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Mar 16

Initial research

After revisiting this CieAura claims several times in the past few days, I thought I would compile some of my research to hopefully benefit others from falling for it.

CieAura is one of many companies woven over the past decade to sell these products.

Their management and owners include several criminals who have been found guilty of operating pyramid schemes, and their company design is one that has been repeated over and over.

Some example criminals brought in from the Burnlounge pyramid scheme

Alex Arnold – CieAura owner  – $16,245,799.70 Federal Trade Commission fine from his involvement in Burnlounge.  Now also runs Lexxus International, another MLM.

John “JT” Taylor -  – $620,139.64 FTC fine (http://www.cieaura.com/john-taylor.html)

FTC fines from Burnlounge – A pyramid scheme, making deceptive income claims

FTC-v-Burnlounge-Final-Decision

ftc.gov – Complaint:
FEDERAL TRADE COMMISSION,Plaintiff
v.
BURNLOUNGE, INC.,a corporation;
JUAN ALEXANDER ARNOLD, an individual;
JOHN TAYLOR, an individual;
ROB DEBOER, an individual; and
SCOTT ELLIOTT, an individual;
Defendants.

 

Beyond those from Burnlongue, the setup of the company and its relationships are suspect – a series of companies setup with similar products created in the past 5-10 years run or owned by repeating individuals.

 

Ken Rasner – CieAura CEO, previously Executive VP of LifeWave.  Also co-owner of Harmonic FM.

 

[Correction May 16,2012 - Pointed out by Joel on the MOH forum]

LifeWave (http://www.lifewave.com/) largely spun off from 8ight (http://www.8ight.com/) which sell the same stuff dealing with “intrinsic energy”

 8ight (http://www.8ight.com/)  was formed by Warren Hanchey who had previously been with Lifewave (http://www.lifewave.com/ after Warren Hanchey and David Schmidt had some sort of falling out that left Hanchey publicly saying some uncomplimentary things about Schmidt.  8ight largely sells the same type of product dealing with “intrinsic energy”

[--]

 

CieAura’s HQ address (7251 Lake Mead Boulevard, Suite 300) is really a Regus (http://lasvegas.citysearch.com/profile/map/47283929/las_vegas_nv/regus_hq.html ).  Regus offers the equivalent of combined PO Boxes, answering service, and rental conference rooms.

All of which seem to be front companies for HarmonicFM, which does not sell directly:

http://harmonicfm.com/

The address on their website (http://harmonicfm.com/contact.php) is really a house in Atlanta (http://www.zillow.com/homedetails/3610-Old-Atlanta-Rd-Suwanee-GA-30024/14630265_zpid/) owned by Marvin Barre (http://qpublic4.qpublic.net/ga_forsyth_display.php?KEY=159   029 )

Marvin Barre, who lists his occupation as “Energy Medicine” in his political campaign contributions, also is used as the eventual contact point for power-balance wristbands.   Power Balance wrist bands have been subject of scam exposure on Australian TV also (http://www.youtube.com/watch?v=yd0Gb9EgkHA )

 

8ight also in Suwanne, GA (Same city as Marvin Barre http://www.8ight.com/contact-us/  )  Whose address, as best I can tell is the UPS Store since the shopping strip at that address uses lettered suite names and I know the UPS store mailboxes use numbers.

 

Marvin is listed as a director of Lifewave (http://secure.lifewave.com/pdfs/Directors.pdf  also made a copy of it here)

 

Lifewave and CieAura actually manufacture through HarmonicsFM – again, Ken’s company who apparently manufactures out of Marvin’s house in Georgia.

 

Other than Lifewave, Cieaura, Power Balance, HarmonicFM, and 8ght – I believe a few other companies were mentioned in my research as front companies selling patches and braclets, although I don’t recall there names at the moment.

 

Some interesting commentary from which I derived names and did some of my own research above:

http://repspace.com/forums/t/1652.aspx

http://repspace.com/forums/p/1296/2231.aspx

http://mlmblog.net/site/2010/02/is-cieaura-holographic-an-mlm-a-scam-similar-to-lifewave.html

 

Here is a video demonstrating the ‘tip test’ used in the pitch:

http://www.metacafe.com/watch/6843934/how_to_perform_a_cieaura_tip_test_demonstration/

(with overlay pointing out what is done to scam you – notice how it’s the same technique as Power Bands…)

At the end of the day, it’s a hologram sticker, and you can buy 1000 holograms on a roll for $200 printed in the US – even cheaper if you outsource it. (http://www.novavisioninc.com/pages/prd_transparent_hologram.html)

 

Here is a huge thread on someone trying to track down the printer for Lifewave: http://answers.google.com/answers/threadview?id=541335  Their research exposes 5 or 6 more patch/sticker companies making different health claims  and they tracked down that the stickers are just 3M stock material.  The ‘medical company’, VLV  (http://www.vlvassociates.com/pages/5/index.htm ) is either a auto parts store or an apartment above it:

Google Streeview  of VLV

Regardless, the more I search, the deeper I get in the rabbit hole of inter relationships between these scammers.

 

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