David Wolfsmith, a former downtown Morgan Hill gym owner accused of sexually assaulting seven women, has gained permission to run another business in San Jose.

Wolfsmith, 49, is out of custody in lieu of $325,000 bail, awaiting his next hearing Oct. 27 on charges that he inappropriately touched the victims while serving as their personal trainer, authorities said. His former gym, known as Wolfpak Training Center, was located at the corner of Monterey Road and East Third Street for several years before Morgan Hill police arrested him on April 11. Wolfpak was co-owned by David and his wife Julia Wolfsmith, but the private training center has closed since he was arrested.

On Aug. 1, the Wolfsmiths gained a “business tax certificate” from the city to open a business in San Jose called Wolfsmith Training, according to the city’s searchable online database of such licenses. The certificate lists “personal training” as the nature of the business. The document lists both David and Julia Wolfsmith as the business owners.

MHPD officers arrested David Wolfsmith April 11 on suspicion that he sexually assaulted five female victims who were clients at Wolfpak, according to police. In the ensuing investigation, two more female victims came forward to police to report similar offenses. Two of the alleged victims were minors at the time of the suspected abuse.

He is charged with 13 counts, including felony counts of sexual battery by fraud and one count of lewd and lascivious act on a child younger than 14, according to authorities.

The initial police investigation started in February, according to police.

His next hearing is scheduled for Oct. 27 at South County Courthouse in Morgan Hill, according to Santa Clara County Deputy District Attorney Tim McInerny.

City of San Jose Revenue Division Manager Wendy Sollazzi clarified that a business tax certificate such as that acquired by the Wolfsmiths is similar to what other cities refer to as a business license, but it alone doesn’t provide a regulatory structure. The certificate itself simply documents that “you’re a registered business” that is conducting business in the City of San Jose, Sollazzi explained.

Certain other industries in San Jose—such as medical marijuana, massage parlors and card rooms—require additional permissions and are subject to further regulations specific to those businesses, Sollazzi added. These regulations are enforced by the city’s police or code enforcement departments.

But personal training is not one of those industries, Sollazzi clarified. In order to acquire a business tax certificate, business owners like the Wolfsmiths must pay the city’s tax and provide essential personal and company information.

“Personal training is not a regulatory environment at this time,” Sollazzi said.

McInerny responded to the news of Wolfsmith’s possible new business, “We are doing everything in our power to protect the community and unwary customers/clients of (the defendant).”

He added that if Wolfsmith had required a license to do business, the “licensing board” would likely consider the accusations against him. But because Wolfsmith doesn’t require a license to be a personal trainer, it falls on the DA’s office to ensure the safety of the community, McInerny said.

Wolfsmith’s attorney Sam Polverino said he is unaware of any effort by Wolfsmith to open another business. He is only handling the criminal case against him, which he says is unfounded.

“The investigation in this case was predetermined,” Polverino said. “This is not an objective investigation. It was subjective, and I think it was biased, and I am shocked this is the way they do things in Morgan Hill.”

He added that the investigating detective tainted the case by telling victims or witnesses what other accusers had said during interviews. He said the detective “formulated an opinion (on Wolfsmith) within 48 hours” of the beginning of the investigation.

If convicted as charged, Wolfsmith faces up to 40 years in prison.

This story originally appeared in the Morgan Hill Times.