A federal judge has released a claim on the property of the late Rick Siskey, the Charlotte businessman accused of operating a long-running Ponzi scheme, as the family’s SouthPark mansion moves closer to a sale, according to a court filing Tuesday.
Federal authorities first put a claim on the home in December in the first public indication that Siskey was under investigation for fraud allegations. He took his own life later that month and in January an unsealed FBI affidavit alleged he was running a Ponzi scheme that cost investors millions.
Siskey’s prominent Sharon Road home went on the market in April with an asking price of $5.5 million. As of July, the home has been under contract with an unidentified buyer.
An attorney for Siskey’s widow, Diane, has said she plans to use the proceeds “as additional funds to help repay investors.”
U.S. Magistrate Judge David Cayer signed an order releasing the claim after federal authorities advised there was a bankruptcy trustee in place “who is monitoring a sale of the property and appropriate disposition of the proceeds, and that the sale is arm’s length and for fair market value.”
After his death, four Siskey companies were pushed into federal bankruptcy court in Charlotte, and filings show that more than 100 investors have submitted claims exceeding $49 million. However, a court-appointed bankruptcy trustee, Joe Grier, is still examining the claims and combing through Siskey’s assets. Final claims are due Aug. 23.
An estate auction of items ranging from Bentley automobiles to diamond jewelry in July raised about $2.1 million, adding to the proceeds going to investors. Diane Siskey has also pledged to set aside $37.5 million of the $47 million in life insurance proceeds from her husband’s death for investors.