Art World Swindled in 15-Year Fraud Scheme
The Alleged Deception
Federal prosecutors have accused three individuals of orchestrating a massive art and sports memorabilia fraud scheme that spanned over 15 years. The defendants allegedly created and sold counterfeit artwork and memorabilia, duping galleries, auction houses, and collectors nationwide.
The Masterminds
The alleged ringleaders of the scheme are Donald Henkel, his brother Mark Henkel, and Raymond Paparella. Prosecutors claim that the trio forged or altered artwork, music collectibles, Hollywood memorabilia, and sports items, passing them off as authentic.
Modus Operandi
To make their creations appear genuine, the Henkel brothers allegedly worked with “straw sellers” who pretended to own the artifacts and provided falsified provenance. They also forged documents and used vintage pens to make fraudulent signatures look authentic.
Precisionist Paintings
Among the alleged forgeries were paintings falsely attributed to Precisionist painters Ralston Crawford and George Ault. Precisionism was an art movement known for its emphasis on machines and architecture, with a “highly controlled approach to technique and form.”
Gertrude Abercrombie
The defendants are also accused of forging a painting by Chicago artist Gertrude Abercrombie. They allegedly created fake baseballs and bats purportedly signed by legendary athletes like Lou Gehrig and Babe Ruth.
The Unraveling
The scheme began to unravel when an unidentified victim purchased an alleged Ault painting for $200,000 and later discovered inconsistencies in its authenticity. Law enforcement was alerted, and investigators examined the painting, finding evidence of stenciling and the use of a yellow pigment not widely used in 1938, the purported year of its creation.
Expert Analysis
Several conservators examined the suspicious Ault painting and identified inconsistencies. One expert suggested it had been stenciled, while another detected the use of an anachronistic yellow pigment. Lab tests on other alleged Ault paintings sold by Henkel revealed similar discrepancies.
Victims and Losses
The indictment lists 11 victims of the fraud scheme, including a Walt Disney memorabilia collector in California, an auction house in London, and galleries and auction houses in New York, Pennsylvania, Texas, and Michigan. One gallery spent $500,000 on paintings connected to the scheme, while other buyers paid hundreds of thousands of dollars for fake items.
Aftermath and Charges
The three defendants have pleaded not guilty to charges of mail fraud or wire fraud. Mark Henkel faces an additional charge of witness tampering. Each count carries a potential sentence of up to 20 years in federal prison.
Impact on the Art World
The alleged fraud scheme has shaken the art world and raised concerns about the authenticity and provenance of artwork. Experts warn that buyers should be vigilant and seek professional advice before making significant purchases.
