Wednesday, Nov. 27, 2002 | 9:22 a.m.
Two homes were raided in Las Vegas, and documents were confiscated in connection with an alleged pyramid scheme that targeted students at UNLV, the attorney general's office said Tuesday.
Police searched the homes of Danny Bae and Shan Qureshi, Monday night, Deputy Attorney General Tracey Brierly said.
Brierly said the company, Vizion One, is owned by David Braun of Rowland Heights, Calif., who may have run a pyramid scheme in California also.
The three men are believed to have been operating the businesses for three or four months, promoting a product that doesn't exist, Brierly said.
Brierly said charges were pending against the three men Tuesday. They could not be located for comment Tuesday.
Brierly said the search warrants were generated after undercover agents attended recruitment meetings aimed at enticing people to pay $295 to join Vizion One. The new recruits, Brierly said, would be authorized to recruit others to join and pay their $295.
At one session attended by the agents, about 55 University of Nevada, Las Vegas, students were in the audience, authorities said.
They said Braun promised those in the audience that they would make a "ton of money." The promotion, Brierly said, was "spreading across the UNLV campus."
Vizion One was marketed as an Internet service provider, according to seized documents. At the end of the presentation, however, the audience was told that the Internet service was not yet available.
Brierly said investigators are still examining the records to determine how much was split with each recruit who brought in a new member. As a recruit signed up a new member, he or she would receive part of the $295. And if the second recruit signed up a third person, both the first and second parties would get money.
There was no immediate estimate of how many members signed up or how much was paid into the company.
After investigators determine how much money was involved, Bae, Qureshi and Braun may be charged with theft by obtaining money under false pretenses, racketeering, operating a pyramid promotion scheme and misdemeanor violations of the Deceptive Trade Practices Act, Brierly said.
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