A privately owned Fiji island has been linked to a high profile court case in the US involving suspected sex cult NXIVM.

Wakaya Island is 80 per cent owned by billionaire Seagrams heiress Clare Bronfman who has been arrested as part of the group on racketeering conspiracy charges.

TVNZ reports , Bronfman has been released after posting bail of 100 million US dollars after prosecutors deemed her a flight risk because of her Fiji island ownership.

Bronfman is accused of running a pyramid scheme to help finance NXIVM leader Keith Raniere.

Federal prosecutors allege female members of the group were expected to have sex with the NXIVM leader and former members say they were branded with his initials.

US attorney Richard Donoghue says Clare Bronfman was part of an inner circle who ‘committed a broad range of serious crimes from identity theft and obstruction of justice to sex trafficking, all to promote and protect Raniere and NXIVM’.

Others who have been arrested include TV series Smallville actress Allison Mack who has been charged with sex trafficking.

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