FOR IMMEDIATE RELEASE AT
THURSDAY, SEPTEMBER 26, 1996 (202) 616-2771
TDD (202) 514-1888
SAN DIEGO BANKNOTES DEALER CHARGED WITH RIGGING BIDS
AT NEW YORK RARE BANKNOTES AUCTION
WASHINGTON, D.C. -- A San Diego banknotes dealer was charged
today by the Department of Justice with conspiring to rig bids
for the purchase of rare banknotes sold at a New York City public
auction.
This is the fourth case in the Department's ongoing antitrust
investigation into collusive bidding at auctions of numismatics
items and other goods. Thus far, the investigation has resulted
in criminal fines of $230,000.
In court papers filed today in the federal courthouse in the
Southern District of New York (New York City), the Department's
Antitrust Division charged that Ponterio & Associates Inc.--a
leading numismatics dealer and auctioneer--and co-conspirators
agreed to refrain from bidding against one another at a major
numismatics auction conducted by Christie, Manson & Woods
International Inc.
The auction, which took place on June 5, 1991, included the
sale of old and rare banknotes, proofs and specimens from the
archives of the American Bank Note Company.
Ponterio & Associates is owned by Richard Ponterio.
In April 1995, William Barrett Numismatics Limited, a
Canadian corporation, pleaded guilty to a charge of collusive
bidding at a November 1990 numismatics auction and paid a
$125,000 criminal fine. In September 1995, Mel Steinberg Inc., a
California corporation, also pleaded guilty to a charge of
collusive bidding at the same auction and paid a $50,000 criminal
fine. In March 1996, Inmobiliaria Samisu S.A., a Dominican
Republic corporation, also pleaded guilty to a charge of
collusive bidding at the same auction and paid a $55,000 criminal
fine.
Anne K. Bingaman, Assistant Attorney General in charge of the
Antitrust Division, said that the charges arose in connection
with an investigation in New York City into collusive bidding at
auctions of numismatics items and other goods. Bingaman said
that the investigation, which is being conducted by the
Division's New York Office, is continuing.
The maximum penalty for a corporation convicted of a Sherman
Act violation occurring after November 16, 1990, is the greatest
of $10 million, twice the gross pecuniary gain derived by the
defendant from the offense or twice the gross pecuniary loss
caused to the victims of the crime.
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96-475