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According to his partner Jim Hutton, Mercury was diagnosed with AIDS shortly after Easter of 1987. Around that time, Mercury claimed in an interview to have tested negative for the HIV virus. Despite the denials, the British press pursued the rampant rumours over the next few years, fuelled by Mercury's increasingly gaunt appearance, Queen's absence from touring, and reports from former lovers to various tabloid journals. Toward the end of his life, he was routinely stalked by photographers, while the daily tabloid newspaper The Sun featured a series of articles claiming that he was seriously ill. However, Mercury and his colleagues and friends continually denied the stories, even after one front page article published on 29 April 1991, which showed Mercury appearing very haggard in what was now a rare public appearance.

On 22 November 1991, Mercury called Queen's manager Jim Beach over to his Kensington home, to discuss a public statement. The next day, 23 November, the following announcement was made to the press on behalf of Mercury:

Following the enormous conjecture in the press over the last two weeks, I wish to confirm that I have been tested HIV positive and have AIDS. I felt it correct to keep this information private to date to protect the privacy of those around me. However, the time has come now for my friends and fans around the world to know the truth and I hope that everyone will join with me, my doctors, and all those worldwide in the fight against this terrible disease. My privacy has always been very special to me and I am famous for my lack of interviews. Please understand this policy will continue.

A little over 24 hours after issuing that statement, Mercury died on the evening of 24 November 1991 at the age of 45. The official cause of death was bronchial pneumonia resulting from AIDS. The news of his death had reached newspaper and television crews by the early hours of 25 November.

Although he had not attended religious services in years, Mercury's funeral was conducted by a Zoroastrian priest. Elton John, David Bowie and the remaining members of Queen attended the funeral. He was cremated at Kensal Green Cemetery and his ashes scattered in an undisclosed location.

In his will, Mercury left the vast majority of his wealth, including his home and recording royalties, to Mary Austin, and the remainder to his parents and sister. He further left £500,000 to his chef Joe Fanelli, £500,000 to his personal assistant Peter Freestone, £100,000 to his driver Terry Giddings, and £500,000 to Jim Hutton. Mary Austin continues to live at Mercury's home, Garden Lodge, Kensington, with her family. Hutton was involved in a 2000 biography of Mercury, Freddie Mercury, the Untold Story, and also gave an interview for The Times for what would have been Mercury's 60th birthday.

Source: Wikipedia.org