Steve Down is a Utah-based entrepreneur and business owner. He is best known as the founder of Even Stevens sandwich shops, Investors Dynamic Corporation (IDC), and The Falls Event Center, a chain of event centers in five western US states. In the 1990s a court order closed IDC.[1] As of 2018 The Falls Events Centers were under investigation by the Securities and Exchange Commission[2] and investors have characterized the company as fraudulent in a 2018 lawsuit.[3]
Steve Down | |
|---|---|
 Steve Down | |
| Occupation | Entrepreneur |
| Organization(s) | Falls Event Center, Even Stevens, Financially Fit |
| Website | SteveDown.com |
Background
editIn 2018 his sandwich store Even Stevens[4] closed a number of stores, and The Falls Event Centers has filed for bankruptcy.[5] In September 2018 Down was under criminal investigation by the FBI for financial fraud activities.[6]
Investors Dynamics Corporation
editIn 1996, Down and his company Investors Dynamics Corporation (IDC) were subject to litigation by the SEC regarding allegations of operating a multi-level marketing pyramid scheme from October 1994 through March 1996 and promising "exaggerated returns".[1][7] In 1998, final judgement was made and the defendants consented to court orders without confirming or denying allegations. The court ordered permanent injunction against Down and IDC and barred him from "association with any broker, broker-dealer, investment company, investment adviser or municipal securities dealer" for two years.[8] The court waived disgorgement and determined not to impose civil penalties based on the demonstrated inability of the defendants to pay.[9] An administrative proceeding was later filed following the final judgement.[7][8]
The Falls Event Center
editDown founded The Falls Event Center in April 2011, which provides event spaces across for small events; the company purchased a portion of the Evergreen Aviation & Space Museum campus and assets out of bankruptcy in 2016.[10] In 2017 Down and The Falls Event Center were under SEC investigation and several of company's centers were in financial straits.[2][11][12][13][14][15] As of 2018 The Falls Event Center had locations in 5 states.[13][2] In the 2018 lawsuit, investors into the Falls Event Centers allege Down promoted monthly returns approaching 35% and furthermore claim "Down constantly misrepresented the state of the centers and their potential."[3]
The Wings & Waves Waterpark is an operating waterpark in McMinnville, Oregon, acquired as a portion of the Falls Event Center purchase of Evergreen Aviation and Space Museum’s assets to use for his McMinnville Falls Event Center.[16] After the Falls Event Center succumb to investor lawsuits, bankruptcy, and criminal investigations, the Wings & Waves Waterpark was purchased out of bankruptcy by Oregon vintner, Bill Stoller.[17]
Other ventures
editIn 1999, Down founded a financial coaching company under the name Wealth Heart Corporation, which was later changed to Financially Fit.[18]
Down opened the first Even Stevens restaurant in downtown Salt Lake City, Utah in 2014.[19][20]
CE Karma is a professional dental continuing education organization founded by Down that operates in 33 states.[21]
References
edit- ^ a b "INVESTORS DYNAMICS TOLD IT MUST CEASE OPERATIONS - Deseret News". 2019-11-19. Archived from the original on 2019-11-19. Retrieved 2022-11-01.
- ^ a b c Jeff Manning (July 23, 2017) Landlord of Oregon's Evergreen Aviation & Space Museum subject of SEC inquiry The Oregonian
- ^ a b Aubrey Wieber (May 11, 2018). Utah’s Falls Event Center expanded by lying to investors about its value and profitability, lawsuit states. Salt Lake Tribune, accessed 2020-02-11
- ^ "Utah-based Even Stevens restaurants suspended their 'buy a sandwich, give a sandwich' charity donations for 60 days while the company restructures". The Salt Lake Tribune. Retrieved 2018-09-14.
- ^ "Falls Event Center files for bankruptcy". Retrieved 2018-09-10.
- ^ "Air museum landlord crashes to earth amid fraud charges". OregonLive.com. Retrieved 2018-09-25.
- ^ a b SEC (April 13, 1998). "Investment Advisors Act of 1940 release No. 1715 Administrative Proceeding". Securities and Exchange Commission.
- ^ a b SEC (July 22, 1998) SEC News Digest Issue 98-140 SEC.
- ^ SEC (April 3, 1998). "SEC Litigation Release No. 15694: S.E.C. v. Investors Dynamics Corporation and Steven L. Down (USDC, UT, Docket No. 2:96CV 0220S)". Securities and Exchange Commission.
- ^ Manning, Jeff (5 January 2018). Aviation museum landlord considers buying Del Smith mansion. The Oregonian.
- ^ Nick Halter (September 15, 2017) Planned St. Paul Event Center Stalled; Owner faces SEC investigation Minneapolis/St. Paul Business Journal.
- ^ Montesano, Nicole (December 7, 2017). Millegan and Peterson seek dismissal of Falls Event Center The News-Register
- ^ a b Manning, Jeff (September 23, 2017) As SEC investigates, Down tightens connection to McMinnville museum The Oregonian.
- ^ Womack, Graham (20 December 2017). Roseville begins tax foreclosure on The Falls Event Center: Center owes $9.3K in CFD fees and is late on $26K tax bill to Placer County. Roseville & Granite Bay Press Tribune.
- ^ Lackmeyer, Steve (28 December 2017). Falls Event Center project in Bricktown on hold amid lawsuits, SEC inquiry The Oklahoman.
- ^ Luke Hammill (July 8, 2016) Buyer Emerges for Evergreen Aviation The Oregonian
- ^ Degerman, Eric. 2020. “Oregon Vintner Rescues McMinnville Museum and Water Park.” Herald, April 21, 2020. https://www.heraldnet.com/life/oregon-vintner-rescues-mcminnville-museum-and-water-park/.
- ^ Jensen, Maren (5 February 2017). Person to Person Steve Down KUTV News.
- ^ Scheffler, Ted (January 18, 2017). "Even Stevens, Trio Happenings, Farmers market" Salt Lake City Weekly
- ^ Brittany Graham (January 17, 2017) Celebrating 1 million sandwiches donated with Even Stevens Fox 13 Salt Lake City
- ^ Anderson, Mark (September 21, 2017) SEC investigates owner of event center with local sites The Sacramento Business Journal