Prosecution is also possible under state criminal laws, such as prohibitions against criminal fraud, or against the simulation of personal signatures. However, in order to trigger criminal liability under states' laws, the government must prove that the defendant had intent to defraud. The evidentiary burden, as in all criminal prosecutions, is high; proof "beyond a reasonable doubt" is required.[27]
On the night of St Patrick's Day in 1990 when the attention of Boston was focused elsewhere, thieves entered the Isabella Stewart Gardner Museum and made off with art valued at $500 million, including three Rembrandts, one of only 34 known paintings by Vermeer, and works by Manet and Degas. Because the eccentric Isabella insisted in her will that nothing be changed in the museum (nothing!), the empty frames remain on the walls as a sad reminder of what has been lost.
At the state level, art forgery may constitute a species of fraud, material misrepresentation, or breach of contract. The Uniform Commercial Code provides contractually-based relief to duped buyers based on warranties of authenticity.[30] The predominant civil theory to address art forgery remains civil fraud. When substantiating a civil fraud claim, the plaintiff is generally required to prove that the defendant falsely represented a material fact, that this representation was made with intent to deceive, that the plaintiff reasonably relied on the representation, and the representation resulted in damages to the plaintiff.
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.[19] 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.
Despite all the studies and technical tests available, forgeries will still be made. The 20th-century art forger is far better equipped and much more knowledgeable than his predecessor. The demand for rare works of art has increased, and he will attempt to supply them. In collecting, whether by the private collector or by a museum, there comes a point when, after all the studies and all the tests are conducted, a decision has to be made as to whether or not to purchase a piece in question. The element of risk can be minimized but not eliminated. At this point, the collector should be ready to back his opinion with the purchase price. In order to acquire great pieces, particularly from newly discovered and relatively unknown cultures, it is necessary to take a calculated chance. The collector who has never bought a forgery probably has never bought a great piece of art.
Whether the seller agrees to take full legal responsibility for the accuracy of the provenance is crucial information for buyers in terms of their own due diligence obligations and their ability to rely on information provided by sellers. Making all of this clear in the sales contract is unquestionably in everyone’s interest, even if—much like a prenuptial agreement—it spoils some of the romance associated with the purchase of Fine Art.
Recently, some countries in Europe, including Luxembourg and Switzerland, have passed laws to clamp down on money laundering in the art market. Starting in 2016, Switzerland will cap cash transactions at 100,000 Swiss francs ($135,000). Payments above that cash limit will have to be made by credit card, creating a paper trail, or the seller will have to carry out due diligence to ensure the legal origins of the funds.
There are several maintained and open-source provenance capture implementation at the operating system level such as CamFlow,[42][43], Progger[44] for Linux and MS Windows, and SPADE for Linux, MS Windows, and MacOS.[45] Other implementations exist for specific programming and scripting languages, such as RDataTracker[46] for R, and NoWorkflow[47] for Python.

Every work of art carries with it not only the history of its creator, but of its owners as well. Provenance—the record of ownership for a work of art—provides important documentation explaining who, at various points in history, owned the painting, sculpture or artifact at hand. This is an especially important issue for museums, who pay careful attention to provenance to confirm the authenticity of a work of art and its rightful ownership.


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.
Art forgery may also be subject to civil sanctions. The Federal Trade Commission, for example, has used the FTC Act to combat an array of unfair trade practices in the art market. An FTC Act case was successfully brought against a purveyor of fake Dalí prints in FTC v. Magui Publishers, Inc., who was permanently enjoined from fraudulent activity and ordered to restore their illegal profits.[28][29] In that case, the defendant had collected millions of dollars from his sale of forged prints.
The 20th-century art market has favored artists such as Salvador Dalí, Pablo Picasso, Klee and Matisse and works by these artists have commonly been targets of forgery. These forgeries are typically sold to art galleries and auction houses who cater to the tastes of art and antiquities collectors; at time of the occupation of France by German forces during World War II, the painting which fetched the highest price at Drouot, the main French auction house, was a fake Cézanne.[4]

The 2,200 photographs by masters like Alfred Stieglitz, Edward Weston and Edward Steichen — more than could fit into an 18-wheeler — were paid for, court papers say, with some of the $78 million that the authorities say Mr. Rivkin got from defrauding oil companies like Shell, Exxon, and Mobil. Mr. Rivkin, who has not been charged with any crimes, was last thought to be in Spain and had arranged to have the photos shipped there.
Fakes and forgeries in the art world are the stuff of legend, the subject of books, films, and television series the world over. In real life, they land people behind bars. 2016 brought us many unwanted things, but it also appears to have been a year when a huge amount of authenticity disputes took place. The spats took shape from contested provenance, to painters faking their own work, to a multimillion dollar Old Masters scandal. From farce to tragedy, we’ve compiled the highlights of this year’s biggest art forgery scandals below.

Stories of art and money laundering tend to be media friendly, and often involve the wealthy behaving poorly.  In one notorious case, the Department of Justice (“DOJ”) seized, via a civil forfeiture action, Jean Michel Basquiat’s 1981 painting, Hannibal. This work — later returned to Brazil by the DOJ — had been smuggled into the U.S. by Edemar Cid Ferreira, a former Brazilian banker who was convicted of money laundering and other offenses, and who allegedly converted some of his laundered proceeds into a significant art collection.  According to the DOJ, although Hannibal had been appraised at a value of $8 million, it had been smuggled by Ferreira into the U.S. from Brazil, via the Netherlands, with false shipping invoices stating that the contents of the shipment were worth $100.  Other stories provide less genteel tales of drug cartels, terrorist organizations and other criminal syndicates financing themselves through systemic looting and the illicit antiquities trade.
In archaeology and paleontology, the derived term provenience is used with a related but very particular meaning, to refer to the location (in modern research, recorded precisely in three dimensions) where an artifact or other ancient item was found.[3] Provenance covers an object's complete documented history. An artifact may thus have both a provenience and a provenance.
* Get full names and contact information for all galleries or auction houses that the seller claims previously owned the art. If these galleries are still in business, contact them in order to confirm that the information provided by the seller is correct. If none of the galleries or auction houses are traceable, then this may be cause for concern.

Rapid and dramatic rises—and collapses—in price are bad things for money laundering whose sole purpose is to find a relatively stable vehicle to mask the source of funds. Money launderers are not looking to make a profit on their purchases let alone a killing. In fact, a money launderer is willing to take a loss on the vehicle that hides the illicit source of the funds because that is the price of washing the money. If a money launderer buys something with dirty money that has the potential to be unsalable for clean money, it doesn’t work. Art, even some of the world’s best art, is often temporarily unsalable for a variety of real and legitimate reasons.

Most of these industries have checks. Real estate titles and deeds at least require a name. Mortgage brokers, stockbrokers, casinos, banks and Western Union must report suspicious financial activity to the federal Financial Crimes Enforcement Network. Banks must report all transactions of $10,000 or more. Altogether, the network logs more than 15 million currency transactions each year that can be used to track dirty money, said Steve Hudak, a spokesman for the agency. The art market lacks these safeguards. Roll up a canvas and it is easy to stash or move between countries; prices can be raised or lowered by millions of dollars in a heartbeat; and the names of buyers and sellers tend to be guarded zealously, leaving law enforcement to guess who was involved, where the money came from and whether the price was suspicious.


Tom Ripley is involved in an artwork forgery scheme in several of Patricia Highsmith's crime novels, most notably Ripley Under Ground (1970), in which he is confronted by a collector who correctly suspects that the paintings sold by Tom are forgeries. The novel was adapted to film in 2005, and the 1977 film The American Friend is also partially based on the novel.
Forgers also remind us that great art depends on the ideas of artists, not necessarily on their actual hands. Many wonderful works of art by figures such as Titian, Rembrandt and Rubens were executed partly or even mostly by their studio assistants, which doesn’t make them any less expressive of Titian or Rembrandt’s innovations. For nearly two decades, our forger in Queens managed to fool both the dealers at Knoedler and their art-savvy clients, and the only reason his fakes could exist and succeed is because the true achievement of Pollock and Rothko was to come up with a set of ideas and procedures for making art. The faker could be considered a faithful assistant of theirs who happened to arrive after they’d died; ditto the hundreds of forgers of Qi Baishi.
According to former art consultant Beth Fiore, people don’t normally buy art with cash in the US; “Cash payments for art happen in Russia [and the] Middle East” more often. So if you’re keeping your fortune under your mattress and don’t live in either of those places, you’ll need to get your money into a bank account without alerting the authorities. One way to do that is by smurfing. Despite the mental image of a blue cartoon character riding a surfboard that you may have conjured, smurfing means depositing money into a bank account or several bank accounts by breaking it up in to many small amounts that are deposited at different times, by different people. US banks must report any deposits over $10,000 to the IRS, so in order to stay sneaky, you’ll need to make a series of deposits that are less than that amount. You can hire “smurfs” to help you, who are often ordinary people willing to make an extra buck by opening up a joint bank account in their name, that you or your company has access to, and depositing money into it every day.
Jack Flam should know. He is one of the world's top experts in Robert Motherwell and was friends with the artist for years. Robert Motherwell was the youngest of a group of famous American painters that included Jackson Pollock, Mark Rothko and Willem de Kooning, who pioneered a new style of American art known as abstract expressionism. After Robert Motherwell's death, Jack Flam became president of the foundation dedicated to his work, and was assembling a catalogue of all of Motherwell's paintings - what's known as a catalogue raisonne.
Founded in 1901, the Toledo Museum of Art holds a collection of extraordinary artworks. We are a free museum that had nearly half-a-million visitors last year and is nationally renowned for its focus on art education. Even with those distinctions, the Museum is most notable for the quality of its collection. Aside from its comprehensive collection of glass—Toledo is known in America as the Glass City—TMA has never sought to be comprehensive in its approach to collecting—the institution’s focus has been and remains on singular artworks by singular artists. Quality has always been the outstanding attribute of our collection, and the objects being sold are not of the quality of our permanent display collection; have been on display rarely; have not been sought out by scholars; or have not been published in recent decades. In short, these objects were not working to fulfill our mission.
Sylvia Dugan I started reading it, but found the main character to be too shallow and not very believable. I finally decided to stop reading it after the first 50+…moreI started reading it, but found the main character to be too shallow and not very believable. I finally decided to stop reading it after the first 50+ pages, too many other good books to read.(less)
It plainly makes sense for sellers and buyers to get ahead of the curve and finally reach a clear understanding about what is at stake when provenance or related information such as exhibition history is provided. Is the provenance really intended to be a complete chain of title and possession, given that there is no title registry for personal property such as works of art? Is that even possible, given the penchant for anonymity among many wealthy collectors, not to mention the confidentiality of private sales? Further complicating research into ownership is the fact that many art transactions are documented with simple invoices, rather than detailed contracts; often it is unclear from the face of the documents, particularly in multi-party back to back transactions, whether a dealer is acting as a principal or as agent for one of the parties.
The most obvious forgeries are revealed as clumsy copies of previous art. A forger may try to create a "new" work by combining the elements of more than one work. The forger may omit details typical to the artist they are trying to imitate, or add anachronisms, in an attempt to claim that the forged work is a slightly different copy, or a previous version of a more famous work. To detect the work of a skilled forger, investigators must rely on other methods.
Of course, beyond AML-related process concerns, any art dealer — just like any business person — always must remember that just about any financial transaction that involves proceeds known to have originated from illegal activity represents a criminal money laundering offense.  Stated otherwise, even if the BSA is not expanded to include dealers in art and antiquities, those in the U.S. art industry still need to bear in mind, in extreme examples, the omnipresent federal criminal code.  Sometimes, the provenance of the funds can be more critical than the provenance of the art.
The second essay (Purchase Price Paid Over Time: “Title Does Not Pass Until Payment in Full”) addresses a very common provision in contracts for the sale of art with installment payments. But, surprising to many art sellers, the Uniform Commercial Code probably makes this provision unenforceable, with consequences for the seller getting his art back.
There are several maintained and open-source provenance capture implementation at the operating system level such as CamFlow,[42][43], Progger[44] for Linux and MS Windows, and SPADE for Linux, MS Windows, and MacOS.[45] Other implementations exist for specific programming and scripting languages, such as RDataTracker[46] for R, and NoWorkflow[47] for Python.
* An appraisal for the art does not constitute valid provenance unless it has been performed by a respected expert or authority on the artist, and states that the art is absolutely by the artist. If you have any questions about an appraisal, contact the appraiser directly before bidding on the art and verify their qualifications to make any statements of authenticity contained within the appraisal. Any appraiser making statements of authenticity would also have to be a nationally or internationally respected authority on the artist in question. When you can't verify the appraiser's credentials, contact the appraiser, the appraisal does not include adequate contact information for the appraiser, or you can't make out the signature, be very careful. Best procedure would be not to bid on or buy the art. (FYI, an appraisal may assume the art is genuine and have statements or disclaimers to that effect, but is not in and of itself an authentication of the art. MAKE SURE YOU READ THE ENTIRE APPRAISAL INCLUDING ANY DISCLAIMERS CAREFULLY. In other words, you may need a separate authentication or provenance to go along with such an appraisal.)

For example, federal prosecutions have been successful using generalized criminal statutes, including the Racketeer Influenced and Corrupt Organizations Act ("RICO"). A successful RICO charge was brought against a family which had sold counterfeit prints purportedly by Chagall, Miró, and Dalí. The defendants were also found guilty of other federal crimes including conspiracy to defraud, money laundering, and postal fraud.[26] Federal prosecutors are also able to prosecute forgers using the federal wire fraud or mail fraud statutes where the defendants used such communications.
In the 18th and 19th centuries, the mania for classification and study of the past resulted in an upsurge in forgeries as the art market adjusted to accommodate the new interest in the artistic past. That interest in the classification of the past also led to the founding of academic disciplines such as the history of art. The study of art history and the creation of agreed-upon bodies of work for artists and eras, as well as advances in science, made possible in the 20th century the winnowing out of forgeries, fakes, and misattributions from authentic works. As art historians gained more knowledge about the past and the styles, materials, and working conditions of artists and historical epochs, inauthentic and fraudulent works were more readily exposed.
×