Lisa Schiff, a once-prominent New York art adviser whose clientele included Hollywood actor Leonardo DiCaprio, was sentenced on Wednesday to 30 months in federal prison after pleading guilty to defrauding her clients out of $6.5 million in art sales.
The 54-year-old former head of Schiff Fine Art stood tearfully in Manhattan federal court, addressing former friends and clients seated behind her, many of whom she had deceived.
“I stand here as a criminal who hurt clients, colleagues, and friends,” Schiff said, as cited by Euronews. “I am a guilty person and I am prepared to face my punishment. I am scared, but I am ready.”
Prosecutors detailed how Schiff lived lavishly off stolen funds, using client money to pay for a $25,000-a-month Manhattan apartment, a $2 million business space, luxury vacations in Europe, shopping sprees at designer boutiques, and stays at high-end hotels.
Schiff had presented herself as a trusted art adviser to elite clients, but behind the scenes, she was orchestrating a years-long scheme.
Between 2017 and 2022, she defrauded at least 12 individual clients, an artist, the estate of another artist, and an art gallery, misusing millions intended for the purchase or resale of 55 works of art.
Her actions only came to light after mounting lawsuits in 2023 exposed irregularities in her business dealings.
Victims Share Betrayal
Among those present in court was Michael Barasch, one of Schiff’s victims, who told the court that his family had embraced Schiff personally, welcoming her into their home and lives.
“Your disgraceful conduct goes well beyond stolen money,” Barasch said. “You broke my wife’s heart. You were her best friend, or so she thought.”
He estimated the total financial damage to victims may be closer to $10 million, when factoring in the legal and investigative fees now being incurred to recover lost funds.
“No victim will ever be made whole,” he said. “Shame on you.”
A Lighter Sentence Than Expected
Judge J. Paul Oetken, who imposed the sentence, called Schiff’s crimes “quite brazen,” noting that she carried out the fraud over five years and targeted more than a dozen clients.
Schiff was also ordered to serve two years of supervised release following her prison term.
Additionally, she was ordered to pay $6.5 million in forfeiture and more than $9 million in restitution.
Although wire fraud can carry a sentence of up to 20 years, the government recommended a lower range of 3.5 to 4.25 years as part of Schiff’s plea agreement.
She is scheduled to report to prison on July 1.
