SEC v. TKO Farms, Inc., Agravitae, Inc., Kenneth Owen and others (undisclosed control blocks, 2022)

Alleged — pending

These are allegations. SEC has filed an action; nothing in it has been proven, and the respondents have not been found liable. Everything described on this page is what the regulator alleges, not what a court has found. See our editorial policy.

✓ Checked against the primary document on October 4, 2026. The library's summary, tags and figures for this record were compared with the regulator's own document by an AI model (Claude) following written instructions, with sampled and disputed records read a second time. No lawyer has reviewed them. A checked record can still contain errors, and checked does not mean endorsed. See how we check records or report a correction.

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In May 2022 the SEC sued TKO Farms, Agravitae, Kenneth Owen and four others over offerings raising nearly $20 million through unregistered telephone solicitors, alleging Owen, with a record of convictions and a bankruptcy, held undisclosed de facto control of both companies and misrepresented his history and the use of funds. These are allegations.

The record

What was ordered

Civil penalty

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Disgorgement

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Prejudgment interest

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Total relief

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Alleged gain

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A dash means the release did not state a figure we could extract, not that the figure is zero. Penalty and disgorgement are stored separately so aggregates across the library do not double-count the same dollars.

What is alleged to have happened

The Securities and Exchange Commission announced on May 9, 2022 (litigation release 25386) a complaint filed on May 6, 2022 in the Central District of California.

The SEC alleges that between May 2017 and March 2021 TKO Farms and Agravitae raised nearly $20 million from investors, that Owen, who had criminal convictions, regulatory actions, government liens and a bankruptcy, had undisclosed de facto control of both companies and recruited unregistered salespeople, Aguilar, Blaylock, Erskine and Penhollow, to solicit investors, and that the companies and Owen misrepresented his history, his control and the use of investor money. All defendants are charged under Section 5 and Section 15(a)(1); the companies and Owen also under Section 17(a), Section 10(b) and Rule 10b-5. The SEC seeks injunctions, disgorgement and penalties. The case was pending at the date of the release.

This library tags the matter as undisclosed control blocks. The record's defendant field held only "TKO Farms, Inc., et al."

Checked on 2026-10-04: no judgment found for the lead defendants. SEC litigation release LR-26604 (August 10, 2026) reports that on July 21, 2026 the Central District of California entered a final judgment against one of the seven named defendants, James Brian Blaylock, after granting the SEC's motion for default judgment: he is enjoined from the registration and broker provisions and from soliciting investors, and must pay a $100,000 civil penalty. The SEC's whistleblower notice for the case lists a qualifying judgment dated September 17, 2025, which does not say which defendant it concerns and which we did not read. We did not find outcomes for TKO Farms, Agravitae, Owen or the others, so the record stays as filed.

For the regulator's own account of the facts, read the primary document linked above. This page deliberately summarises the structured record rather than reproducing the release.

What technique is this, and how does it work?

This action is tagged with one technique in our taxonomy. The tagging is ours: regulators charge statutory provisions, not technique names, so the mapping is an editorial judgement described in our editorial policy.

• Undisclosed control blocks — see how it works, what statute it engages, and every other action tagged the same way.

Timeline

1. 2022-05-09 Litigation release published
2. 2026-07-21 Default final judgment against co-defendant James Brian Blaylock (LR-26604)

Primary documents

Everything on this page derives from the documents below. Where our summary and the primary document disagree, the primary document is right.

• SEC litigation release
• SEC litigation release LR-26604 (judgment against Blaylock)
• SEC whistleblower notice 2026-008

The linked release is a work of the United States government and is not subject to copyright. Our summary and narrative above are our own writing.

Related actions

Other actions in the library sharing at least one technique tag with this one.

Record added September 10, 2026. If this matter has since resolved, been withdrawn or been dismissed, we want to know: submit a correction.