Former NXIVM president sued over failure to comply with civil settlement
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ALBANY — A lawsuit filed Nov. 8 in state Supreme Court in Albany County alleges Nancy Salzman, the former president of NXIVM, is failing to comply with a financial settlement with the cult-like organization’s victims.
In 2020, nearly 70 people filed a civil lawsuit against Salzman as well as NXIVM founder Keith Raniere and other former NXIVM leaders. As part of the settlement, Salzman agreed to sell three properties in Halfmoon she owned through an limited liability company, with the plaintiffs signing off on the sale prices for those properties.
Two of the properties sold for $167,500 and $230,000, respectively, in 2023; the third, a condo, sold in April for $190,000. The victims’ portion of the net proceeds from the third property’s sale was supposed to be $155,687.
Salzman, through a law firm that is holding the proceeds in escrow, claims she needs the money to pay more than $116,189 in capital gains taxes from the sale of the three properties, according to court documents. She has instructed the firm not to release the money without a court order.
Attorneys for the plaintiffs noted in their complaint that the settlement agreement doesn’t contain any language about Salzman’s tax responsibilities.
Salzman was released from a federal halfway house earlier this year after serving less than 20 months of prison time for the crimes she committed as Raniere’s top deputy in NXIVM, which collapsed in 2018 following the arrests of Raniere, Salzman and other members of its inner circle.
Content retrieved from: https://www.timesunion.com/news/article/former-nxivm-prefect-sued-failure-comply-civil-19906984.php.
