Baker Jensen Investment Advisors, Llc

Allegations: THE PLAINTIFFS ARE ALLEGING FRAUD, NEGLIGENT MISREPRESENTATION, PROFESSIONAL NEGLIGENCE, UNFAIR COMPETITION RELATED TO THE PENSION PLANS MR. BAKE ASSISTED IN PROVIDING. ALSO NAMED ARE PENSION PROFESSIONALS OF AMERICA, PACIFIC LIFE INSURANCE COMPANY, AMERICAN GENERAL LIFE INSURANCE COMPANY, AND ANNUITY INVESTORS LIFE INSURANCE COMPANY. Status: Pending Summary: MR. BAKER IS NAMED IN TWO PENDING CIVIL LITIGATION CASES INITIATED IN NOVEMBER 2010 WHILE HE WAS A REGISTERED REPRESENTATIVE WITH MAIN STREET SECURITIES, LLC. IN BOTH INSTANCES, THE COMPLAINT ALLEGES THAT THE INSURANCE /412(1) PENSION PLAN ESTABLISHED BY PENSION SPECIALIST MR. BAKER REFERRED TO THE PLAINTIFFS WAS NOT SUITABLE AND DID NOT PROVIDE LEGITIMATE TAX DEDUCTIONS FOR THE PREMIUMS PAID TO FUND THE PLAN. MR. BAKER BELIEVES THAT THE INSURANCE PRODUCTS HE AND HIS CO-DEFENDANTS RECOMMENDED WERE SUITABLE, FULFILLED ALL THE TAX GUIDELINES AT THE TIME OF THE PURCHASE ('04-'05) AND THE PLAINTIFFS OWN LEGAL COUNSEL AND CPA PROVIDED FULL DISCLOSURE OF THE TAX BENEFITS AND TAX RISKS. MR. BAKER REFERRED THE CONSULTANT WHO PROPOSED THE TAX STRATEGY WHICH WAS EVENTUALLY CHALLENGED BY THE IRS IN 2008. MR. BAKER DENIES ALL ALLEGATIONS OF PROFESSIONAL WRONGDOING AND INTENDS TO VIGOROUSLY DEFEND HIS ACTIONS.