Sunday, 28 August 2016
Last updated 1 day ago
Apr 14 2011 | 1:29am ET
Baubles owned by Ponzi schemer Arthur Nadel’s wife and the ex-wife of one of his partners netted almost $600,000 for the fraud’s victims, the court-appointed receiver in the case said.
A Chicago auction house sold some 39 items seized from Peg Nadel, Sharon Carter, the former wife of Neil Moody, and a Sarasota, Fla., jewelry store part-owned by Moody and his son, Christopher. The Moodys owned three of the six hedge fund managed by Nadel in the $160 million Ponzi scheme.
Nearly half of the $643,000 raised came from an 8.48-carat diamond ring, formerly owned by Carter, which fetched $292,800. A platinum-set diamond ring once on sale at the jewelry store sold for $231,800.
Nadel’s victims will split more than $591,000 raised at the auction, with the rest paying the auction house’s commission.
“Through the expertise of Leslie Hindman Auctioneers, we were able to recover well above the estimated value of many of these items,” receiver Burton Wiand said.
Indeed, the 39 items were estimated to garner between $300,000 and $500,000. But the items were once valued at nearly $1 million.
Nadel is serving 14 years in prison after pleading guilty to fraud charges.