Internal Revenue Service auctioneers sold the 104-room Mustang Ranch, once Nevada's largest brothel, for $1.49 million while former owner Joe Conforte stood on the sidelines discussing plans to legalize prostitution in California. The IRS said Conforte owed $13 million in back taxes.
Buyer Victor Perry, a Reno attorney who left immediately after a series of quick bids that started at $1.2 million, said only that he purchased the 400-acre facility for a client he declined to name.The IRS attempted to open bids Tuesday at $10 million, but there were no takers.
The buyer is the brother of Peter Perry, an attorney who represented Conforte in bankruptcy proceedings.
Victor Perry told reporters Tuesday that neither his brother nor Conforte was involved in his bid.
The IRS seized the Mustang Ranch through foreclosure proceedings when Conforte failed to make his $75,000 a month payment on back taxes.