Trial set for investment adviser accused in securites fraud scheme

CEDAR RAPIDS – A trial date is set June 20 for an investment adviser accused of being involved in a Ponzi-type scheme, involving more than $200,000.

James Kayser, 48, is charged with ongoing criminal conduct and one count of first-degree theft.

Kayser is accused of misappropriating $20,000 received from a client, Kathleen Bridgeman, of Mt. Auburn, for the purchase of an annuity in April 2009, according to the complaint filed earlier this month.

His co-defendant, Noah Aulwes, 54, owner of Covenant Advisors, 136 36th St. SE, Suite A2, who was fined last year by state regulators for making false claims regarding a hedge fund, is charged with on count of ongoing criminal conduct, three counts of first-degree theft, three counts of securities fraud,  and one count each of money laundering and first-degree fraudulent practices, according to a criminal complaint filed earlier this month.

The overall scheme involved alleged victims Linn County, others counties in Iowa, and in North Carolina, losing more than $200,000.