Before artistic adviser Lisa Schiff made headlines for allegations of fraud and conspiracy, she was widely known for counting Leonardo DiCaprio among her former clients. Today, DiCaprio works with art consultant Ralph DeLuca.
But despite Schiff and DiCaprio’s working relationship ending more than five years ago, some say she’s continued to generously use her former relationship with the actor to boost her career.
The New York-based consultant, who is currently the subject of lawsuits accusing her of misappropriation of payments, rose to prominence as the founder of SFA Advisory and a collections consultant for a clientele of stars. She has helped DiCaprio, who is an avid art collector, collect works by artists like Jean-Michel Basquiat and Jean-Pierre Roy, in addition to hosting auctions for his eponymous foundation.
Artist Kenny Schachter first reported that Schiff and DiCaprio were no longer working together in a 2017 opinion piece for Artnet News. In a recent column, Schacter said Schiff threatened him with legal action at the time for breaking the news.
DiCaprio has since worked with DeLuca, who has known the actor since 2001.
“A lot of what I do is collaborative, so I’m as particular with who I work with as I am with the art I buy,” DeLuca, who runs an art consulting firm, told Observer by e. -mail. Besides DiCaprio, he also works with stars like Sylvester Stallone.
Sources also said Schiff would purchase works in the star’s name to turn around, according to Schachter. Artnet News column.
“It was problematic for her to continue, after the working relationship ended, to continue to use her name,” Todd Levin, artistic adviser and director of the Levin Art Group, told Observer. “She always claimed to represent him as his adviser, even when she was no longer one.”
He also noted that Schiff sometimes didn’t make it clear to the press that she no longer worked with DiCaprio or his foundation when she was called an adviser in recent years. “Obviously it’s a high-profile name,” Levin said. “I understand why she was doing it, although it’s a very reckless thing to do.”
Was Schiff running a Ponzi scheme?
Schiff’s SFA Advisory office and showroom in New York has since closed, as has its London outpost, after the adviser was hit with two lawsuits this month by clients.
On May 11, real estate heiress Candace Carmel Barasch and attorney Richard Grossman accused the prominent adviser of “effectively running a Ponzi scheme,” according to a lawsuit filed in the New York Supreme Court. They allege Schiff still owes them $1.8 million for proceeds from the sale of Adrian Ghenie’s uncle 3. Co-owned by Barasch, Grossman and Grossman’s wife, the painting was sold by Schiff through Sotheby’s Hong Kong in December 2022 for $2.5 million.
Barasch soon filed a second lawsuit against Schiff, who had been his close friend and artistic adviser for two decades. After learning of the Ghenie case, a number of galleries contacted Barasch and alerted her to the fact that Schiff had not honored payments for works that Barasch had sent his advisor funds to purchase, according to the complaint of May 17.
This model is said to have been seen in more than a dozen sales, including the sale of a sculpture by Sarah Lucas at the Gladstone Gallery in Manhattan. Barasch claims the gallery has not received any payment for the work, although it sent Schiff $390,000 for the work in March 2020. Over the past 18 months, Barasch said she has paid to his adviser more than $6.6 million, much of which was never used for purchases of works of art.
It seems that Schiff’s behaviors may have extended beyond Barasch and Grossman. On May 9, she emailed at least seven clients, saying she had “fallen into incredibly difficult financial times” and that she “is indebted to you and others and is simply unable to meet my obligations,” according to the complaint.
According to Levin, who is also a longtime board member of the Association of Professional Art Advisors (APAA), there is no one right way to conduct an art advisory business. However, the organization has strict ethical guidelines for its members, such as prohibitions on selling from its own inventory to its customers or representing artists, to avoid conflicts of interest.
“If you’re not a member, in no way does the shape or form damage your reputation,” Levin said. “But in this particular case, we have someone who was not a member who appears not to have been working in the best fiduciary interests of a client.”
Schiff did not respond to Observer’s requests for comment.
