U.S. Attorney’s Office
May 07, 2012
District of Nebraska
Omaha Man Convicted of Wire Fraud
United States Attorney Deborah R. Gilg and the Federal Bureau of Investigation announce the following information for the attention of the media:
David Lane Musk, age 53 of Omaha, Nebraska, was found guilty by a United States District Court jury on three counts of wire fraud. Musk was indicted by a federal grand jury on fraud charges relating to a scheme to defraud individuals seeking funding for large real estate development projects.
Musk was operating out of a west Omaha location under the business names of Pavilion Capital Group or Pavilion Commercial Group. Musk represented to people seeking private equity funding that he had connections with a number of investor funds which could be used to finance such projects. Musk represented to each of the principals for the development projects that his connections to those with money required a complete FBI and Interpol background check for each prospective principal of the development projects. Musk charged $600 for the background checks with full knowledge that he did not have any connections to the equity funding sources he claimed to represent. Further he did not have the ability, nor intention, to procure FBI or Interpol background checks.
Musk, who has a 2001 felony conviction for identity theft, is subject to the maximum sentence of 60 years of incarceration and a fine of $750,000. Judge Joseph F. Bataillon allowed Musk to remain free on release conditions which include Musk taking down all Internet websites he has used in connection with the marketing of his real estate business under his true name, David Lane Musk, or under any other name that he has used, including Dan Musk and Pavilion Capital or Pavilion Commercial. Judge Bataillon set sentencing for August 3, 2012.