The Wolf of Wall Street was a hit when it was released in 2013. Moviegoers all over the world loved the story of excessive wealth and greed. But most people didn’t know that the movie was partially funded by a money-laundering scheme involving famous works of art. Malaysian Prime Minister, Najib Razak, had siphoned part of a $1 billion fortune from the Malaysian sovereign wealth fund into American assets, such as real estate and paintings by Basquiat, Rothko, and Van Gogh.
Further complicating matters, following Man Ray's death, control of printing copyrights fell to his widow, Juliet Man Ray, and her brother, who approved production of a large number of prints that Man Ray himself had earlier rejected. While these reprints are of limited value, the originals, printed during Man Ray's lifetime, have skyrocketed in value, leading many forgers to alter the reprints, so that they appear to be original.
You might have seen his stuff in New York’s Metropolitan Museum or in the Hermitage in Lausanne…to name just a couple. You can also see them in the homes of the one percent. Actor Steve Martin bought this one. Beltracchi’s forgeries have also made it into art books listing the best paintings of the 20th century and have been sold in many of the world’s top auction houses.
A qualified authority is a difficult concept, because it’s more than claiming (or seeming) to be an expert. This individual needs to have significant background and experience with the artist. Such as published papers about the artist, or perhaps they teach courses, or have catalogued essays about this artist. Of course the artist themselves, relatives, employees and descendents of the artist are understood as a qualified authority. Once you have all of your documents corroborated and stored in your Artwork Archive account, you can have peace of mind.
* When a seller states that a work of art is "attributed to" a particular artist, get the name of the person who did the attributing. If that person is not an established and respected expert on the artist, then the attribution is most likely meaningless. Furthermore, an attribution, no matter who makes it, does not constitute valid provenance or proof that the art is by the artist whose signature it bears.
In this context, the provenance can occasionally be the detailed history of where an object has been since its creation, as in art history contexts – not just since its modern finding. In some cases, such as where there is an inscription on the object, or an account of it in written materials from the same era, an object of study in archaeology or cultural anthropology may have an early provenance – a known history that predates modern research – then a provenience from its modern finding, and finally a continued provenance relating to its handling and storage or display after the modern acquisition.
The following year, in 2013, an even more high-profile laundering case surfaced when a Jean-Michel Basquiat painting worth $8 million was found in a crate at Kennedy Airport on its way from London. The crate went through customs with a valuation of $100, though it contained Basquiat’s 1982 painting Hannibal (commodities valued under $200 aren’t required to be declared at customs.) The painting had been bought and shipped by Brazilian Banker Edemar cid Ferreira in an elaborate scheme to launder over $50 million that was illegally obtained when Ferreira’s bank, Banco Santos, went bankrupt. In 2004, Ferreira went $1 billion in debt after his financial empire, much of which was built on embezzled funds, collapsed. During his reign over Banco Santos, he had bought 12,000 pieces of art. In 2006, Ferreira was sentenced to 21 years in prison for bank fraud, tax evasion, and money laundering. But before his arrest, $30 million of his art collection was smuggled out of Brazil. The scheme was uncovered when Hannibal was found at JFK. According to court papers, the painting was originally bought for $1 million in 2004 by a Panamanian company called Broadening-Info Enterprises, which was later discovered to be owned by Ferreira’s wife, Márcia.
The primary purpose of tracing the provenance of an object or entity is normally to provide contextual and circumstantial evidence for its original production or discovery, by establishing, as far as practicable, its later history, especially the sequences of its formal ownership, custody and places of storage. The practice has a particular value in helping authenticate objects. Comparative techniques, expert opinions and the results of scientific tests may also be used to these ends, but establishing provenance is essentially a matter of documentation. The term dates to the 1780s in English. Provenance is conceptually comparable to the legal term chain of custody.
The Chinese art market, where regulation is lax, is thought to be particularly prone to money laundering. "The [Chinese] art market has become more and more abnormal," Wang Shouzhi, dean of the Cheung Kong School of Art and Design at Shantou University, told the South China Morning Post in April. "It is saturated with business tricks, fake works and fake prices. … It has become a tool for corruption and money laundering."
Jack Flam took his information to the FBI's Art Crimes unit, which launched an investigation. In 2013, Glafira Rosales confessed to playing a key role in the multimillion dollar fraud. She is now awaiting sentencing, and told the FBI the forgeries were the handiwork of this man: Pei-Shen Qian, an artist who lived in Queens and painted the works in his garage.
In March 2001 in Boston, meeting with an undercover agent posing as a drug dealer who showed interest in buying the putative Raphael, Stewart said he could move cash, exchange cash for gems in addition to art, and handle the resale of the Raphael, the agent's affidavit says. Eventually, the deal shifted to the Modigliani and Degas, the affidavit says, and Stewart fell out of the transaction.
Forgery, in art, a work of literature, painting, sculpture, or objet d’art that purports to be the work of someone other than its true maker. The range of forgeries extends from misrepresentation of a genuine work of art to the outright counterfeiting of a work or style of an artist. Forgery must be distinguished from copies produced with no intent to deceive.
The problem isn’t their argument that seller’s should reveal themselves. It’s the slapdash evidence and flawed logic they use. The story’s biggest problem begins with the lede where it is argued that real estate sellers are transparent. Several graphs deeper in the story it is revealed that real estate transactions that are on a par with major art transactions are, in fact, not transparent. How do we know that? Because the Times tells us about a pilot program that requires transparency. Here’s the opening graph:
For museums and the art trade provenance has increasingly important, not just in the older way where establishing the authorship and authenticity of an object was the main concern, but in establishing the moral and legal validity of its chain of custody, given the increasing amount of looted art. This first became a major concern regarding works that had changed hands in Nazi-controlled areas in Europe before and during World War II. Many museums began compiling pre-active registers of such works and their history. Recently the same concerns have come to prominence for works of African art, often exported illegally, and antiquities from many parts of the world, but currently especially in Iraq, and then Syria.
When you sell your home the paperwork details the sale, including your name, and the title search lists the names of the people who owned the property before you. But when someone sells an artwork at auction — even something worth $100 million, much more than your house — the identity is typically concealed. […] In finance, Treasury officials last year began asking banks to identify customers who set up accounts in names of shell companies. In real estate, they introduced a pilot program that requires the full identification of people who buy expensive properties in New York and Miami using cash and shell companies.
Despite being perfectly legal and of exceptionally high quality, art reproductions do carry a stigma. The owner of one faux Picasso recounted the story of how his grandparents, after selling their entire collection, commissioned a major auction house to duplicate each piece as gifts for their grandchildren. He declined to be named. Two sources from Christie’s, who spoke on background, have confirmed that reproduction is a common practice there. And as of press time, the Metropolitan Museum of Art has not returned our request for comment.
And in response to Beijing’s strict capital controls which make it illegal for an individual move more than $50,000 out of China per year, wealthy folks from China are turning increasingly to smuggling art out of the country instead. "Items can be bought and sold relatively anonymously, and even when a transaction occurs, complex ownership schemes -- many with a degree of secrecy attached -- are widespread," Paul Tehan of TrackArt, a Hong Kong-based art risk consultancy, told CNN. According to Tehan, senior managers of an art shipping company based in China were arrested for allegedly forging the value of imported art in order to help buyers avoid paying millions in duties.
My predominant emotion while reading this book was irritation and I became much more interested in why it was irritating me so much than I was in the novel itself. I suppose principally because I thought it was going to be much more literary – a novel that creates the feeling that the characters are generating the plot rather than a novel whose plot creates the characters.
We take the stewardship and integrity of our collection seriously, from acquisition to deaccession, and maintain transparency about all of our professional practices. Preserving the world’s cultural heritage is of the utmost importance to collecting institutions. To that end, we publicly share our Collections Management Policy (see here) as well as our commitment to ensuring clear provenance. The donors of the deaccessioned objects or their heirs have been contacted, and none have objected to the sales. And indeed, any future acquisitions made with the funds earned through deaccessioning will acknowledge the original donor in the credit line.
In recent weeks, the art world has been rocked by perhaps the biggest forgery scandal to hit the art world since Van Meegeren’s unmasking. The extent of the Old Master forgery ring is as of yet unknown, but Sotheby’s has already issued a refund to the buyer of a $10 million Frans Hals portrait, sold in 2011 in a private sale through London dealer Mark Weiss. James Martin’s Orion Analytical, a Williamstown, Massachusetts-based company which investigates artworks, found modern-day materials in the canvas, proving it to be a forgery.
Conservation issues of Pompeii and Herculaneum Conservation-restoration of Ecce Homo by Elías García Martínez Conservation-restoration of The Gross Clinic by Thomas Eakins Conservation-restoration of Leonardo da Vinci's The Last Supper Conservation-restoration of the Shroud of Turin Conservation-restoration of the Sistine Chapel frescoes Conservation-restoration of the Statue of Liberty Conservation-restoration of the H.L. Hunley Modern and Contemporary Art Research Initiative
Whenever I am approached by someone to buy my art, who I did not know, I always insist that I be paid through PayPal or Payoneer. After that, I usually never heard from those people again. Another way for an artist to protect themselves in a transaction like this is to insist to have the transaction handled by an escrow agent. The final transaction, shipping etc. is not completed until all of the funds have been verified and cleared. Any legitimate buyer or collector of art will not have a problem dealing in either manner. Anyone who objects to this way of doing business with you is someone who you do not want to do business with!
Statistical analysis of digital images of paintings is a new method that has recently been used to detect forgeries. Using a technique called wavelet decomposition, a picture is broken down into a collection of more basic images called sub-bands. These sub-bands are analyzed to determine textures, assigning a frequency to each sub-band. The broad strokes of a surface such as a blue sky would show up as mostly low frequency sub-bands whereas the fine strokes in blades of grass would produce high-frequency sub-bands. A group of 13 drawings attributed to Pieter Brueghel the Elder was tested using the wavelet decomposition method. Five of the drawings were known to be imitations. The analysis was able to correctly identify the five forged paintings. The method was also used on the painting Virgin and Child with Saints, created in the studios of Pietro Perugino. Historians have long suspected that Perugino painted only a portion of the work. The wavelet decomposition method indicated that at least four different artists had worked on the painting.
The victims of art fraud are the artists who own the works, collectors who are defrauded through purchase of forged works, and museums that may use public or donated money to buy fraudulent works of art or works with a falsified provenance. Countries that lose valuable works of art to the international art market under false pretenses are also subject to art fraud.