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April 11, 2011

Monday, April 11, 2011 - No comments

Part II of V: The Use of High Value Art and Collectibles to Launder and/or Transfer Capital

James A. Bond
by James A. Bond,
ARCA Class 2011

THE GROWTH OF CAPITAL

The quantity of each type of capital varies over time due to factors specific to each type of capital. M2 varies with the growth of each country’s economy, the phase of the business cycle, productivity, government spending, level of taxation and debt, entrepreneurial success, and the amount of money laundered within each country. A unique feature of M2 is that governments can cause M2 to increase, as the U.S. and many other nations have recently done to stimulate their economies through funding various programs or, cause M2 to contract, when they fear inflation by raising interest rates, thus pulling money back out of the economy. The amount of M2 can also be increased by the introduction of illegal capital laundered through various schemes.

Art capital however, is always increasing as new art enters the market and it moves with greater freedom and less restrictions than that placed on M2. How capital, in the form of M2 or art, is transferred, the reasons driving the transfer, and the type of capital class chosen to launder or transfer capital is an area of inquiry that will be examined in this paper.

CAPITAL MIGRATION

The movement of capital within any nation can be dichotomized as either legal or illegal. Traditionally the illegal movement is referred to as money laundering which has a specific legal meaning defined under U.S. Code. The President’s Commission on Organized Crime described money laundering as:
The process by which one conceals the existence, illegal source, or illegal application of income and then disguises that income to make it appear legitimate.

INTERPOL’s working definition is similar:

Any act or attempted act to conceal or disguise the identity of illegally obtained proceeds so that they appear to have originated from legitimate sources.

The use of high value art and collectibles to launder capital has its own set of rules that are less stringent and vary greatly. This should be attractive, especially for criminals trying to launder drug money which has a risk based associated cost of 7 to 10 percent or higher. The value of M2 is its face or exchange value and has no personal value while art has an exchange value and may have a personal value thus giving it a potential for an easier reintegration when the exchange from art capital to M2 occurs.

It is impossible to tell exactly when high value art and collectibles first began to be used to launder capital in the US. One early and interesting cases was in 1982 when the Drug Enforcement Agency (DEA) arrested a man for a drug related charge and confiscated his assets (considered to be the proceeds of the drug sales). Included in the assets were 273 Tiffany glass works and art nouveau objects. The man had been using the lamps and nouveau artwork to pay for his drug purchases. The DEA sold the lamps and artwork through Sotheby’s in New York netting over $1 million.

When thinking about the utility of high value art and collectibles to transfer capital it is helpful to distinguish between fungible and non-fungible items, which helps explain the difference between art capital and M2. A fungible item is not unique but may represent wealth, a concept recognized under Roman law. M2, money, is a ‘thing’, not unique, but does represent a type of wealth. Art however is unique but it too represents wealth, but a wealth with a different value. Both fungible and non-fungible items can have different types of value: use value and exchange value.

M2 has a high use and exchange value because of the many ways it can readily fulfill human needs and desires while art can have both an exchange value—the value for which it can be exchanged—and a personal value but little use value. This personal value can create wealth greater than the recognized exchange value. This subjective connection with personal property, which can translate into a higher exchange value than the use value of M2, is an overlooked aspect of utilizing art and high-end collectibles to transfer capital, especially if the art is one of a kind. When the Japanese began their tsunami of acquisitions in the late 1980s they often overpaid because they attached a type of personal value at a national level as a signal that Japan had returned from the ashes of WWII.

Europe with its centuries of artistic productivity, economic turmoil, and conflict, has been the source of many stories of how people in transition have utilized high value art to transfer capital. Jews began fleeing Antwerp and Amsterdam in the early 1930s and setting up exchanges in Tel Aviv (1930) and New York (1931). Diamonds were smuggled out by hiding them in the hems of clothing and as fillings in teeth.

April 10, 2011

Sunday, April 10, 2011 - No comments

Part I of V: The Use of High Value Art and Collectibles to Launder and/or Transfer Capital

James A. Bond
by James A. Bond, ARCA Class 2011
"Capital is money, capital is commodities. By virtue of it being value, it has acquired the occult ability to add value to itself. It brings forth living offspring, or, at least, lays golden eggs." 
“Capital is that part of wealth which is devoted to obtaining further wealth."
For both Karl Marx and Alfred Marshall their understanding and conceptualization of capital evolved during the industrial revolution in the mid 19th century as nations and individuals began the struggle to come to terms with the uses and nature of this new instrument called capital. During this period, capital came to be recognized as another pillar of capitalism and was becoming more integrated into the economic equation that heretofore had focused primarily on land and labor. As can be seen, especially in the quote from Marx, capital was considered unique. It was able to replicate itself when it began to bear interest and create wealth by combining with other assets to produce a new product, the final value being greater than the sum of its parts. Over time economist began to see that there existed many types of capital other than the monetary capital or M2, the traditional measure of the actual supply of money in each country. Today’s economists recognize that there are different categories of capital that can provide opportunities for individuals and businesses to transfer, protect, and nurture this unique economic instrument that Marx described with its “occult ability to lay golden eggs.”

Capital is productive either asleep or awake. It provides the incentive for capitalism, the reward for ingenuity, and a measure of where we are as an individual or nation. It also provides a measure of where we have been. Some types of capital are malleable, being easily morphed from one form to another virtually anywhere on the planet. This ability to maintain value in various forms has made it valuable to individuals and companies when capital needs to be transferred, or laundered as a criminal endeavor. In this age of globalization and slowly increasing prosperity, it could become a more widely recognized tool as businesses, individuals, and criminals seek alternative means to launder or transfer capital in order to protect their net worth and standard of living.

Every nation has capital of different quantities and different types, as does every individual. The word capital when used in a financial context is invariably conceptualized in monetary terms represented by the symbol M2. However, other types of capital exist and can be corporeal or incorporeal. One of the most important types of incorporeal capital existing within each nation is its intellectual and human capital, which exist alongside a form of corporeal capital represented by natural resources like minerals, energy, and water that derive from the land.

Art capital, existing in the public domain at museums, universities, and government repositories, represents a significant part of national and international wealth and is frequently overlooked as a type of capital because it is thought of in terms of public art. However, art capital exists in varying quantities in all nations as combination of public and private art and collectibles, the percentage mix affected by laws and the relative wealth and age of the nation. The United States, being a very young nation, had little indigenous art, which meant the great portion of art wealth had to be purchased by either institutions or individuals.

Art capital in the public domain represents only a small fraction of the total art capital within each nation. The amount of art capital held privately by the public will never be known, not only because it is privately held, but also because a true value for each piece can only be determined if it is ever sold and the price made public, which is rare for private sales. This is not an unusual occurrence in the art world where 70 percent of art sold at auction is sold anonymously. The price then dependent upon the art fashion cycle, supply and demand, and the world economy.

The fact that there is no complete record of the type and value of the private art within each nation is an important element to consider when evaluating the uses and utility that art capital represents for each nation and the individual. This invisible yet ubiquitous quality coupled with the relative ease of monetization gives high value art and collectibles a unique cachet in the world of capital.

High value art and collectibles have been and will continue to be used to mask capital appreciation and assist in the discrete transfer of capital while at the same time providing a safe haven. This is especially true in the current age of globalization and the increasing transnationalization of crime. Specific events like 9/11 and the financial crisis of 2008-2010 have caused governments to change the way M2 is regulated opening the door to other venues of capital movement. This happens for a variety of reasons including escaping taxation, the laundering of money, to decrease tax liability, and protect accumulated wealth for both individuals and businesses. This trend will surely be exacerbated in coming years for the following four reasons. 
1) Governments will continue to refine currency transaction laws governing the movement of M2 to further restrict funding for terrorism and control the profits generated by transnational crime. 
2) New sources of revenue will be needed by governments to replace the revenue lost in the wake of the 2008-2009 financial crises and to fund entitlement programs that will be fully populated in this decade as the baby boomers retire. This will be an ever-growing problem for many nations for a variety of reasons including; underfunded entitlement programs, immigration policies, national demographics, and excessive national debt service requirements. 
3) The risk of inflation, which always realigns capital allocations. 
4) The process of adjusting to an evolving world order, which will require integrating an ever more prosperous and populous India and China and their growing middle class as they begin to accumulate assets and enjoy their new wealth.

Sunday, April 10, 2011 - ,, No comments

ARCA 2011 Student James Alex Bond on "The Use of High Value Art and Collectibles to Launder and/or Transfer Capital"

James A. Bond will be attending ARCA's Postgraduate Program in International Art Crime and Cultural Heritage Protection Studies this summer in Amelia. He earned a Bachelor of Science in Textiles from Georgia Institute of Technology; a Master's of Business Administration in Marketing & Finance from Georgia State University; and a Master's in Science in Global Affairs, Security from New York University. A former Special Agent with the United States Air Force, Mr. Bond has also owned three construction companies. He sold his companies and retired in 2006 to return to school for the Global Affairs program at NYU.

Of course, the ARCA blog couldn't wait to interview him and read his paper, "The Use of High Value Art and Collectibles to Launder and/or Transfer Capital," of which has been adapted for a six-part series for this blog.
James A. Bond
ARCA blog: What about the ARCA program attracted you?
Mr. Bond: Diversity of subjects covered, quality of professors, mission of ARCA, and of course the fact it was being taught in Italy. 
ARCA blog: What would you like to do after you have completed your studies? 
Mr. Bond: Start an insurance-security business focusing on private art/collectibles collections. 
ARCA blog: What area of research do you anticipate following as part of the program? 
Mr. Bond: Insurance for private collections and traveling museum exhibits. 
ARCA blog: I enjoyed reading your thesis. Please tell our readers what drew you to this subject and what surprised you about your research and the material? 

Mr. Bond: In the summer of 2009 I was taking a Transnational Crime class as part of my Global Affairs curriculum at NYU and we all had to make presentations on some aspect of Transnational Crime. One of the students did her presentation on art crime and mentioned the New York Times article about ARCA's Postgraduate Program in Art Crime. With my background in security I knew that would be my next educational experience.

When I wrote my thesis for my MS in Global Affairs I wrote on "The Use of High Value Art and Collectibles to Launder and/or Transfer Capital". Being in New York and living in the financial district during the chaotic fall of 2008 and then watching Greece and Ireland suffer sovern debt problems got me thinking about how to best preserve capital and move it if the need arose.

I interviewed many people from FBI agents (3) to collectors, gallery owners, and people in finance. I was surprised at how unwilling gallery owners, collectors were to talk about the concept (read in my thesis about the NO, NO answer the stamp collector gave me) while on the other hand people in security and finance grasp it readily.
The ARCA Blog will begin today to run a series of posts on Mr. Bond's thesis.

April 8, 2011

Friday, April 08, 2011 - No comments

Upcoming Seminar: World War II Provenance Research Seminar "A New Era of Collaboration and Digitized Resources"

National Archive
"A New Era of Collaboration and Digitized Resources", a World War II Provenance Research Seminar, will be held from May 6 to May 7 at the United States National Archives in Washington, D. C.

This seminar presents new resources and strategies for provenance research, emphasizing current international collaborative projects and introducing newly accessible electronic tools. The seminar is sponsored by the United States National Archives, the Association of Art Museum Directors, the American Association of Museums and the Smithsonian Institution, with additional support provided by The Samuel H. Kress Foundation.

The morning session on May 6, "INTERNATIONAL PORTAL FOR NAZI-ERA CULTURAL PROPERTY RECORDS", will include a welcome from James Hastings, United States National Archives, and Kaywin Feldman, Association of Art Museum Directors. Introductory remarks will be made by Jim Leach, National Endowment for the Humanities, and Lynn H. Nicholas, Independent Scholar and author of "Rape of Europa." The morning presenters consist of Rebecca Warlow, United States National Archives; Hans-Dieter Kreikamp, Federal Archives, Berlin; Caroline Kimbell, National Archives, London; Anne Webber, Commission for Looted Art in Europe, London; and Kyrylo Vyslobokov, Archival Information Systems, Kyiv. The subsequent discussion will be moderated by Nancy H. Yeide, National Gallery of Art, and Victoria Reed, Museum of Fine Arts, Boston.

The afternoon session, "INTERNATIONAL RESOURCES AND COOPERATIVE PROJECTS FOR NAZI-ERA CULTURAL PROPERTY RECORDS," will include presentations by Michael Franz and Andrea Baresel-Brand, Coordination Office for Lost Cultural Assets, Magdeburg; Marc Masurovsky, Independent Historian, Washington, DC; Patricia Kennedy Grimsted, Harvard Ukrainian Research Institute, Cambridge; Christian Fuhrmeister, Zentralinstitut für Kunstgeschichte (Central Institute for Art History), Munich; Uwe Hartmann, Bureau for Provenance Investigation and Research, Berlin; and Wolfgang Schöddert, Ferdinand Möller Archive, Berlinische Galerie, Berlin. The discussion will be moderated by Jane Milosch, Smithsonian Institution, and Christian Fuhrmeister, Zentralinstitut für Kunstgeschichte.

On Saturday, May 7, the morning session, "ARCHIVAL RESOURCES FOR PROVENANCE RESEARCH, PART I" will be introduced by Louisa Wood Ruby, The Frick Art Reference Library, New York, with presentations by Jona Mooren, Nederlandse Museumvereniging (Netherlands Museums Association), Amsterdam, and Rijksbureau voor Kunsthistorische Documentatie (Netherlands Institute for Art History), The Hague; Marisa Bourgoin, Archives of American Art, Smithsonian Institution; and Michelle Elligott, Museum of Modern Art Archives, New York. The discussion following will be moderated by Laurie Stein, Smithsonian Institution, and Sarah Kianovsky, Harvard Art Museums, Cambridge.

The afternoon session, "ARCHIVAL RESOURCES FOR PROVENANCE RESEARCH, PART II," will include presentations by Christian Huemer, Getty Research Institute, Los Angeles; Megan Lewis, United States Holocaust Memorial Museum, Washington, DC; and Anneliese Schallmeiner, Commission for Provenance Research, Vienna. The discussion following will be moderated by Nancy H. Yeide, National Gallery of Art, and Laurie Stein, Smithsonian Institution. "New Projects and Resources" will be presented by Helen Schretlen, Nederlandse Museumvereniging; Dorota Chudzicka and David Hogge, Freer Gallery of Art and Arthur M. Sackler Gallery; and Nancy H. Yeide, Kress Collection Provenance Research Project, National Gallery of Art. Concluding remarks will be by
Lynn H. Nicholas.

The seminar is for curators, registrars, provenance researchers, and all those inerested in the processes of archival research. The Samuel H. Kress Foundation offers a travel stipend on a first-come, first-served basis to museums with Kress Collections. For more information about the seminar, visit: http://ww2provenanceseminar.wordpress.com/.

Friday, April 08, 2011 - ,, No comments

Revisiting the musée d'art moderne de la ville de paris: site of the theft in May 2010 of more than $100 million in paintings

Neighbor's graffiti
Interior view of windows


Last month in Paris, I revisited the musée d'art moderne de la ville de paris for the second time since the robbery of five paintings by Picasso, Matisse, Braque, Léger, and Modigliani on May 20. Last July the museum was humid and bolts on the interior metal shutters seem to have been replaced in at least one window. I speculated on the theft on the ARCA blog here. This March, the amount of graffiti surprised me. The apartment building next to the museum sported new graffiti unusual for this location.  Skateboarders outside the collection played amongst graffiti-marked statutes.  More prominent museums in Paris visited the same week did not exhibit signs of graffiti. Behind the museum, along the Seine and in view of the Eiffel Tower, graffiti covered the doors of basement entrances underneath the balcony the thief may have used to gain entrance before smashing the windows, cutting the paintings out of their frames and disappearing without notifying any security guards. Nothing has been published about the progress of the investigation and the paintings are still missing. -- Catherine Schofield Sezgin, ARCA Blog Editor-in-Chief

Graffiti marks statues outside the museum
Rear windows and balcony along the Seine
Graffiti marks basement doors of museum

April 7, 2011

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The International Institute of Social History launches unique online survey of the record of wartime cultural plunder and retrieval

Reconstructing the Cultural Record of Nazi Plunder: A Survey of the Archives of the Dispersed Einsatzstab Reichsleiter Rosenberg (ERR)
by Patricia Kennedy Grimsted

One of the main organizations involved in Nazi looting of cultural property in occupied Europe during World War II was the Einsatzstab Reichsleiter Rosenberg (ERR), a special operational taskforce headed by leading Nazi party ideologue Alfred Rosenberg. Patricia Kennedy Grimsted describes in this comprehensive overview the archiveal remains of the ERR, as found in 29 repositories in nine countries - from Washington and Brussels to Moscow and Kiev. The detail with which the ERR documented the art, archives, books, and other Judaica it plundered has proved essential for the recovery of cultural valuables after the war and their return to victims or heirs.

This Survey is the first guide that offers a comprehensive overview of documents generated by the ERR as well as records by postwar agencies seeking to return the ERR loot. The publication contains numerous links to the growing number of online information available on the ERR.

The publication was realized by the International Institute of Social History, in cooperation with the NIOD Institute for War, Holocaust and Genocide Studies, with generous support of the Conference on Jewish Material Claims Against Germany (Claims Conference).
Link to the online publication: http://www.iisg.nl/publications/errsurvey/

April 5, 2011

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ARCA 2009 Student: Michelle Edelman on art crime history and provenance research as an investigative tool

Michelle Edelman
by Catherine Schofield Sezgin, ARCA Blog Editor-in-Chief

Michelle Edelman attended ARCA’s summer program in art crime studies in Amelia, Italy, in 2009. A native of San Francisco, Michelle currently lives in New York City. She speaks French, Spanish and Italian – useful languages in her studies at Northwestern University in European Studies, at University of Oxford studying English and French literature, and at the Courtauld Institute of Art studying the history of art for her master’s degree. She is currently investigating opportunities to work in the insurance industry specializing in art protection.
ARCA blog: Michelle, what is your favorite period of art and how did you get interested in studying art crime?
Ms. Edelman: My favorite period of art is the 19th century and more specifically Victorian painting, which is what I did my masters in. I've always had a passion for art history and a love of mysteries. Studying art crime seemed like a perfect combination of my two interests. I particularly enjoyed learning about Adam Worth, nicknamed the Napoleon of Crime, who was a 19th century art thief famed for stealing Thomas Gainsborough's "Georgina, the Duchess of Devonshire." Adam Worth was an international thief who had both Scotland Yard and the American Pinkertons hot on his trail. It was a classic cat and mouse game between Adam Worth and William Pinkerton. In the end, William Pinkerton recovered the painting. And to put an even neater bow on the story, Adam Worth's son ended up working for the Pinkerton Detective Agency. Ben Macintyre's book "The Napoleon of Crime" was one of the many great art crime books I was exposed to while on the ARCA course.
ARCA blog: What did you find most valuable in your ARCA experience?
Ms. Edelman: Getting to meet with and learn from so many experts in the field was invaluable. Art crime study and investigation is a small and tight knit field but is such an important one to promote because the impact of art crime is wide ranging. From Nazi looted art, to forgeries, to excavation robberies, cultural heritage is being endangered, the black market is being fed, and crime in general is prospering. 
It was such a treat to hear firsthand accounts of art crime and its consequences from the founder of Scotland Yard's Art Crime Squad team, Dick Ellis. He was someone I knew I wanted to keep in touch with from the program. And when I settled in to New York, I was thrilled to learn that I could help Dick Ellis on a case he was currently working on. To me, art history is like a detective novel. But here was an opportunity for me to get involved in a real life case. What was at stake was the authenticity of a work by Jean-Michel Basquiat. My research took me to the National Archives in DC. There was a label on the back of the work that suggested that it had been purchased by a now closed gallery in New York. I poured through their records to discover no such trace of that particular Basquiat piece having passed through the gallery. However, I contacted the gallery owner who authenticated the proof of sale document from the gallery in NYC to a gallery in Germany, but denied ever having the Basquiat work in his gallery. Something was amiss. In the end, the work in question turned out to be a fake. The art market is a slippery snake and this case highlighted the importance of provenance research. A little research goes a long way.
ARCA blog: You speak Italian and were able to travel through parts of Italy. What stood out to you during your travels?
Ms. Edelman: Well I speak French and Spanish fluently. I was therefore able to pick up a bit of Italian. This did make getting around easier. For anyone interested in art history, the Uffizi in Florence is a must. It was interesting going there after our segment on museum security with Anthony Amore. I started to look around for cameras, light sensors, looking at how the pieces were secured to the wall, and observing the museum guards at work. I've been looking at museums in a different way ever since.
ARCA blog: What has led to your interest in art insurance and what kind of career do you want to pursue?
Ms. Edelman: Working on the Basquiat case lit my fire for provenance research. It is something that is essential and too often easily overlooked. Whatever I end up doing in the field, I know that provenance research is something that I will incorporate fully. I love the idea of research and hands on art crime solving. I seriously thought about joining the FBI, but the idea of wielding a gun just didn't feel like the right fit for me, liberal San Franciscan that I am. And I would never be successful undercover because I'm just about the worst liar there is. Art insurance is still a hands on way of getting involved with solving art crime but from a safer, more behind the scenes stand point.

April 4, 2011

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Provenance & Art Collections: The Huntington's Scandalous Gainsborough Portrait

by Catherine Schofield Sezgin

Provenance research, establishing the history of an artwork, involves studying various art collections and how the art in each collection was funded and selected. Residents of Pasadena have walking access to two prominent art collections, The Norton Simon Museum and The Huntington Library, Art Collections, and Botanical Gardens. A recent item on The Huntington Library's blog provoked interest with the title, "A Lurid Lady and Two Petulant Painters," posted by Thea Page who provided provenance information on the painting by Thomas Gainsborough to the ARCA blog:
Penelope (Pitt), Viscountess Ligonier
1770
Canvas, 94 1/2 x 61 3/4 in. (238.76 x 156.85 cm)
11.29
Provenance:
Painted for the sitter's father, George Pitt, later 1st Baron Rivers, of Stratfield Saye, Hampshire, and Sudeley Castle, Gloucestershire; by descent to Horace, 6th and last Baron Rivers; General Pitt-Rivers of Rushmore, Salisbury, 1880; A.C. Rivers; W. Pitt Rivers; Charles John Wertheimer of Norfolk Street, Park Lane, c. 1908; sold by his trustees to Duveen, 1911; acquired by Henry E. Huntington, 1911
Henry Edwards Huntington inherited a fortune built on the one of the transcontinental American railways and married his uncle's widow, Arabella Huntington.  The Huntingtons provided an endowment and more than 500 acres for the premier collection guided by art dealer Joseph Duveen.

Monday, April 04, 2011 - ,, No comments

George Washington University Capitol Archaeological Institute’s Initiative To Protect Egyptian Antiquities Institute Called on Government and Law Enforcement to Act

Rahotepova tomb/Photo by Martin Frouz, FF UK (http://zpravy.idnes.cz/bohyne-poradku-opustila-egypt-pise-archeolog-barta-z-expedice-p65-/zahranicni.asp?c=A110314_084459_domaci_jw)
by Catherine Schofield Sezgin, ARCA Blog Editor-in-Chief

Two weeks ago, the George Washington University Capitol Archaeological Institute launched an initiative to protect Egyptian antiquities from illicit trade around the world, the institute announced in a press release. The institute identified specific actions that the U.S. government and international law enforcement authorities should take to help prevent the illegal trade of Egyptian antiquities. To view the call for action, and the initial signatories, please visit http://archaeology.columbian.gwu.edu/home/call-for-action-to-protect-egyptian-antiquities/.

“As an Institute located in the heart of our nation’s capital, we have a special responsibility to help ensure that issues and solutions are highlighted for policy and law makers,” said Eric Cline, director of GW’s Capitol Archaeological Institute and associate professor and chair of GW’s Department of Classical and Near Eastern Languages and Civilizations.

Dr. Cline cited international reports of more than 50 antiquities stolen from the Cairo Museum alone since the political uprisings have occurred, including artifacts originally from the tomb of the Egyptian pharaoh Tutankhamun.

The GW Capitol Archaeological Institute’s calls are consistent with U.S. obligations under the 1970 United Nations Educational, Scientific and Cultural Organization (UNESCO) convention on the means of prohibiting and preventing the illicit import, export and transfer of ownership of cultural property. On March 15, 2011, UNESCO called for international mobilization to block cultural artifacts stolen from Egypt. The institute has posted the call to action on its web page and encourages US readers to sign the online version of the petition, which can be found at http://www.gopetition.com/petition/44079.html. In brief, the GW Capitol Archaeological Institute urges the president and U.S. Congress to:
• Direct the Department of Homeland Security and other law enforcement agencies to use their authority to prevent illegal trade in Egyptian cultural objects;
• Direct the Department of State and the U.S. Customs and Border Protection Agency to implement import restrictions on undocumented artifacts from Egypt;
• Direct the FBI, Immigration and Customs Enforcement and Homeland Security Investigations to coordinate with foreign counterparts to initiate targeted law enforcement operations to seize stolen cultural property, arrest criminals and seize and confiscate proceeds; and
• Direct the U.S. Agency for International Development to grant additional funds for protection at archaeological sites. 
In addition, the Institute encourages the: 
• International Criminal Police Organization to use its telecommunications system with respect to possible crimes involving Egyptian cultural property and to identify suspicious financial transactions which can lead to the freezing and confiscation of proceeds; and
• U.S. Congress to designate funds for the protection of Egyptian antiquities as part of its economic aid package.
The mission of the GW Capitol Archaeological Institute includes advancing archaeological research initiatives and cultural heritage development both on land and underwater.
ARCA Blog: Via email, Dr. Cline answered a few questions for this blog. Do you believe today that archaeological sites across Egypt are still largely unprotected? We’ve all seen reports that some of the storerooms with artifacts from these sites have been broken into in the last month with priceless objects stolen.
Dr. Cline: There is no question that it has been a challenge guarding archaeological sites during the events of the last three months. We are hearted by the response of many of the Egyptian people who, on several occasions, have even risked their lives to protect these antiquities. That said, until the regular police returns in full force, combined with strong, armed tourist policy, we expect to see the looting continue.

We continue to receive information about break-ins and attacks. For example, there are reports that armed groups have been digging for ancient artifacts at the Garza archeological site in Fayoum and have broken into a storeroom at the site of Tell ed-Daba’a in the Delta as recently as this week. Here are some links, with pictures:

http://zpravy.idnes.cz/bohyne-poradku-opustila-egypt-pise-archeolog-barta-z-expedice-p65-/zahranicni.asp?c=A110314_084459_domaci_jw

http://www.artsjournal.com/culturegrrl/2011/02/news_flash_detailed_report_abo_1.html

http://www.almasryalyoum.com/en/node/379337

http://luxortimesmagazine.blogspot.com/2011/04/masked-men-attacked-storage-in-delta.html
ARCA Blog: Two weeks ago in Paris UNESCO met to commemorate the 40th anniversary of the 1970 Convention. How effective do you think UNESCO can be in a situation of civil unrest as in Egypt?
Dr. Cline: UNESCO has a very important role in bringing world attention to the looting not only in Egypt, but around the Middle East in this time of unrest. We look to them to play a leadership role in bringing to bear the various financial and law enforcement tools available worldwide to not only halt the looting, but strike at those willing to cooperate with the looters. 
The challenge is that we are facing an emergency situation in Egypt which requires swift and immediate action. We praise the UNESCO for sending out a delegation to examine the situation, but hope that it will bring about real results in the near term. The looting is detrimental to our common cultural heritage, but also harmful to Egypt’s largest source of revenue -- tourism.
ARCA Blog: What has been the response to your initiative from archaeologists and the government agencies named such as Homeland Security and the Department of State?
Dr. Cline: We launched our call to action to try to bring together the various parties who have an ability to halt the looting, and strike at those who might cooperate with the looters. The response from archaeologists, especially the Egyptologists to whom we have reached out, has been overwhelmingly positive. In addition, the US government has been supportive. While they are willing to work cooperatively with the Egyptian government and the archaeologists on this pressing issue, the State Department’s cultural heritage bureau can take official action only after a request from the Egyptian government. Once this occurs, which we hope will take place in the very near term, the State Department will be able to work with Homeland Security and other law enforcement agencies to introduce emergency import restrictions against undocumented artifacts from Egypt.
ARCA Blog: What would you like to see happen in the next few months to secure the archaeological sites in Egypt and to stop the looting of antiquities?
Dr. Cline: Steps need to be taken to secure the archaeological sites and storerooms, and to stop the looting of antiquities as well as to prevent their subsequent sale. We believe that the Egyptian government will make protection of these sites a top priority, even during this time of transition, as it is not only a question of protecting our common heritage, but protecting Egypt’s main source of revenue -- tourism. In addition, we hope that governments around the world will use the various law enforcement tools available -- including import restrictions -- to halt the transport and sale of undocumented antiquities. Given the economic nature of this problem, any economic aid packages to Egypt should include appropriations to help protect these priceless sites. Finally, our goal is to work with the Egyptian government to set up training programs to help Egyptian law enforcement officials and others establish “best practices” in cultural heritage enforcement around the world.
ARCA Blog: What can our readers do to help?
Dr. Cline: We appreciate the wonderful support to date for our call for action. We would like to ask your US readers to sign our petition, http://www.gopetition.com/petition/44079.html, and encourage their local congressional representatives to include antiquities protection in the economic aid package for Egypt. Archaeology students in Egypt could help in assessing damage to sites and storerooms. We also appreciate receiving any information about the looting and other ways to raise public awareness of this critical challenge.

April 1, 2011

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Upcoming Book: "Chasing Aphrodite" to be Published by Houghton Mifflin Harcourt on May 24

by Catherine Schofield Sezgin, ARCA Blog Editor

While covering the Getty's relationship with cultural property this week ("The Getty Bronze" and the Region of Marche"), I appreciated the excellent coverage on the same subject in the Los Angeles Times by Jason Felch who, with another journalist, Ralph Frammolino, is publishing a book next month, Chasing Aphrodite, subtitled "The Hunt for Looted Antiquities at the World's Richest Museum". Attitudes toward the collecting of antiquities have evolved in the past four decades since UNESCO's 1970 Convention which asked that museums and governments stop the purchasing of looted antiquities and ask more about the provenance and context of objects, but controversy has always reigned and The Getty, a resourceful and powerful entity, in addition to being a worldwide leader in conservation, has also a murky history in regards to part of its collection which changed its leadership in the past few years.

The book, the product of five years of investigative reporting, which can be pre-ordered now through Amazon.com here, comes out on May 24 from Houghton Mifflin Harcourt. Felch and Frammolino tells the story of how officials of the J. Paul Getty Museum grappled with the question of acquiring looted Greek and Roman antiquities over 30 years, and the eventual indictment of the Getty's antiquities curator in 2005,' according to the press release. [Marion True, the indicted Getty official, had the charges dropped against her last year in Italy as the court case had dragged on for too long.]

Advance praise of the book includes a comment from Ulrich Boser, author of The Gardner Heist: The True Story of the World's Largest Unsolved Art Theft, and Jonathan Harr, author of The Lost Painting: The Quest for a Caravaggio Masterpiece.
"A thrilling, well-researched book that offers readers a glimpse into the back-room dealings of a world-class museum--and the illegal trade of looted antiquities. Chasing Aphrodite should not be missed,” Boser wrote.
“An astonishing and penetrating look into a veiled world where beauty and art are in constant competition with greed and hypocrisy. This engaging book will cast a fresh light on many of those gleaming objects you see in art museums,” Harr wrote.
You may follow the book on Facebook or Twitter.

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