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Latest Filing Provides Evidence that Nancy Salzman has Flipped

The latest filing by the prosecutors in the pending criminal case against Keith Raniere, Clare Bronfman, Allison Mack, Nancy Salzman, Lauren Salzman, and Kathy Russell seems to lend credence to the persistent rumor that Nancy Salzman is negotiating – or has negotiated – a plea deal with the prosecution.

Here are some of the reasons why I say that:
– Only three of the defendants – i.e., Keith, Clare, and Nancy – are asserting that they have any claim of attorney/client privilege with respect to any of the materials that have been seized by the government as potential evidence.

– Even though it is not a named defendant in this matter, the corporate entity NXIVM has now retained its own counsel – Michael J. Sullivan – and is now making its own representations with respect to some of the issues concerning the attorney/client privilege claims that are being asserted by Keith and Clare.

– Although Keith has often claimed that he was the co-founder of NXIVM – and although Clare has described herself as NXIVM’s Director of Operations – it is believed that neither of them has any provable ownership interest in the company and/or any documentation to show that they were ever employed by the corporation. That leaves Nancy as the one who is in sole control of what NXIVM does – or doesn’t do – in this case.

– A disagreement has apparently developed in terms of what sort of claims of attorney/client privilege Clare can assert. One example of this disagreement concerns an attorney named Jonathan Ware who worked on a variety of immigration-related matters for NXIVM-related individuals (More on him in a future post). In this regard, Clare has asserted that in her capacity as a representative of NXIVM, she is entitled to attorney/client privilege regarding all her communications with Mr. Ware. But the attorney representing NXIVM has asserted that if any such privilege exists, it is in Clare’s capacity as an individual and not as a representative of NXIVM (He also claims that Mr. Ware never represented NXIVM).

– Another disagreement has developed as to whether there are/were any “Joint Defense Agreements” in place between NXIVM and any of the individual defendants. Keith and Clare claim that such agreements exist – but NXIVM’s attorney claims there are no such agreements.

So, what does all this mean?

Well, to begin with, it appears that Keith and Clare are working hand-in-hand on all the issues that have arisen regarding their assertions of attorney/client privilege with respect to the seized materials.

But Nancy does not appear to be part of that team.

And NXIVM – which, as noted earlier, is apparently under Nancy’s sole and absolute control – is disputing at least some of the claims being asserted by Keith and Clare.

If Nancy has decided to cut a deal for herself – and maybe for her daughter, Lauren – she would likely not be doing anything to help Keith and Clare right now. Nor would she be directing NXIVM’s attorney to be doing anything to help them – which is certainly what seems to be happening here.

Whatever is going on should get a lot clearer next week. That’s because the Magistrate Judge who is overseeing this aspect of the case, the Honorable Vera Scanlon, has scheduled a Status Conference at 3:30 PM on Tuesday, December 4th, to hear arguments from all the affected parties about any issues concerning attorney/client privilege claims.

That could be the start of a really bad week for Raniere. Because on Thursday, December 6th, he – along with all his co-defendants – will be appearing before Judge Nicholas G. Garaufis at a Status Conference concerning the criminal case itself. And if Judge Garaufis has not already done so prior to that date, he may issue a ruling on Raniere’s pending bail motion at the December 6th conference.

Who knows? Judge Garaufis may even play Raniere’s now-infamous YouTube video – which was part of his bail application package – in open court.

That would certainly guaranty a full courtroom…

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  • Nancy is not innocent. She ran an MLM organization designed to feed those at the top and starve those at the bottom all in the name of saving humanity and an ethical world. She signed off on all financial and legal matters that hurt others and ignored KAR’s sexual abuse because it protected her power as queen of the empire.

    Of course, she’s making a deal or has already consummated it She’s pissed at Rainiere for ruining her empire and doesn’t want to go to jail for a cause that has no profitable gain. So, she’s out there trying to collect $1,250/hour offering individual consulting.

    In the end, Nancy needs to get honest with herself and make amends to the people Nx hurt or deceived. Deal or no deal, she’s needs to get herself straight and be straight with others.

  • Get the bastard, Nancy.

    Lauren – Your Mom can’t go back in time and keep you away from him, but if she could, she would. I hope you can appreciate her as she finally overcomes her “music stand”. I also hope you are fully supporting her as your well-being is undoubtedly being placed above her own.

  • Poor Judge Garaufis, a respected judge having to listen to the Nxivm comedy act. I imagine if he writes a book one day this trial will go down in history as one of the strangest he presided over. Those first 2 pages on the bail filing are great dinner party reading, along with the video which goes great with the after dinner brandy and coffee!

  • No one at NXIVM was hired to work for NXIVM. Almost everyone who worked there other than Nancy Salzman , the owner, worked as private contractor.

    Keith Raniere owned a percentage (10% is what I was told by Salzman), of First Principles. FP owned Rational Inquiry which is the training program Executive Success Program used for Ethos and Origins programs, (when combined, made up the entire 16 day intensive).

    Executive Success Programs also had a coach training track.

    ESP became NXIVM after the Forbes article tarnished ESP. This was an attempt to cover up bad press. NXIVM also became the Umbrella Corporation for many other programs like Jeness. I left before the University, DOS/SOP, and other programs so where they fit in I have no knowledge.

    Raniere was behind all of these programs and was the Master Mind for all things evil. Most of the thousands who took training from NXIVM never saw the Cult of Raniere, they simply took the first level training and left.

    Not everyone who went beyond the 16 day training saw the Cult aspects. When some discovered this evil, they left right away, some took longer and some stayed until the house of cards fell, some still are in full support of the Cult.

    The Cult crap was tightly controlled by Raniere and took place in Knots Woods and off campus.

    Nancy Salzman was a key figure in the brainwashing and extortion of factors that either NXIVM or the Cult could use. Salzman protected Raniere and I believe she was afraid of him. She is not innocent in their crimes legal or against humanity.

    • But companies have to be registered with NY Sec of State and function as companies – board members, directors, shareholders, meetings, tax records filed etc.

      You cannot just create companies as a shell game to hide ownership. If you do, you can be sued individually. So Nancy, Keith, Lauren, etc., could all be sued personally for fraud related to NXIVM.

      • Raniere has never believed that he was subject to any “rules”. That certainly includes New York State’s “rules” regarding corporations.

        Last I knew, there were more than 100 different companies, some with the same name, operating under the NXIVM umbrella. Most of these were shell corporations that were simply used to move money around or make one of his acolytes feel important because Raniere had set up a special company for her.

        When the feds finally getting around to looking at the financial aspects of Raniere’s criminal enterprise, this whole house-of-cards will come tumbling down.

        One of the key people that the feds will be talking to is fake CPA Matt McMorris. Hopefully, he’ll be smart enough to tell the truth when the FBI and IRS agents show up to question him. Otherwise, he will be going away for at least 5 years just on the perjury charges.

    • I do believe that many did not see the evil. But how could anyone explain the bowing, handshakes, calling Nancy Prefect and creepy Keith whom most never saw the first year Vangaurd without suspicion that this was not an ordinary training in executive success? It defies logic to me, it’s not simple naivete as most were intelligent people on their way to success already. At least until they started on the stripe path.
      I am still holding out hope that Nancy has flipped. As her choices in life seem to be to her benefit why change now.
      As I said yesterday Catherine Oxenberg is a true mother, I can’t say the same for Nancy Salzman. There are those of us who would die to save our children and those who would sell their children out.
      Flipping on Nxivm won’t make up for Nancy’s choices but it would be a start.

    • It wouldn’t surprise me if Nancy hated the whole idea of DOS. She might blame Allison Mack not only for dragging Lauren into it, but for bringing down the whole NXIVM house of cards. In this scenario, Allison is the fall guy for everyone involved, regardless of whether they flipped or stayed loyal to Keith.

    • She must have very early on. Her name has not come up once since arrests. Is she possible a Jane Doe? Unlikely I suppose , she must have been in contact with feds early on.

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