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A former art advisor to Leonardo DiCaprio, among others, has pleaded guilty to defrauding clients of $6.5 million to finance a “luxury” lifestyle in New York City, prosecutors allege.
Lisa Schiff, who ran a contemporary art consultancy in Manhattan, had brokered deals for works by artists including Wangechi Mutu, Sarah Lucas and Chloe Wise, but filed for bankruptcy earlier this year after being sued by former clients.
On Thursday, U.S. federal prosecutors said she had pleaded guilty to one count of wire fraud in connection with the purchase and sale of about 55 works of art.
They alleged that Schiff — who had a list of high-profile clients — pocketed money from her clients to buy art and diverted proceeds from the sale of certain works.
In total, Schiff defrauded “at least twelve clients, one artist, another artist’s estate and one gallery,” New York federal prosecutors said.
“For years, Lisa Schiff betrayed the trust of her art consulting clients by lying to them and diverting millions of dollars that her clients had entrusted to her,” Manhattan U.S. Attorney Damian Williams said in a statement after the agreement.
An attorney for Schiff, Randy Zelin, said the plea deal showed his client “has accepted responsibility. . . and will continue to work to make things right.”
“This is a snapshot in a photo album full of good work [and] professionalism,” Zelin added. “I really hope she will play a role in the art world again.”
Schiff has been a prominent figure in the city’s art scene since launching her SFA Advisory in 2002, and opened her own gallery in Tribeca in 2019.
Last year, she was accused of fraud in two civil lawsuits, including one filed by collector Candace Barasch, who alleged Schiff owed her at least $2.5 million for art purchases that were never fully completed. Schiff’s company filed for Chapter 7 bankruptcy protection in January.
Schiff will be sentenced next year. She faces a prison sentence of up to 20 years, although prosecutors agreed in her plea agreement to seek a prison sentence of up to 51 months.
Her collection, which includes artwork by Damien Hirst, will be auctioned at Phillips in New York next month as part of the bankruptcy process.