Art Market Crises: A Crooked Art Dealer and Angry Art Collector

Lawrence B. Salander in Court, Via New York Times

Weeding my way through recent art news I hit on two stories of interest. One involves a crooked art dealer and the other involves an angry art collector. Both stories are being hailed as examples of the collapse of the art market as we know. Oddly enough, in both situations the state of the economy has received some of the blame-- or is acknowledged for having opened the window for outsiders to view the deceit.

The art dealer, Lawrence B. Salander, was arrested in late March after being accused of stealing over $88 million from several art owners, investors, and Bank of America. Salander has been charged with grand larceny, forgery, falsifying business records, scheming to defraud, and perjury. Needless to say, the once prominent art dealer has pleaded not guilty. Salander faces up to 25 years in prison and his bail is set at $1 million.

My guess is that Salander will not be dealing in art anytime soon-- especially since his Salander-O’ Reilly Galleries is now bankrupt. This is the type of art dealer that gives all art dealers a bad name.

Links of Interest:
Salander Charged with Stealing $88 million [Artforum]
Times Topics:Lawrence B. Salander [New York Times]

Art Dealer is Charged with Stealing $88 Million [New York Times]

Francis Bacon, Study for a Self-Portrait, 1964, Via Rawartint

The art collector, George Weiss, is furious with high-profile auction house Christie’s. Weiss filed a lawsuit against Christie’s due to the fact that the auction house was unable to sell a self-portrait by Francis Bacon owned by Weiss. Christie’s had offered Weiss a minimum guarantee that the Bacon would sell. Unfortunately, the auction house failed to follow through after Weiss consigned the work. Christie’s has noted the turmoil of the art market in their defense. When all else fails-- blame the economy.

Links of Interest:
Christie’s Sued For $40M Over Francis Bacon Painting [Wall Street Journal]

Christie’s Auction House Sued Over Francis Bacon Guarantee [Bloomberg]

Christie’s Is Sued After Francis Bacon Painting Fails to Sell [New York Times]

The economic crises has fueled an already chaotic art world. In New York City there has been a betting game going on amongst gallery staff concerning which gallery will close next. Artists are have been forced to move to less expensive studios. Materials are becoming more pricey. Art museums are cutting staff and benefits. From that woodwork the roaches of the art market will surely be exposed-- and stomped upon.

Take care, Stay true,

Brian Sherwin

Senior Editor

myartspace.com

www.myartspace.com

Myartspace Blog on Twitter

www.twitter.com/myartspace_blog

And you thought Ebay was the only place to buy forged paintings…

And you thought Ebay was the only place to buy forged paintings… Giuseppe Concepcion at work.

It seems that a ‘prominent’ New York and Miami art dealer was arrested last week on charges of selling forged paintings. If the allegations are true the art dealer, Giuseppe Concepcion, set his caliber high. The alleged forgeries include works by several famous artist-- the likes of Henri Matisse and Marc Chagall.
.
Prosecutors have stated that Concepcion sold customers the forgeries from a gallery he operated in Manhattan and from the Proarte Gallery in Miami. His activity is alleged to have occurred between 2005 and 2007. However, Concepcion’s lawyer, Mark Heller, has stated that no crime had been committed and that his client is a law-abiding professional who is dedicated to art and art advocacy.

Heller went on to say that Concepcion had been under investigation for several years and would be exonerated. Heller has also noted that a few of the works had exchanged hands between other art dealers and that he feels as if his client is being used as a scapegoat. Will this case expose other crooked art dealers? Only time will tell.

Art fakes and forgeries are a $12 billion industry according to the FBI’s Art Register. The recent economic downturn has spurred art collectors and investors to be more active in knowing the complete marketing history of the works they have acquired. Needless to say, I don’t think Giuseppe Concepcion will be the first to go down. The art dealers bail was set for $500,000. If convicted he may face up to 30 years in prison.

Links of Interest:

Art gallery owner arrested for selling forgeries of Matisse, Calder, others

Take care, Stay true,

Brian Sherwin

Senior Editor

www.myartspace.com