SEC Charges California-Based Investment Adviser With Fraud and Breach of Fiduciary Duty

October 18, 2011

The SEC charged Copeland Wealth Management, an SEC-registered adviser, a sister real estate company and Charles P. Copeland with fraud and breach of fiduciary duty.  Copeland Wealth Management has approximately $125 million in assets under management.

The sister company is the general partner for 21 limited partnerships primarily invested in real estate.  The SEC alleges that from 2003 through May 31, 2011, Copeland raised over $62 million from over 100 investors, including many of Copeland’s accounting clients, by selling interests in limited partnerships operated by Copeland Wealth Management and the realty company. According to the SEC, throughout the offer and sale of the limited partnerships, Copeland made material misrepresentations and omissions regarding: (1) the use of investor funds, (2) conflicts of interest, (3) guaranteed returns, (4) the unauthorized trading of put options, and (5) the payment of undisclosed real estate commissions and other related compensation.

Click here to access this litigation release.


Enforcement Actions, Investment Advisers