The in-laws are keeping former Tyco exec Mark Swartz out of jail.
A Manhattan judge yesterday tentatively accepted a $5 million bail package assembled by the former CFO’s parents, in-laws and wife’s aunt, allowing Swartz to stay out on the street until he and co-defendant Dennis Kozlowski stand trial on charges they bilked Tyco out of $600 million.
“I’m satisfied that this is an appropriate bail package,” Justice Michael Obus said of the property, cash and securities that were put up by Swartz’s family.
About two-thirds of the money came from Swartz parents, Leonard and Brenda, while his wife Karen’s parents, Fred and Marilyn Metcalf, and aunt, Joan Stewart, put up the other third, Swartz lawyer Charles Stillman said.
In addition to laying out enough money to secure Swartz’s bond, each of the four agreed they could be held liable for the entire bond amount – $50 million – if he skips his next court appearance.
“He has put his family on the line,” Stillman said.
Prosecutor John Moscow said he was concerned the family members may be playing a sort of shell game, because Swartz at some pointed had transferred $60 million to his dad, but Obus said the funds the family put up was apparently clean.