Jonathan Cooke & Keystone Capital— Alleged Investment Scheme to Defraud U.S. Federal Employees

Former LPL Broker Jonathan Cooke, as a Member of Keystone Capital Partners, Allegedly Defrauded 200 Federal Staff Members; Cooke and Keystone Purportedly Rolled over $40 Million of Thrift Savings Plan Pension Funds into Expense Annuities, the SEC has Stated

Jonathan Cooke, 34 and of Atlanta, Georgia, and a former LPL Financial broker, allegedly misguided a number of federal employees into rolling over $40 million from their pension funds, referred to as Thrift Savings Plan, into greater expense annuities, according to an SEC Complaint currently under review by attorneys Jason Kane and James Booker.

Peiffer Wolf Carr & Kane securities practice lawyers are investigating Jonathan Cooke and Keystone Capital’s alleged fraud scheme concerning federal employees.

Investors who believe they may have lost money in activity related to Jonathan Cooke and Keystone Capital’s alleged fraud scheme concerning federal employees are encouraged to contact attorneys Jason Kane or James Booker with any useful information or for a free, no obligation discussion about their options.

Cooke allegedly cofounded Keystone in 2012 with Christopher Laws, the SEC said, and the brokers allegedly “fostered the misleading impression that they were in some way affiliated with or approved by the federal government,” which allegedly earned them about $1.7 million on the sales between March 2012 and November 2014, the Complaint notes.

In December 2014, Cooke was terminated from LPL, and from that time until his voluntary termination of his registration in December 2016, was a registered representative with another broker dealer, the Complaint states.

Cooke Allegedly Helped Lead Federal Employees to Believe that Their Recommended Investment, the Variable Annuity, was Affiliated with or Approved by the U.S. Federal Government

Jonathan Cooke and his fellow LPL brokers, under the banner of an entity called Keystone Capital Partners, Inc. which business as Federal Employee Benefits Counselors, allegedly implemented calculated moves to mislead federal employees into believing that their recommended investment, a variable annuity, was linked with or approved by the federal government, according to the aforementioned Complaint being reviewed by attorneys Jason Kane and James Booker.

For example, despite the fact that their recommended investments had no connection to the Thrift Savings Plan, Cooke, in recommending this investment, allegedly made misleading comparisons between their recommended investment and the life annuity offered through the TSP by omitting key information or falsely describing the actual fee structure and surrender fees related to their recommended investment, the Complaint notes.

Securities Lawyers Investigating

The Peiffer Wolf Carr & Kane securities lawyers often represent investors who lose money as a result of investment-related fraud or misconduct and are currently investigating Jonathan Cooke and Keystone Capital’s alleged fraud scheme concerning federal employees. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.

Investors who believe they lost money as a result of Jonathan Cooke and Keystone Capital’s alleged fraud scheme concerning federal employees may contact the securities lawyers at Peiffer Wolf Carr & Kane, Jason Kane or James Booker, for a free no-obligation evaluation of their recovery options, at (585) 310-5140 or via e-mail at arosca@prwlegal.com or jbooker@prwlegal.com.

Peiffer Wolf (1249 Posts)


In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow cases about which we report, and/or to publish subsequent blogs regarding various developments that may occur in such cases. Readers are encouraged to conduct their own research regarding any such cases and any developments that may or may not have occurred in such cases.