Riley Keough, the granddaughter of Elvis Presley, is challenging plans to auction the Graceland estate in Memphis. A company has moved to sell the property, alleging that a loan using Graceland as collateral was not repaid. Keough’s lawyers say the alleged loan in question is fraudulent.
Scheduled for auction this Thursday, the sale was blocked by a Memphis judge following Keough’s request for a temporary restraining order and her filing of a lawsuit, according to court documents. The public notice for the foreclosure sale posted earlier in May stated that Promenade Trust, which oversees the Graceland Museum, owes $3.8 million after failing to repay a 2018 loan.
Keough inherited the trust and ownership of the property after the death of her mother, Lisa Marie Presley, last year. The lawsuit indicates that Lisa Marie Presley had used Graceland as collateral for the loan. Naussany Investments and Private Lending claims Lisa Marie Presley did not repay the loan and thus sought to auction the estate on the courthouse steps, according to the foreclosure notice.
FRAUDULENT DOCUMENTS.
Keough filed the lawsuit last week on behalf of the Promenade Trust, alleging that Naussany presented fraudulent documents related to the loan and the amount claimed unpaid. “These documents are fraudulent,” Keough’s lawyer stated in the lawsuit. “Lisa Marie Presley never borrowed money from Naussany Investments and never issued a deed of trust to Naussany Investments.” W. Bradley Russell, a lawyer representing Naussany Investments, declined to comment on Tuesday.
An injunction hearing is set for Wednesday in Shelby County Chancery Court.
“Elvis Presley Enterprises can confirm that these claims are fraudulent. There is no foreclosure sale. The countersuit has been filed to stop the fraud,” said Elvis Presley Enterprises Inc. in a statement on Tuesday.
Graceland has operated as a museum and tourist attraction since 1982, honoring Elvis Presley, the rock ’n’ roll legend who passed away in August 1977 at age 42. The site attracts hundreds of thousands of visitors each year.