The Falls Event Center and Its CEO, Steven Down Charged by the SEC with Raising Money from Investors Through Misrepresentations and Omissions
The Falls Event Center and its CEO, Steven Down have been charged with the SEC with fraudulently raising about $120 million from over 300 investors across the country, according to an SEC Complaint and Judgments reviewed by attorney Paul Scarlato.
Securities attorney Paul Scarlato and his partners are investigating The Falls Event Center and Steven Down’s allegedly improper sales of promissory notes to investors. The Falls Event Center investors who are concerned about their investments may contact attorney Paul Scarlato with any useful information or for a free, no-obligation evaluation of their legal options.
The SEC charged The Falls Event Center (“TFEC”), a Utah limited liability company, and its CEO Steven Down of West Jordan, Utah with making false statements to prospective investors about the profitability of certain of The Falls Event centers.
TFEC and Down Allegedly Solicited Investments at Conferences and Professional Seminars
TFEC and its principal, Steven Down, stand accused of seeking investments in The Falls Event Centers by making falsely representing to prospective investors that some or all of the event centers were profitable, according to the SEC’s Complaint.
In reality, Down knew or should have known – and by 2016 had been informed by TFEC’s executive team members – that the event centers were not profitable, and his representations to prospective investors to the contrary were inaccurate, the securities regulators alleged.
TFAC executive team members also allegedly informed Down, in 2016, that his event center model was unsustainable because of the millions of dollars in debt to investors and to the event center mortgage holders, the SEC’s Complaint stated.
Shortly after being sued by the SEC and accused of fraud, The Falls Event Centers and Down consented to the entry of a final judgment permanently enjoining them from future violations of sections of the Securities Act, and Down has also agreed to pay a civil penalty of $150,000. However, subsequently Down has reportedly reneged on his consent to the entry of judgment and has denied he engaged in fraud.
Securities Lawyers Investigating Down, The Falls Event Center
The Goldman Scarlato & Penny PC law firm’s securities lawyers often represent investors who suffered investment losses as a result of fraud or misconduct. They are investigating The Falls Event Center and Steven L. Down’s alleged investment fraud and are preparing to take action on behalf of victimized investors. GSP takes most cases of this type on a contingency fee basis and advance the case costs, and only gets paid for its fees and costs out of money recovered for clients. The GSP lawyers have represented thousands of victims of investment fraud and misconduct nationwide.
The Falls Event Centers investors who are concerned about their investments may contact GSP attorney Paul Scarlato for a free, no-obligation review of their case and discuss about their recovery options, at 888-872-6975, via email at email@example.com, or through the contact form on this webpage.