Her assistant Stuart Smith was also arrested and charged Tuesday.
Prosecutors did not ask for either of them to remain in custody, and Judge Pead ordered them released without bond. The terms of the release include prohibiting the pair from engaging in telemarketing while their case is pending. They also are not allowed to move more than $10,000 out of their personal accounts without the permission of prosecutors.
Both Shah and Smith were ordered to remain in Utah. Shah’s next court appearance is scheduled for Wednesday as a virtual hearing with the US District Court, according to the US Attorney’s Office spokesperson.
It was not clear if Smith has obtained an attorney as of Tuesday afternoon. CNN reached out to Shah’s attorney for comment but has not received a response.
Bravo has declined to comment.
An alleged nine-year scheme
The charges stem from a nine-year scheme in which prosecutors say Shah and Smith “sold alleged services purporting to make the management of victims’ businesses more efficient or profitable.” These services included tax preparation and website design services, though many of their elderly victims did not own a computer, the release said.
Part of the scheme also included Shah and Smith allegedly trafficking lists of potential victims, called “leads.” Many of the victims had already previously made an initial investment to create an online business with other participants in the scheme, the release said.
Shah and Smith also “undertook significant efforts” to hide their role in the scheme. Part of these efforts included incorporating their business entities using third-party names and telling other participants to do the same.
The duo also directed others to use encrypted messaging applications to communicate with other members of the scheme, instructed them to send shares of certain fraudulent proceeds to offshore bank accounts and “made numerous cash withdrawals structured to avoid currency transaction reporting requirements.”
“Shah and Smith flaunted their lavish lifestyle to the public as a symbol of their ‘success.’ In reality, they allegedly built their opulent lifestyle at the expense of vulnerable, often elderly, working-class people,” said Peter C. Fitzhugh, special agent-in-charge of the New York Field Office of Homeland Security Investigations.
The first season of “The Real Housewives of Salt Lake City” debuted in November 2020.
“My background is in direct response marketing for about 20 years, so our company does advertising,” she said in response. “We have a platform that helps people acquire customers, so when you’re shopping online or on the Internet, and something pops, we have the algorithm behind why you’re getting served that ad.”