Edina financial adviser stole $1.6M from clients to buy properties: Charges

EDINA, Minn. (FOX 9) - A Twin Cities-based financial adviser is accused of stealing $1.6 million from her clients, which she used to buy multiple properties in Edina. 

Kristi Margaret Berge, 47, is charged in federal court with wire fraud, accused of misappropriating $1.6 million in client investment funds, U.S. Attorney Andrew Luger announced on Friday. Berge was the founder and CEO of Keep Safe Investments, also known as KSI Financial, and co-owned and operated J&K Connect LLC. 

According to the U.S. Attorney's Office, citing court records, from June 2020 to February 2023, Berge "fraudulently misappropriated" about $1.6 million from some of her clients' accounts. She did this by allegedly falsely telling her clients that she would keep their money safe in investment accounts, including retirement accounts and 401(k) retirement savings plans. But instead, prosecutors say she "repeatedly" withdrew her clients' funds, between $5,000 and $220,000 each time, and deposited the money into her bank accounts. 

Berge used her clients' money to buy multiple properties in Edina for her real estate business, J&K Connect LLC, the U.S. Attorney's Office said. 

She allegedly tried to cover up the withdrawals by labeling them as "management" or "administrative" fees and created fabricated records to give the impression she was authorized to withdraw her clients' investment funds.  

KSI Financial is a financial planning and investment services firm, while J&K Connect LLC is a company that invested in real estate by buying, renovating and reselling properties. Both companies were based in Edina.