Canadian fashion mogul Peter Nygard, 79, has been indicted on charges of racketeering and sex trafficking by the United States Attorney’s Office for the Southern District of New York, National Post reports.
Nygard was allegedly involved in sex trafficking in "the United States, Bahamas, Canada, and elsewhere," according to a news release from the Attorney's Office. 57 women, 18 of whom are Canadian, have joined the lawsuit against Nygard
Nygard was arrested in Winnipeg by RCMP officers on Tuesday under the Extradition Act facing extradition to the United States.
The Finnish-born multi-millionaire founded Nygard International, a women's clothing company, in 1967. He served as chairman of the company until he stepped down in February of this year after police raided his New York office. The raid came about after Nygard was accused by ten women of raping them in the Bahamas. Six of the ten women were under the age of 16 when they were allegedly subjected to sex trafficking by Nygard.
Since then, dozens of other women have joined the lawsuit alleging sex trafficking.
The women offer a story that has often been repeated by victims of sex trafficking. They were lured to meet the fashion mogul after being offered careers in modelling or fashion. Many of them alleged that they were drugged by Nygard or his accomplices, and were eventually forced into the business of sex trafficking. Women who sought to come forward with the allegations were threatened with prosecution, jail time, civil litigation, reputation harm, and the release of false and embarrassing information for the purpose of discrediting them.
The lawsuit also claims that "Nygard also paid people, using Nygard Company money, to intimidate his former ‘girlfriends’ by slashing their tires, committing arson, paying police to threaten to arrest them and by having them followed."
Accusers have even alleged that Nygard has a database where women who came to his events would be profiled. They allege that up to 7,500 women are listed in this database.
A separate suit was filed against Nygard this year by two of his seven sons, who alleged that they were raped at Nygard's direction when they were in their teens.
Nygard has denied all accusations and has alleged that the allegations from the women were fabricated by a billionaire rival of his in the Bahamas. Nygard is also claiming that the New York court lacks the jurisdictional authority to hear the case. His lawyer says that Nygard is "ready to fight these charges."
Nygard was first accused of rape as far back as 1980 by an 18-year-old in Winnipeg, although the charges were eventually dropped.
The women's lawsuit alleges that Nygard "initiated a scheme to purchase police protection and political cover in the Bahamas by making regular payments of tens of thousands of dollars to law enforcement, government officials, regulators and even to a former cabinet minister who became the prime minister of the Bahamas."
Campaign donation records also reveal that Nygard International donated at least $15,209.04 to the Liberal Party of Canada and their riding associations between 1997 and 2005. Two of these donations went to the riding associations of former Liberal MPs Belinda Stronach and Reg Alcock, both of whom were cabinet ministers under Prime Minister Paul Martin at the time. Jay Prober, Nygard's lawyer, also donated $1,435.24 to the Liberal Party between 1993 and 1998.
An additional $6,000 was donated to the Liberal Party by a company called Nygardco, which, like Nygard International, is also based out of Winnipeg and donated to one of the same riding associations as Nygard International. No company in Canada is registered as "Nygardco" and it is unclear whether these donations also come from Nygard's company.
Nygard has not been found guilty of any crimes in a court of law and is scheduled to have a bail hearing on Jan 13, although his lawyers are pushing for an earlier hearing citing his old age being a threat to his life in a prison during the coronavirus pandemic.
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