Keith Raniere

Keith Raniere is a New York State entrepreneur who is most notable for being the founder of NXIVM. NXIVM has been called a successful executive coaching program by its supporters and a "cult" organization by mainstream news reports and former members."

Background

Raniere is the son of New York City adman and a mother who taught ballroom dancing; he grew up in the bedroom community of Suffern, NY after having spent his first five years in Brooklyn. He arrived in the Albany area at around the age of 16, about the time his mother died, to attend the Rensselaer Polytechnic Institute in 1981, where Raniere triple-majored in math, physics and biology, with minors in psychology and philosophy, earning a BS in Biology.

Raniere originally attracted media attention as a young student for his notably high IQ scores and as a college student for his academic achievements at Rensselaer Polytechnic Institute. In 1988, a test developed by New York philosopher Ron Hoeflin and printed in Omni magazine placed his IQ at between 188 and 194 (Hoeflin confirms the result). The score is said to have landed him in the 1989 Guinness Book of World Records in the category of "Highest IQ". At the age of 27, Raniere was accepted as a member of the Mega Society, a high-IQ society with a minimum requirement at the one-in-a-million level. Raniere gained recognition for answering correctly all but two questions on a 48-question, self- administered test, in which it is stated that Raniere "moved up to the rarified one-in-10-million level."

Consumers Buyline

In 1990, Raniere started a business, Consumers Buyline, a multi-level marketing company near Albany that promised lucrative commissions to old customers for recruiting new ones. Raniere says by the end of 1993, Consumers Buyline had sold $1 billion in goods and services and employed 80 people. He claims he was worth $50 million. In 1996, Raniere was the subject of an investigation by the Office Of The Attorney General of New York State that led to the closing of Consumers Buyline. In the text of the Stipulation and Agreement of Settlement, the attorneys participating in the case stated the following:

"H...The decision of Plaintiff and her Counsel to settle is not an admission that the Amended Complaint lacks merit, but is based primarily on Defendants' weak financial condition and inability to pay an significant judgement which might be rendered in this matter. Based upon these undertakings, the Plaintiff and her counsel have concluded that it will be impossible to obtain a judgment, whether by trial or settlement, which will provide any restitution for the putative Class alleged in Plaintiff's Amended Complaint, that the Defendants are unable to pay the costs of any settlement to the putative Class, that the injunctive relief provided for herein will benefit the putative Class, and that nothing herein will bar or prejudice any member of the putative Class from seeking any relief against the Defendants.

I. The Defendants contend that the Amended Complaint is meritless and have at all times denied, and contain to deny, that they have committed, or have threatened to committed, or have threatened to commit, any wrongful acts or violations of law to any nature whatsoever in connection with the allegations in either the original complaint or Amended Complaint, or any other matter related in any way to any aspect of CBI or its business and operations, or its dealings with CBI members or distributors."

A consent order went on to impose a $40000 fine and barred Raniere from operating a chain distributor scheme in the State of New York only if it violated GBL Section 359-fff.

Founding of NXIVM

In 1997, Raniere met the woman who would become his business partner, Nancy Salzman a psychological nurse. In 1998, Salzman incorporated in Delaware the company that launched Executive Success Programs and applied for patents on Raniere's behavior-modification "technology" called "Rational Inquiry", a technique for organizing training sessions and a specific program of engaging participants in discourse towards greater self-confidence and away from irrational fears and negative influences from people around them. This company is now known as NXIVM, a Delaware Corporation, which is registered to do business in Albany County, New York State.

Media attention has focused on Raniere as the founder of the organization called NXIVM. NXIVM has been called a successful executive coaching program by its supporters and a "cult" organization by its detractors. In response to such criticism, Raniere believes that there is nothing in his organization that makes it a cult, and that many enrollees into the program see Executive Success as a good coaching program.

Involvement with Other Organizations

Raniere is listed as a Conceptual Founder of Ethical Humanitarian Foundation, World Ethical Founders Consortium, and In Lak' Ech. In addition to NXIVM, Raniere is also listed as a Founder of Executive Success Programs, Inc., Jness, A Cappella Innovations, and Rainbow Cultural Gardens.