felony wire fraud cost after allegedly misappropriating $1.6 million in shopper funds and utilizing the cash to purchase properties for her actual property enterprise, U.S. prosecutors in Minnesota introduced.
Kristi Margaret Berge, 47, who acted as an funding advisor in Minnesota, based and was CEO of Preserve Protected Investments LLC, or KSI Monetary, a monetary planning and funding companies agency, in accordance with court docket data.
Berge additionally co-owned and operated J&Okay Join LLC, an organization that invested in actual property by means of shopping for, renovating and reselling properties.
Whereas the Justice Division press launch posted Friday describes her as a registered funding advisor with the Monetary Trade Regulatory Authority, FINRA’s BrokerCheck lists her as a beforehand registered funding advisor. The Securities and Trade Fee web site lists her KSI registration as stretching from July 11, 2013 till Dec. 31, 2023.
KSI’s Minnesota registration standing was revoked Feb. 13, in accordance with SEC data.
From June 2020 by means of February 2023, authorities allege, Berge fraudulently misappropriated about $1.6 million from a few of her shoppers’ accounts by falsely representing to the shoppers that she would preserve their cash in secure and safe funding accounts, resembling particular person retirement accounts and 401(ok) retirement financial savings plans, in accordance with the Justice Division.