Clare Bronfman Deal – ‘Affluenza’ Strikes The EDNY

Editor’s Note: This post has been updated to reflect the fact that Clare Bronfman’s restitution is not limited to the $96,605.25 that she has to pay back to Jane Doe 12. In addition to that specific amount, she will also be held accountable for “the full amount of each victim’s losses as determined by the Court” (We learned of this fact when we obtained a complete copy of Clare’s plea hearing). We are, however, still uncertain at this point as to exactly which “victims” will be covered via that aspect of Clare’s plea deal (We will post an “update” when we have more information on that point). 

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About two weeks ago, the Mayor of New York City, Bill de Blasio, declared a public health emergency – and started ordering mandatory vaccinations for anyone who had not previously received the measles vaccine.

Per the newly issued rules – which have already been upheld in court – the City will fine parents who fail to get their children vaccinated against the viral disease.

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As the measles crisis was playing out throughout the City, another crisis broke out last Friday afternoon in the U.S. District Court for the Eastern District of New York (EDNY).

This latter crisis involved the latest outbreak of “affluenza”.

As defined by the Urban Dictionary, the term “affluenza” refers to excessive affluence that makes rich people think they can pay for any problem to go away.

Clare Bronfman’s picture should now appear in every dictionary that includes that term.

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Although we take great pride in claiming that the American justice system is blind to the differences of those who come before it, the reality is much different than the claim.

Our justice system is, in fact, inherently biased towards those with wealth.

Those like Clare Bronfman who can impose their will on others who do not have enough financial resources to fight back.

That’s exactly what the NXIVM criminal enterprise did with Clare at its helm.

It ran roughshod over Toni Natalie who had the temerity to leave Keith Raniere just as he was creating what would eventually become NXIVM/Executive Success Programs. It drove Toni into bankruptcy – and then attempted to intervene in that proceeding on several occasions.

It trampled over Rick Ross and tied him up in a federal lawsuit that dragged on for more than 14 years. During the course of that lawsuit, NXIVM illegally obtained Rick’s financial records, health records, and personal records in an effort to gain leverage over him.

It destroyed Joe O’Hara because he refused to participate in its illegal activities. Not only did they drive him into bankruptcy, they also manipulated the Albany County District Attorney, David Soares, into indicting him on totally fabricated charges on two different occasions.

Other victims of the NXIVM litigation machine include Yuri Plyam, Barbara Bouchey, Susan Dones, Kim Woolhouse, and Frank Parlato.

And in every instance, it was Clare Bronfman – and, albeit to a lesser degree, her sister, Sara Bronfman – who paid for all the legal firepower that NXIVM used to destroy and silence anyone who was perceived as a danger to its criminal operations.

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And then, after almost 20 years of NXIVM using the legal system to ruin people’s lives, things seemed to have turned around.

First, Raniere was arrested – and charged with several felonies.

Next, it was Allison Mack who was indicted on several felony counts.

And then, wonder of wonders, it was Clare Bronfman – along with Nancy Salzman, Lauren Salzman, and the hapless Kathy Russell – who were suddenly entering “Not guilty” pleas in court.

At last – at long last – it looked like the justice system was going to correct all the wrongs that had gone unchecked and unpunished.

Granted, no law enforcement agency in the Northern District of New York (NDNY) ever did anything to stop the NXIVM criminal enterprise during its two-decades-long run there (Several NDNY law enforcement agents actually aided and abetted NXIVM in its attempt to destroy its enemies).

But at least the EDNY was willing to step in and put an end to the ever-expanding criminality of Raniere and his confederates.

Or so it seemed…until last Friday.

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Prior to last Friday, the victims of the NXIVM crime machine cheered as Nancy Salzman was the first of the six defendants to enter a guilty plea in the case. She pleaded guilty to one count of Racketeering Conspiracy.

In conjunction with her plea, Nancy is facing the following punishments:

– 33-41 months in prison;

– Up to 3-years of supervised released (AKA probation) after she has served her prison sentence;

– A maximum fine of $250,000 – or twice the gross profits of the enterprise – whichever is greater;

– A $100 special assessment; and

– Restitution in the full amount of each victim’s losses as determined by the court.

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Next came Lauren Salzman – who pleaded guilty to one count of Racketeering Conspiracy and one count of Racketeering.

In conjunction with her plea, Lauren is facing the following punishments:

– A to-be-determined amount of time in prison;

– Up to 3-years of supervised released (AKA probation) after she has served her prison sentence;

– A maximum fine of $250,000 – or twice the gross profits or other proceeds of the enterprise – whichever is greater;

– A $100 special assessment;

– Criminal forfeiture of assets as specified in her plea agreement; and

– Restitution in the full amount of each victim’s losses as determined by the court.

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Next came Allison Mack – who also pleaded guilty to one count of Racketeering Conspiracy and one count of Racketeering.

In conjunction with her plea, Allison is facing the following punishments:

– A to-be-determined amount of time in prison;

– Up to 3-years of supervised released (AKA probation) after she has served her prison sentence;

– A maximum fine of $250,000 – or twice the gross profits or other proceeds of the enterprise – whichever is greater;

– A $100 special assessment;

– Criminal forfeiture of assets as specified in her plea agreement; and

– Restitution in the full amount of each victim’s losses as determined by the court.

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Next came Kathy Russell – who pleaded guilty to one count of Visa Fraud.

Kathy is facing the following punishments:

– A to-be-determined amount of time in prison (Note: The judge has indicated her likely sentence will be 6-12 months);

– Up to 3-years of supervised released (AKA probation) after she has served her prison sentence;

– A maximum fine of $250,000 – or twice the gross profits or other proceeds of the enterprise – whichever is greater;

– A $100 special assessment;

– Criminal forfeiture of assets as specified in her plea agreement; and

– Restitution in the full amount of each victim’s losses as determined by the court.

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Which leaves us with Clare Bronfman, the Director of Operations for NXIVM – and its de facto Chief Executive Officer.

Clare Bronfman, the woman who financed all of NXIVM’s operations – and who financed all of its legal actions against its enemies.

Clare Bronfman, the woman who pissed away $28,222,500 [her share] on Raniere’s hairbrained commodities trading formula – and followed that up by blowing another $13,000,000 [her share] on his real estate investment plan in Los Angeles, CA (She also spent at least another $5,000,000 in legal fees trying to prove that the developer for the real estate project had done something wrong).

Clare Bronfman, the woman who spent $1,000,000 to obtain the banking and personal records of several federal judges – and other people who were considered to be enemies of NXIVM.

Clare Bronfman, the woman who hired attorneys in Mexico to threaten potential witnesses against her and her co-defendants.

Clare Bronfman who paid private investigators $1,000,000 to hunt down a woman who fled from Keith Raniere.

Clare Bronfman who paid an estimated $25,000,000 in legal fees to pursue various enemies of Keith Raniere and Nxivm.

Clare Bronfman, the woman who paid for all the legal fees of her co-defendants – and who picked out the attorneys who would represent them.

Clare Bronfman, the woman who set up a $500,000 trust fund to take care of one of Raniere’s baby mamas and her child.

Clare Bronfman, the woman who perjured herself in an unsuccessful attempt to have criminal charges brought against Sarah Edmondson.

Clare Bronfman, the woman who perjured herself in a successful attempt to have criminal charges brought against Joe O’Hara, John Tighe and Toni Natalie.

Clare Bronfman, the woman who perjured herself in a successful attempt to have criminal charges brought against Frank Parlato.

Given all that, one can only imagine just how harsh her penalties would be if she were to plead guilty in the case of the U.S. v. Raniere Et Al.

Yeah, well, not so much…

To the shock and chagrin of many, Clare Bronfman pleaded guilty last Friday to one count of harboring an illegal alien – and one count of fraudulent use of another person’s identification.

That’s it.

No Racketeering Conspiracy charge – and no Racketeering charge – for her despite the fact that she was the head of the racketeering organization that others pleaded guilty to being part of.

And her punishment?

– 21-27 months in prison;

– Up to 3-years of supervised released (AKA probation) after she has served her prison sentence;

– A fine of $6,000,000 in lieu of any forfeiture of assets;

– A $100 special assessment;

-$96,605.25 to Jane Doe 12; and

– Restitution in the full amount of each victim’s losses as determined by the court.

As if Clare’s light punishment was enough of an affront to decency and fairness, there is a persistent rumor that she was also given a Non-Prosecution Agreement by the NDNY.

Should that be the case, there may be several parties who will formally protest her plea deal.

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Coming next: More on how Clare’s plea deal could make it much more difficult for the victims of NXIVM to recover damages and who made the call to let Clare skate away with less than $100,000 of restitution? 

K.R. Claviger