Nygard seeking bail on U.S. charges of sex trafficking, racketeering

Lawyers for the Attorney General of Canada are questioning one of fashion mogul Peter Nygard’s former business executives who is offering him a place to live if he is granted bail.

A two-day bail hearing is underway in Winnipeg for Nygard, who was arrested in December under the Extradition Act and faces nine counts in the southern District of New York, including sex trafficking and racketeering.

Lawyers are questioning Greg Fenske, a former Nygard executive, about how money moved to him to purchase a house that he has offered for Nygard to stay at.

“This is ultimately Mr. Nygard’s money,” Scott Farlinger, a lawyer for the Attorney

General of Canada, said Tuesday.

Fenske told court he lost his job when Nygard’s companies went into receivership last March. He doesn’t work directly for Nygard now, he said, but pays himself through a numbered company that does consulting work for the fashion mogul.

That company purchased the home suggested for Nygard if he is released on bail.

Fenske described his current full-time job as dealing with the Nygard receivership. He said his relationship with Nygard is mutually respectful but they never associated outside of business.