mock trial case indiana 2015-16
TRANSCRIPT
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2015-16 CASE MATERIALS
Copyright © 2015. All rights reserved. Permission to duplicate portions of this case for non-
profit, educational purposes is hereby granted, provided acknowledgment is given to the Indiana Bar
Foundation.
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INTRODUCTION
On behalf of Indiana Bar Foundation, we welcome your participation in the 2015-2016 Mock
Trial competition. This year’s mock trial case takes us into the colorful world of the art market and the
darker shadows of art forgeries when the authenticity of a painting purchased at a charity art auction is
questioned. Art forgery often involves intrigue and deception, and a forgery case necessarily involvesexperts and connoisseurs, and someone who has been duped by an ingenuous, sometimes charming,
trickster. In this case, the plaintiff claims that an auction company sold a forged painting and either knew
it to be forged at the time of the sale or failed to perform the necessary due diligence to confirm the
authenticity of the painting. The defendant auction company contends that the painting sold to the
plaintiff was not a forgery, and that the defendant performed sufficient due diligence for authenticating
the painting. The defendant also alleges that the plaintiff failed to perform any due diligence and
therefore is negligent if the painting is a forgery.
Students – Through participation you will experience what it is like to prepare for and present a
case before a judge. Working with your team and coaches, you will learn to evaluate information and
respond quickly. As you prepare, you will sharpen public speaking and presentation skills. The greatestbenefit is the opportunity to learn how the legal system works. By studying and understanding
courtroom procedure, you should become more comfortable with federal and state laws as part of the
legal system. Your interaction with some of Indiana’s finest attorneys and judges will give you a glimpse
of the different interpretations of trial procedure and different approaches of individuals in the legal
arena.
Teacher Coach, Attorney Coach, or Judge – We strongly encourage you to focus on the goal of
participation by students rather than stressing competition while preparing for the competition. Your
contributions of time and talent are making many experiential educational opportunities available
annually to many Indiana students. Your participation is an essential key element to the success of this
program. You can be proud of the impact you have made on the lives of these students.
Good Luck and Have Fun!
Copyright © 2015. All rights reserved. Permission to duplicate portions of this case for non-
profit, educational purposes is hereby granted, provided acknowledgment is given to the Indiana Bar
Foundation.
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CASE BACKGROUND
The wealthiest and most elite citizens of Indiana gathered together on a beautiful September
evening in 2013 for one of the most publicized events of the year. The exclusive list of VIP guests arrived
with much fanfare and media attention for the prestigious gala and fundraising event for the Caring
Hearts Children's Hospital Foundation. Plaintiff Val Hughes, a recent multi-million dollar lottery winner,
attended the charity art auction to purchase a collectible work of art as an investment whilesimultaneously supporting the Foundation's goal to provide funds for pediatric cardiology equipment
and services for the children of Indiana.
At the art auction, Hughes was the successful bidder for a highly collectible E. Colline oil
painting. Lou/Lu Ting, d/b/a Charity Operations Network, the Defendant Auctioneer, purportedly
represented that the painting was authentic and came with a Certificate of Authenticity. When the
painting was in the process of some restoration work by Chris Cross, Hughes was notified that the
painting was a fake.
Was the painting purchased by Hughes at the art auction a fake? Was there a misrepresentation
of the painting's authenticity and provenance? Did the Defendant perform sufficient due diligence todetermine the authenticity of the painting? Did the Plaintiff exercise due diligence before purchasing the
painting? And, who can be trusted in this myriad of personalities and egos?
Plaintiff’s Witnesses:
Val Hughes - Plaintiff and Purchaser
Chris Cross – Art Restorer, Expert Witness, and Former Forger
Hunter O’Klooz – FBI Agent and Art Fraud and Forgery Investigator
Defendant’s Witnesses:
Lou/Lu Ting – Defendant, Auctioneer and Owner of Charity Operations Network Doane Orr– Estate Representative of Painting’s Original Owner
Cassidy (“Cass”) Dowt- Appraiser, Expert Witness, and Former Museum Curator
Exhibits:
1.
Charity Auction Catalogue
2. Painting
3. Sales Receipt
4. Certificate of Authenticity
5. Appraisal
6. Charity Operations Network Website Excerpts
7.
Notes from Auction 8. Curriculum Vitae of Cassidy Doubt
The Case Background is not to be used as evidence in the case, but rather is provided for background
purposes only. This case is a work of fiction. The names and events described herein are intended to be fictional.
Any similarity or resemblance of any character to an actual person or entity should be regarded as only fictional for
purposes of this mock trial exercise.
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STATE OF INDIANA )
) SS: IN THE MARION CIRCUIT COURT
MARION COUNTY )
VAL HUGHES )
)
Plaintiff, )
)
v. ) CAUSE NO.: 49C01-1410-CT-0777
)
LOU/LU TING d/b/a CHARITY OPERATIONS )
NETWORK )
)
Defendant. )
COMPLAINT Plaintiff, Val Hughes, by counsel, files this Complaint against the Defendant, Lou/Lu Ting,
and states:
General Allegations
1. Plaintiff Val Hughes is a resident of Crows Nest, Marion County, Indiana.
2. Defendant Lou/Lu Ting, d/b/a Charity Operations Network, is a resident of Carmel, Hamilton
County, Indiana and purports to be a professional charities art auctioneer.
3. On September 7, 2013, Plaintiff was at the Caring Hearts Children’s Hospital Foundation Gala &
Charity Auction (Charity Auction) where Defendant offered for sale for the benefit of the Foundation
works of fine art represented to be collectibles and Masters.
4. Defendant organized and managed the Charity Auction from start to finish, including, but not
limited to, providing works of art for the auction, auctioning the works of art, collecting payment, and
delivering the works of art to the buyers.
5. Defendant prepared, published and distributed to Plaintiff a catalogue of all works of art
available for sale at the Charity Auction (“the Catalogue”).
6. The Catalogue represented that Lot 39 was an original oil canvas painting by American
Impressionist Elvida Colline (“the Artist”), entitled Fishing at Dawn, painted in 1927 and signed by artist
Elvida Colline (“The Painting”).
7. The Catalogue further represented that the Painting was in “good condition” with minimal
restoration.
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8. The Catalogue also represented that the owner obtained the Painting by descent from a family
member that received it directly from the Artist.
9. The Catalogue represented that the Estimated Value of the Painting was between
$300,000-$500,000.
10.
Paintings by the Artist in the American Impressionist style are highly collectible and valuable.
11. At the beginning of the Charity Auction, Defendant represented that all works of art at the
Auction that contain a signature had been authenticated by a nationally recognized, independent third
party.
12.
When the Painting came up for auction, Defendant represented that the Painting came with a
Certificate of Authenticity and that the Painting was authentic.
13. Defendant either knew or failed to perform sufficient due diligence to determine if the
representations made about the painting were false.14. Plaintiff relied upon the representations made by Defendant in writing and verbally at the
Charity Auction.
15. Defendant failed to conduct adequate independent research into the authenticity of the
Painting.
16. Plaintiff was the highest bidder for the Painting in the amount of $455,000. (“the Purchase”).
17. Plaintiff paid Defendant the purchase price of $455,000 by wire transfer on September 8, 2015.
18. Defendant delivered the Painting to Plaintiff at Plaintiff’s residence on October 7, 2015.
Count I Rescission Based on Mutual Mistake
19. Plaintiff incorporates the allegations in Paragraphs 1 through 18 as if fully set forth herein.
20. Plaintiff bought the Painting believing it to be a genuine painting by Colline .
21. Defendant represented in the Sales Receipt issued to Plaintiff for said Purchase that the Painting
was the Artist’s work.
22. The Painting is a forgery.
23. Plaintiff had no knowledge that the Painting was a forgery.
24. Plaintiff relied upon the representations made by Defendant to his/her detriment.25. To the extent Defendant was not aware of the forgery, Plaintiff and Defendant were mutually
mistaken in believing that the Painting was an authentic work by Elvida Colline.
26. Plaintiff agreed to and did purchase the Painting without any knowledge of these mistakes.
27. Plaintiff fully performed all of his/her obligations for the purchase.
28. Plaintiff has no adequate remedy at law and is therefore entitled to a rescission.
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Count II Breach of Express Warranties
29. Plaintiff incorporates the allegations in Paragraphs 1 through 28 as if fully set forth herein.
30.
Before and at the time of the sale, for the purposes of inducing Plaintiff to purchase the
Painting, Defendant represented to Plaintiff that the Artist who created the Painting was Elvida Colline,
that the Painting was authentic, that the Painting had a Certificate of Authenticity, and that the Artist’s
signature on the Painting had been independently verified.
31. Plaintiff relied upon Defendant’s express warranties concerning the Painting's authenticity and
would not have purchased the work had he/she been aware that those warranties were false.
32. Plaintiff fully performed any obligations under the purchase agreement.
33. Defendant breached its express warranty because the Painting is a forgery.
34.
Plaintiff suffered damages, as a result of this breach.
Count III Fraud
35. Plaintiff incorporates the allegations in Paragraphs 1 through 34 as if fully set forth herein.
36. Defendant fraudulently induced Plaintiff to purchase the Painting by falsely stating the Painting
was authentic.
37. Defendant knew the Painting was a forgery, and that it had no value.
38. Defendant knowingly participated in the sale of a forgery.
39.
Plaintiff had no reason to know that Defendant’s statements were false.
40. Plaintiff relied on each of the misrepresentations made by Defendant in purchasing the
Painting.
41 Plaintiff ’s reliance on Defendant’s misrepresentations was reasonable.
42. In reliance on the misrepresentations and omissions of Defendant, Plaintiff was damaged.
43 Because Defendant engaged in the fraudulent conduct, willfully and maliciously, and with the
intent to damage Plaintiff, Plaintiff is entitled to an award of punitive damages.
Count IV – Negligence
44. Plaintiff incorporates the allegations in Paragraphs 1 through 43 of the Complaint as if fully set
forth herein.
45. Defendant was negligent in failing to exercise due diligence in determining the authenticity,
provenance , condition and value of the Painting.
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46. As a consequence of the negligence of Defendant, Plaintiff suffered damages.
47. The damages sustained by Plaintiff were proximately caused by the negligence of Defendant.
WHEREFORE, Plaintiff, Val Hughes, prays for damages against Defendant Ting, and all other just
and proper relief.
/s/ Ben Trikt .
Ben Trikt, esq.
HOOD WINK & TRIKT, PC
1000 Meridian Street
Indianapolis, IN
Attorney for Plaintiff
JURY DEMAND
Plaintiff respectfully requests trial by jury. /s/ Ben Trikt .
Ben Trikt, esq.
Attorney for Plaintiff
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STATE OF INDIANA )
) SS: IN THE MARION CIRCUIT COURT
MARION COUNTY )
VAL HUGHES )
)
Plaintiff, )
)
v. ) CAUSE NO.: 49C01-1410-CT-0777
)
LOU/LU TING d/b/a CHARITY OPERATIONS )
NETWORK )
)
Defendant. )
DEFENDANT’S ANSWER TO COMPLAINT
The Defendant, Lou/Lu Ting d/b/a Charity Operations Network, for his/her answer to the
Complaint, states as follows:
1. Defendant is without knowledge or information sufficient to form a belief as to the truth
of the allegations of paragraph 1 of the Complaint.
2. Defendant admits the allegations of paragraph 2 of the Complaint.
3. Defendant admits the allegations of paragraph 3 of the Complaint.
4.
Defendant admits the allegations of paragraph 4 of the Complaint.
5. Defendant admits the allegations of paragraph 5 of the Complaint.
6.
Defendant denies the allegations of paragraph 6 of the Complaint.
7. Defendant denies the allegations of paragraph 7 of the Complaint.
8. Defendant denies the allegations of paragraph 8 of the Complaint.
9. Defendant denies the allegations of paragraph 9 of the Complaint.
10. Defendant admits the allegations of paragraph 10 of the Complaint.
11. Defendant admits the allegations of paragraph 11 of the Complaint.
12.
Defendant denies the allegations of paragraph 12 of the Complaint.
13.
Defendant denies the allegations of paragraph 13 of the Complaint.
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14. Defendant is without knowledge or information sufficient to form a belief as to the truth
of the allegations of paragraph 14 of the Complaint.
15. Defendant denies the allegations of paragraph 15 of the Complaint.
16.
Defendant admits the allegations of paragraph 16 of the Complaint.
17.
Defendant admits the allegations of paragraph 17 of the Complaint.
18. Defendant admits the allegations of paragraph 18 of the Complaint.
Count I
19.
Defendant incorporates herein by reference its answers to the allegations of paragraphs
1 through 18 of the Complaint.
20. Defendant is without knowledge or information sufficient to form a belief as to the truth
of the allegations of paragraph 20 of the Complaint.21. Defendant denies the allegations of paragraph 21 of the Complaint.
22. Defendant is without knowledge or information sufficient to form a belief as to the truth
of the allegations of paragraph 22 of the Complaint.
23. Defendant is without knowledge or information sufficient to form a belief as to the truth
of the allegations of paragraph 23 of the Complaint.
24. Defendant is without knowledge or information sufficient to form a belief as to the truth
of the allegations of paragraph 24 of the Complaint.
25.
Defendant denies the allegations of paragraph 25 of the Complaint.
26. Defendant is without knowledge or information sufficient to form a belief as to the truth
of the allegations of paragraph 26 of the Complaint.
27. Defendant admits the allegations of paragraph 27 of the Complaint.
28. Defendant denies the allegations of paragraph 28 of the Complaint.
Count II
29. Defendant incorporates herein by reference its answers to the allegations of paragraphs
1 through 28 of the Complaint.
30. Defendant denies the allegations of paragraph 30 of the Complaint.
31. Defendant denies the allegations of paragraph 31 of the Complaint.
32. Defendant admits the allegations of paragraph 32 of the Complaint.
33. Defendant denies the allegations of paragraph 33 of the Complaint.
34.
Defendant denies the allegations of paragraph 34 of the Complaint.
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Count III
35. Defendant incorporates herein by reference its answers to the allegations of paragraphs
1 through 34 of the Complaint.
36.
Defendant denies the allegations of paragraph 36 of the Complaint.
37.
Defendant denies the allegations of paragraph 37 of the Complaint.
38. Defendant denies the allegations of paragraph 38 of the Complaint.
39. Defendant denies the allegations of paragraph 39 of the Complaint.
40. Defendant denies the allegations of paragraph 40 of the Complaint.
41.
Defendant denies the allegations of paragraph 41 of the Complaint.
42. Defendant denies the allegations of paragraph 42 of the Complaint.
43. Defendant denies the allegations of paragraph 43 of the Complaint.
Count IV
44. Defendant incorporates herein by reference its answers to the allegations of paragraphs
1 through 43 of the Complaint.
45. Defendant denies the allegations of paragraph 45 of the Complaint.
46. Defendant denies the allegations of paragraph 46 of the Complaint.
47. Defendant denies the allegations of paragraph 47 of the Complaint.
WHEREFORE, Defendant prays for judgment in his/her favor, that Plaintiff take nothing by way of his/hercomplaint, for costs, and all other just and proper relief.
AFFIRMATIVE DEFENSES
First defense
The sole proximate cause of the damages allegedly sustained by plaintiff was plaintiff's own
negligence, and for that reason, plaintiff is not entitled to recover.
Second Defense
The damages allegedly sustained by the plaintiff were caused in whole or in part, or were
contributed to, by the negligence or fault of the plaintiff, and for that reason, the plaintiff is not entitledto recover, or, plaintiff's damages must be reduced accordingly.
Third Defense
Plaintiff failed to exercise due diligence.
WHEREFORE, the Defendant prays that Plaintiff take nothing by way of his/her complaint; that judgment
be entered in favor of Defendant; and for such other and further relief as is just and proper.
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/s/ I.M. Reddy .
I.M. Reddy, esq.
WEIR REDDY & WILLING
26 West Main Street
Carmel, IN Attorney for Defendant
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STATE OF INDIANA )
) SS: IN THE MARION CIRCUIT COURT
MARION COUNTY )
VAL HUGHES )
)
Plaintiff, )
)
v. ) CAUSE NO.: 49C01-1410-CT-0777
)
LOU/LU TING d/b/a CHARITY OPERATIONS )
NETWORK )
)
Defendant. )
STIPULATIONS
Note: No witness may contradict or deny knowledge of the facts contained in the stipulations.
1.
Unless stated otherwise herein, all exhibits included in these Case Materials are
authentic and accurate in all respects; no objection to the authenticity of these exhibits will be
entertained. The admissibility of the exhibits on other grounds may be challenged.
2. All witness statements were signed under oath by each witness on October 15, 2015.
3. In accordance with Mock Trial Rules, the parties are not permitted to enlarge or enhance
any item in the Case Materials, including Exhibits. Due to the limitations of Mock Trial, the parties
stipulate and agree that Exhibit 2 is an oil canvas painting of the size of 29” x 23” with the artwork as
depicted. The parties further stipulate and agree to the admissibility of Exhibit 2 the authenticity of
which will be determined in this trial.
4. The parties agree that Exhibits 1, 3, and 6 are created by a person with knowledge of the
information contained therein at or about the time of the events, that such records are kept in the
course of regularly conducted activity and that it is not necessary to enter the exhibits through the
custodian of the records.
5. The parties stipulate and agree that the Curriculum Vitae of Cassidy Dowt (Exhibit 8) is
admissible, without objection.
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APPLICABLE LAW
Burden of Proof in Negligence Cases
The plaintiff has the burden of proof by a preponderance of the evidence on the following
propositions:
a. that the defendant was negligent ;
b. that the plaintiff suffered damages; and
c. that the negligence of the defendant was a proximate cause of the damages suffered by
the plaintiff.
Negligence
Negligence is the failure to use reasonable care.
A person may be negligent by acting or by failing to act. A person is negligent if he or she does
something a reasonably careful person would not do in the same situation or fails to do something areasonably careful person would do in the same situation.
Reasonable or Ordinary Care
Reasonable or ordinary care is the care a reasonably careful and ordinarily prudent person
would use under the same or similar circumstances. Reasonable care does not require a person to
foresee and guard against that which is unusual and not likely to occur.
Proximate Cause
An act or omission is a proximate cause of the damages suffered if the damages are a naturaland probable consequence of the act or omission. To establish that an act was the proximate cause of
damages, a party must show:
(1) That damages would not have occurred but for another’s negligence; and
(2) That damages were reasonably foreseeable as the natural and probable consequence of
the other’s negligence.
Fraud
Fraud exists when:
(a) there is a material misrepresentation of fact
(b) made with knowledge of its falsity or recklessly made without knowledge of its truth
(c) with the intention of being acted upon by another, which
(d) is relied upon by another (a buyer)
(e) to his/her damage.
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STATUTES AND RELATED LAW:
Ind. Code § 26-1-2-313 Express Warranties
(1) Express warranties by the seller are created as follows:
(a) any affirmation of fact or promise made by the seller to the buyer which relates to the
goods and becomes part of the basis of the bargain creates an express warranty that thegoods shall conform to the affirmation or promise.
(b) any description of the goods which is made part of the basis of the bargain creates an
express warranty that the goods shall conform to the description.
(2) It is not necessary to the creation of an express warranty that the seller use formal wordssuch as "warrant" or "guarantee" or that he have a specific intention to make a warranty,
but an affirmation merely of the value of the goods or a statement purporting to be merely
the seller's opinion or commendation of the goods does not create a warranty.
Ind. Code § 26-1-2-314 Implied Warranties
(1) a warranty that the goods shall be merchantable is implied in a contract for their sale if
the seller is a merchant with respect to goods of that kind.(2) Goods to be merchantable must at least pass without objection in the trade under the
contract
(3) Unless excluded or modified (IC 26-1-2-316), other implied warranties may arise fromcourse of dealing or usage of trade
ADDITIONAL LAW:
Express warranties are not created from puffing or statements of personal opinion such as I think this is a
beautiful painting or an affirmation of value such as this is one of the best values you can find today in
art of this period.
One who sells a piece of art has a fiduciary responsibility to exercise due diligence in the authentication
of a piece of artwork.
Due diligence is the responsibility of one who sells, buys or donates personal property to establish that
the item is not stolen and can change hands with good title and that it is real.
Autocephalous Greek Orthodox Church v. Goldberg & Feldman Fine Arts, Inc. 917 F .2d 278 (7th Cir 1990)
“In a transaction like this, all the red flags are up and the red lights are on, all the sirens areblaring. In such cases, dealers can (and probably should) take steps such as a formal IFAR search, a
documented authenticity check by disinterested experts, a full background check of the seller and his
claim of title, insurance protection and contingency sales, contract, and the like.”
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Statement of Val Hughes1
My name is Val Hughes. I live in Crows Nest, Indiana, about 7 miles northwest of downtown2
Indianapolis. I live in the former home of Eli Lilly. I also have a home in Naples, Florida. Even though I3
now live in mansions in pretty swanky areas, I have humble beginnings. I grew up in the small town of4Vevay, Indiana, where life was pretty simple and my family, neighbors, and friends felt good about5
putting in an honest day's work. My parents instilled in me the core values of fairness, honesty,6
integrity and truthfulness. I have held on to my core values from those humble beginnings. The way I7
see it is that if a person has integrity, nothing else matters. If a person does not have integrity, nothing8
else matters. Perhaps I have been naive in thinking that once I ventured out into the world that others9
would abide by those same principles. Unfortunately, the circumstances surrounding this lawsuit have10
shown me that is not the case.11
If you're wondering how a simple 26 year old from Vevay, with just a high school education,12
amassed such wealth to own two mansions and circulate among the rich and famous, I guess you could13
say I won the lottery - literally. In May of 2013, I won the largest jackpot in the history of Powerball,14
with winnings of $590 million, and some change. Ordinarily,I didn't waste the little money I had on a15
game of chance. But I knew the jackpot was going to be big the week I purchased my ticket and I16
thought that spending $5 for a chance at the largest jackpot was at least worth the entertainment of17
looking at the winning numbers the next day to see if they matched my lucky numbers. After paying the18
IRS and Indiana their respective shares in taxes, I still was left with quite a fortune. Becoming instantly19
wealthy gave me the opportunity to purchase a new home, expensive cars, and some of the finer things20
in life, including artwork.21
Prior to winning the lottery, I worked at the Gold Bars Casino in Madison, Indiana. During my22
employment at Gold Bars, I was assigned to the craps table. Craps is a dice game where players make23
wagers on the roll, or a series of rolls, of a pair of dice. I rotated positions on the craps table as either a24
Stickman (the person who announces the results of each roll and moves the dice on the table with an25
elongated wooden stick) or a base dealer (the person who collects and pays bets to the players). What I26
observed as an employee at Gold Bars is that people would lose hard-earned money with the roll of a27
dice. The “House” (the casino) always had the advantage. There may be players who are really lucky for28
a period of time, but in the long run those winning streaks end, and their money is lost. When I won the29
lottery, I didn’t want to risk losing money in a “crapshoot.” I wanted to invest my winnings in something30
stable; something that was “a sure bet.”31
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Many people came out of the woodwork when I won the lottery. There were relatives I never32
knew and friends from even grade school that soon referred to me as their favorite relative or best33
friend. Some wanted a loan, others had investment “opportunities.” There were many investment and34
financial advisors that contacted me with ways to grow my money. Of course, I was a bit nervous about35
investing in the stock market when some analysts were predicting that the market was headed for36
another crash, and I saw my 401K drop to half of its value after the 2008 stock market crash.37
A family friend, who had acquired some Salvador Dali signed prints, told me that the value of38
the prints had quadrupled in value and suggested that I look into art as an investment. I had always39
heard that art was a good investment. I admit I was, and still am, new to the art scene and a novice40
buyer. However, I thought it would be a safe investment for some of my money, if I purchased41
collectible art from a reputable dealer.42
When I was invited as one of the exclusive, VIP guests to attend the Caring Hearts Children’s43
Hospital Foundation’s fundraising gala and art auction, I thought it was the perfect opportunity to44
acquire a collectible art piece. At the same time, I thought I could help a charitable cause, especially one45
that would provide for the health and well-being of children. The Foundation's goal was to provide46
funds for pediatric cardiology equipment and services for the children of Indiana. So, on September 7,47
2013, I attended the Foundation’s Gala and Art Auction at the Crowne Plaza in downtown Indianapolis.48
The wealthiest and most elite citizens of Indiana were there. It was one of the most publicized events of49
the year in Indiana, and the fanfare surrounding the event was over the top. The “buzz” of excitement at50
the gala set the mood to contribute and buy some art to support the children of Caring Hearts. I shared51
the enthusiasm of other prospective donors to give generously to the charity.52
The art auction was conducted by Lou/Lu Ting of Charity Operations Network. A week prior to53
the auction, I along with the other attendees received a glossy Catalogue of the art pieces with54
photographs of the art that would be auctioned at the fundraiser. Anyone wishing to view any of the art55
to be auctioned had the opportunity to schedule an appointment with Ting to have the art examined, or56
even appraised. I was busy negotiating the purchase of my homes in Crows Nest and Naples, and didn’t57
see any need to personally examine the paintings prior to the auction. The catalogue noted that the58
paintings I was interested in came with a Certificate of Authenticity, so I felt like I had a guarantee. I did59
not request any documentation of any particular painting’s history, Certificate of Authenticity, or Lot60
Condition Report. It had not occurred to me that a charitable auction company raising funds for a61
children’s hospital couldn’t be trusted. Exhibit 1 is a true and accurate copy of excerpts of the Art62
Catalogue for the Caring Hearts Children’s Hospital Foundation Art Auction.63
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I was particularly drawn to the American Impressionist paintings because they depict a lighter,64
carefree sense of life, which reminded me of my youth and growing up in Vevay. The Catalogue65
featured paintings by Daniel Garber, Theodore Robinson, and Elvida Colline (pronounced El-VEE-dah66
Cah-LEEN). I had no idea of the current market value for collectible American Impressionist original67
paintings. Feeling like a fish out of water, I used ARTnet.com, an internet data base, to determine the68
current market price for similar works of Garber, Robinson and Colline. The recent sale prices on69
ARTnet.com for those artists were consistent with the estimated prices listed in the Charity Operations70
Network Catalogue. In fact, the recent sales prices that I located on the website sold higher than the71
estimated market value.72
The line-up of artwork at the September 7th art auction was nothing less than impressive.73
Charity Operations Network pulled out all of the stops. Early in the evening, it was evident that bidding74
would be active, and the event would generate some serious cash and the much needed funds for the75
Children’s Hospital. Even to an art novice like me, I could tell there were plenty of offerings that were76
drawing attention as highly desirable collector’s items. The reactions of other guests and sophisticated77
potential buyers to many of the art lots convinced me that this was my opportunity to purchase a78
collectible painting. As I browsed the various lots displayed at the Gala, I referred to the Catalogue for79
each painting’s description, provenance, condition, and estimated value. Then, I used a smartphone app80
that instantly connects with auction house databases to check on comparable paintings by the artist. A81
few of the guests told me that they had hired an appraiser to preview specific pieces at the Charity82
Operations Network gallery prior to the auction, or to accompany and advise the buyer at the auction.83
In retrospect, I wish I had done that.84
I narrowed my selection to a painting by Daniel Garber, called Bayou, depicting two row boats,85
and an Elvida Colline painting depicting a boat with two people in a boat ready to fish, entitled Fishing at86
Dawn. I was drawn to both paintings because of the serenity of the water and the way the light danced87
off the landscape. Both paintings were considered highly collectible and there were crowds surrounding88
those displays. The Colline piece went up for auction first, so I decided not to take any chances. I also89
thought the piece by Colline was a better investment because the Catalogue noted that most of Colline’s90
American Impressionist paintings had been destroyed in a fire, and that in later years she followed the91
movement into Modernism. In an attempt to familiarize myself with some of the Lots in the Catalogue, I92
read a few blogs about some of the American Impressionists. I learned through the blog that there were93
only a few women American Impressionist painters, and Elvida Colline was quite prominent. I believe94
the blog was authored by Chris Cross, although I did not know him/her at the time. I recall that the95
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blogger said he/she would like to get his/her hands on a Colline painting and noted that they were rare96
and in demand. I did not print the blog and I have since looked for it on the internet but it has been97
taken down. I think it was by Chris Cross, but I can’t recall with any certainty. 98
Lou/Lu Ting, the owner of Charity Operations Network, was the auctioneer for the Caring Hearts99
Children’s Hospital Foundation Charity Auction. Of course, auctioneers can talk really fast, but there100
were definitely some things that Ting said that I clearly understood and provided reassurance that I was101
purchasing something of great value and a solid investment. At the opening of the auction, Ting said102
Charity Operations Network uses nationally known signature authenticators for all items. More103
specifically, when Ting described the Colline painting during the auction, he/she represented that the104
painting came with a Certificate of Authenticity. Ting said the painting had provenance and had been105
verified as authentic. I also noted that the Catalogue indicated that a Certificate of Authenticity was106
available for the Fishing at Dawn painting.107
The bidding at the auction for Colline’s Fishing at Dawn was quite fierce. Ultimately, the final108
two bidders were some Indianapolis mogul magnate and me. The hammer came down on my bid of109
$455,000. Of course, I was also required to pay the Buyer’s premium fee of 20%, which I understand is110
fairly typical in the art auction world, and sometimes it is even more. And I also paid the Indiana sales111
taxes. Exhibit 2 is the Painting I purchased at the Auction and Exhibit 3 is a true and accurate copy of the112
Sales Receipt for the purchase of that painting. I paid a premium price for the E. Colline painting, but I113
wouldn’t have been the successful bidder if I had not bid the $455,000. In any event, I was happy to114
help out the Children’s Hospital, and I was satisfied that because Fishing at Dawn was in such high115
demand, it would be a great investment and would only increase in value over time.116
When I purchased the Elvida Colline painting, it was the f irst “real” artwork I had ever purchased117
and the first item I had ever purchased through an auction, charity or otherwise. I purchased the118
painting, not because of its value, as there were lots of other works of art at the auction that had119
greater value. Rather, I purchased it because I liked it. At the time, I was not familiar with the artist, and120
had no idea that Fishing at Dawn was such a valuable, coveted, piece. I subsequently gained more121
appreciation for the fact that Colline’s work is quite an exception in the art world and that she was one122
of the few female American Impressionists of that time, and certainly also in the Midwest. Colline had123
studied in Europe with many of the Impressionists, such as Claude Monet and Pierre-Auguste Renoir.124
However, Colline was most heavily influenced by the works of Alfred Sisley, a French Impressionist, who125
was the most consistent of the Impressionists in his dedication to painting landscape en plein air (i.e.,126
outdoors).127
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I provided a wire transfer of the total sales price to Charity Operations Network the day128
following the auction. When speaking with Ting regarding the wire transfer, I also asked about the129
Certificate of Authenticity. Ting responded that everything would be delivered in thirty days. On130
October 8th, the painting was delivered from Charity Operations Network. When the painting was131
delivered, the Certificate of Authenticity was not presented to me. I contacted Ting again, and he/she132
said the paperwork had been misplaced. Ting said “Oh, I know we have it in a file somewhere.” I133
received the Certificate of Authenticity one year later (after the painting was discovered to be a fake).134
Exhibit 4 is a true and accurate copy of the Certificate of Authenticity.135
I did not press to receive the Certificate of Authenticity because it was just a piece of paper; the136
artwork should speak for itself as to its authenticity. I needed to obtain an appraisal anyway for137
valuation purposes to insure the painting and to determine any charitable contribution I could take on138
my tax return. When I inquired at art galleries and dealers as to a recommendation for a fine art139
appraiser, and particularly American Impressionist paintings, Cassidy Dowt kept coming up as the top140
recommendation for an appraiser.141
I made arrangements for Dowt to come to my home for purposes of appraising the painting that142
I had purchased at the Caring Hearts Auction. Dowt arrived at my home on November 1, 2013. I was143
surprised by Dowt’s demeanor. Even though his/her business thrives on social and business connection,144
he/she was generally rude. Dowt acted haughty. Perhaps that know-it-all attitude, however, convinced145
me to blindly trust his/her opinions as to the Colline painting.146
Dowt attributed the painting to that of Elvida Colline. Dowt was unequivocal that the painting147
was authentic. Dowt appraised the value of the painting at $575,000. Exhibit 5 is a true and accurate148
copy of Dowt’s appraisal. Dowt did note some condition issues of the painting, specifically some prior149
restoration work. However, Dowt mentioned that these condition issues were minor and did not affect150
the value of the painting. Dowt recommended that I hire an art conservator to perform restoration151
work to bring out the painting’s full beauty and to preserve its value. Dowt also suggested that I invest152
in re-framing it to highlight the painting’s flow of lighting throughout the piece. Dowt recommended153
Chris Cross as the conservator and restoration expert. Dowt informed me that Chris Cross specialized in154
American Impressionist paintings, and had a keen eye for Colline’s paintings, among others. After I155
found out the painting was a fake, I filed suit against Dowt. Unfortunately, Dowt filed bankruptcy. The156
lawsuit is probably why Dowt is here in court testifying against me. In any event, any claim I had against157
Dowt has been discharged in the bankruptcy case.158
Shortly thereafter, I followed up with Chris Cross by phone to set up an appointment to discuss159
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the potential restoration work. On November 8, 2013, I met with Cross at his/her Broad Ripple studio.160
My instant read on Cross was that he/she is a bit quirky, but very likeable. Cross disclosed right from the161
beginning his/her past and life of crime as a forger. Chris showed humility, yet strength of character.162
Cross shared with me his/her history of imprisonment for forgery and how it changed his/her life. I163
learned that Chris now even works with the FBI. After Chris’ confession, I had no concerns of his/her164
trustworthiness. As evidence that my trust was not misplaced, Chris is the one who uncovered the165
forgery and it was Chris who notified the FBI and started an investigation on the same day Chris notified166
me that my painting was a fraud. Cross showed his/her stand-up character and never even sent me a167
bill for any work he/she did on the painting. I guess he/she felt bad that I was the victim of a forgery.168
Cross was passionate about his/her conservation work. Cross discussed his/her the meticulous169
attention to detail and care he/she takes to preserve the Masters. He/she did not want to do anything170
that would decrease the value of a painting. In Cross’ studio, he/she showed me some of the work171
he/she had done for other collectors, museums, and galleries. Cross specialized in restoration work of172
American Impressionists. I knew that by hiring Cross, I was retaining a conservator who is very skillful173
and knowledgeable, and likely the best in his/her field. Before Cross would accept the restoration work,174
however, he/she said it was necessary to view the painting in person.175
The following Monday, on November 11th, Cross came to my home and looked at the Fishing at176
Dawn painting. Cross’ reaction to seeing the painting for the first time was priceless. It was like seeing177
a long lost friend after years of separation. It was like Cross could not keep his/her eyes off the painting.178
Chris examined the painting closely and then told me that he/she would be honored to be entrusted179
with the care of Fishing at Dawn and restoring the painting to its original beauty. In addition, Cross said180
that he/she had the perfect frame, almost like it had been made just for it.181
Chris talked to me about maintaining the quality of the painting once it had been restored,182
including proper humidity levels, keeping it out of direct sunlight, proper methods to hang the picture,183
and how to dust and clean it. Chris even suggested a place where he/she thought the painting should184
be hung in my home. To enhance the painting, Cross suggested accent lighting and even recommended185
a contractor to do that work. Cross also recommended that I install added security measures given the186
significant value of the painting and the lure of it for art thieves. Cross made a recommendation for a187
security system contractor as well. Cross won me over with all of his/her personal attention and interest188
in making sure the painting would be preserved long-term.189
Chris discussed his/her hourly fee for restoration work of $250.00 per hour plus the cost of190
materials, including the frame, which would be $14,000.00. Chris noted that significant restoration work191
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was not necessary as the painting was in good condition. He/she estimated 30-40 hours of work, and192
described in detail the work that would be performed to clean, make repairs, and reframe it.193
Chris could not start on the project immediately due to other pending projects and the194
upcoming holidays. Cross also explained he/she would need to work on it intermittently between195
working on a significant project at Wishard Hospital of restoring murals by T.C. Steele and other famous196
artists. Cross was also working on a mural at a local church. I was in no rush to get the painting back. In197
fact, as I told Cross, I had plans to leave on November 22nd for a four-month World Cruise. Satisfied with198
my arrangements with Cross, I agreed to have Cross do the restoration work, and authorized him/her to199
pick-up the painting from my home when he/she was ready to start the project.200
Prior to departing for my World Cruise, I made arrangements for work to be done on my house201
to upgrade the lighting and to upgrade my security system to safeguard the Colline painting. The202
Contractors began work on November 18
th
. I authorized the contractors to release the painting to Cross203
when he/she was ready to work on it. While I was on my cruise, I received a text message confirming204
that Cross had picked up the painting on January 6, 2014.205
I returned from my cruise on March 21st. I had no idea what news was in store for me. Then on206
April 7, 2014, I received a call from Cross. He/she said “Sit down. I have bad news for you.” Cross then207
told me that he/she had just begun the restoration work on the painting and upon closer examination208
had discovered it was a forgery. Cross told me that he/she had notified Agent O’Klooz of the forgery 209
and a federal investigation had been started. Imagine my shock. Imagine my anger. Lou/Lu Ting and210
Charity Operations Network had duped me. I brought this lawsuit because one should be able to trust211
and rely upon the expertise of, and statements made by, the auctioneer.212
I affirm under penalty of perjury that the foregoing is true and correct to the best of my belief213
and knowledge.214
Val Hughes . 215
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Statement of Chris Cross222
My name is Chris Cross. I live at 6060 N. Park Avenue in Broad Ripple, Indiana. For the past223
eleven years, I have owned and operated The Art of Art, an art restoration business, also located in224
Broad Ripple. Specifically, I restore high-end master paintings. I also am a guest art columnist for the225Indianapolis Star and blogger.226
I primarily specialize and would consider myself a connoisseur of oil paintings by Impressionists227
and American Impressionists. It is an art of immediacy and movement, of candid poses and228
compositions, of the play of light expressed in a bright and varied use of color. Impressionists were229
radicals. They violated the rules of traditional academic painting at the time. Impressionists’ brush230
strokes are small, thin and short, but are visible. Their paintings are characterized by the use of colors231
that are blended, but not smoothly, as was customary, to achieve an effect of intense color vibration.232
They portray overall visual effects instead of details. They used open composition with an emphasis on233
the accurate depiction of light and its changing qualities. The subject matter of their paintings focused234
on realistic scenes of modern life, with ordinary people, and used movement to illustrate the human235
perception and experience. Impressionists often painted outdoors. Previously landscapes were usually236
painted in a studio.237
My restoration work includes preventing deterioration of paintings, repairing damages, and re-238
framing the paintings. My business is successful, without advertising. Word of mouth generates most of239
my business. I get referrals from numerous art galleries, art dealers, fine art appraisers, collectors, and240
even museums. My ability to mirror the work of the masters in order to preserve it is a critical241
component of my success as a restorer. I have a knack for recreating the likeness of the artist’s original242
without disturbing the original painting and decreasing its value. I have become well-respected in the243
inner sanctum of the art world because when I restore a painting, I am meticulous about keeping the244
original art piece as true as possible. I exercise great caution to not change the painting, or if I make245
changes to have those changes documented and obvious. For example, I will use paints for the touch-up246
that are chemically different than the original paint, so that they can be removed in the future without247
damaging the original.248
I am not a member of the Appraisers Association of America (AAA), nor am I an Accredited249
Member, senior or otherwise, of the American Society of Appraisers (ASA). I also am not a member of250
the American Institute for Conservation and Historical and Artistic Works (AIC). I do not need the labels251
to get referral work. Not to say that I reject the purpose of establishing guidelines for this industry. As a252
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matter of fact, the manner in which I perform restoration work is consistent with AIC guidelines.253
I also did not attend college, or have any formal training in art restoration, appraisals, forensics254
or art history. Instead, I have years of on the job training, so to speak. In my prior life, I was an art255
forger. I forged several American Impressionists, and some have yet to be discovered. A few of my256
forgeries are still hanging in museums. I never forged any works of Elvida Colline, although I would have257
enjoyed the challenge of doing so. Her brushstrokes, techniques, and visual acuity, are quite unique.258
I never forged for greed. Rather, I had been rejected by art world for my original works and so it259
was a sense of pride for me to pull off forged art to unsuspecting museum curators, art galleries, and the260
like. To forge artwork also requires a bit of a cunning spirit. To be in on the con, you have to project an261
image of expertise and sophistication that comes with years of training. But the one thing that kept me262
from getting caught for many years was to follow the cardinal rule of keeping lies to a minimum. I was263
turning around forgeries of major pieces in a month to two months’ time. But it soon all caught up with264
me. My vanity got to me and I started putting my initials in the art work I forged. It was my little joke265
on the art world. That’s how FBI finally caught me, and I landed in prison. My imprisonment for art266
forgery hurt my family, and I vowed that when I got out of prison I would lead an honest life.267
I have ended my life of forgery, but I have used that knowledge, skill, and connoisseurship to268
make an honest day’s wage. As you might expect, forgers make good conservators. My experience as a269
forger has taught me the techniques and practices of individual artists, enabling me to restore the work270
of an artist as if their hand was on my brush. So, I opened this little shop for restoration work, and271
business has been great. I don’t hide the fact that I once was a con, forging art work. I am completely272
upfront about it to all of my customers. In fact, my ‘bad” reputation has been good for business. My273
ability to mimic almost identically an artist is a much sought after talent in art restoration. I have reaped274
personal rewards too. I now have gained recognition and notoriety for my talents that I had to once275
hide as a forger.276
As part of my transformation, and in a complete turnaround, I now work WITH the Federal277
Bureau of Investigations to detect forgeries. I've turned a dark period of my life into something good.278
People think a person can't change their colors, but I am living proof that you can. The FBI uses my279
expertise as a former forger to determine attribution and authenticity of a painting. In addition to280
aiding the FBI in the detection of art forgeries, my experience with known forgers has been helpful to281
the government to identify the forger. You see, I have the unique experience, unlike most art experts,282
of recognizing a forger’s work, as well as the work of particular artists. I am not a detective, nor am I283
trained as one. My training is in street smarts, which candidly sometimes the stodgy FBI agents lack. I284
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like to think of myself as an art sleuth. I approach detecting forgeries by looking for clues. The more285
clues I have, the more I learn about the forger, the more I am able to fit the clues together, and wrap up286
a case. It is much like Sherlock Holmes. Each case is a study in collecting and analyzing clues, then287
drawing logical conclusions from the clues.288
The perception that an art piece was created by the artist is critical to its desirability and289
salability. A buyer wants to believe that the art piece represents the artist's creative genius and vision.290
Many artworks have value because of their attribution. A big name brings big bucks. Unfortunately, art291
is an appealing target for a forger, and easier to get away with than forgers of currency. A forger's292
mission is to create something that will be accepted as genuine and have value, AND it must go293
undetected by those who are practiced at examining a particular artist.294
Through my blog, I try to help educate the public on acquiring art. Many people are under the295
delusion that investing in art is a solid investment. The best way to double your money is to not buy art,296
but rather take your money out of your wallet, fold it in half and put it back in. The perception that art297
is an investment is perpetuated by the myth that art always goes up in value. While the myth may be298
true in certain circumstances, buyers should not accept this myth wholesale. Buyers need to do their299
homework, know who they are dealing with, and refer questions about a potential purchase to an art300
professional, such as an appraiser.301
Buyers can be fooled by the "packaging" of a painting. If it looks old, it must be old, right? For302
example, reproductions of seventeenth century paintings can be dummied up to look authentic by303
printing a piece on paper, then gluing it on oak panels, then highlighted with oil paint in places. You304
package up what appears to be an original in an elaborate gold frame, and the painting appears to be305
more than it is. It is an easily affordable technique to masquerade as an original antique oil painting.306
Also, it is common for a painting to be inherited and the later generations believe they have a prize307
possession when, in fact, the artwork is merely decorative art that looks like it could be something of308
value.309
Nor should a buyer rely upon a Certificate of Authenticity (COA). Many COAs are faked and310
forged, and simply are not reliable. Traveling charity auction companies and internet sellers are311
notorious for offering a certificate of authenticity, such that there is now a cottage industry willing to312
fabricate COAs. In many galleries, and particularly traveling charity auction companies, the truth is313
replaced by a fictional narrative.314
The Certificate of Authenticity is one of the most misunderstood and abused tools in the art315
market. The only person who can authenticate a work of art is the person who created it. In other316
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words, the only certificate that matters is the one signed by the artist himself or herself. All other317
certificates are merely opinions of authenticity and are only as valid and credible as the reputation of318
whoever signed it and the extent of the research they performed to arrive at their opinion. A certificate319
of authenticity does not become more valid if it is printed on special paper with a fancy border and a320
gold seal. To be useful, a COA should contain the name, nationality, and life dates of the artist, the title321
of the artwork, the medium, dimensions, location and medium of the artist's signature, identification of322
the person signing the certificate and the date, and most important, a guarantee of the truthfulness of323
the information. If a dealer or an auctioneer is unwilling to provide a money back guarantee, there is324
reason to doubt the veracity of the information provided by that dealer or auctioneer. Yet, I find it325
amazing how people are so willing to accept a certificate that provides no guarantee.326
People get the art they deserve. If you don’t enter the art market with a level of sophistication327
you become fair game. Even those considered to be collectors and art aficionados are in danger of328
buying a forgery attributed to a famous artist. They trust the dealer or auction company and do little to329
nothing to obtain an independent opinion or scholarly review. The best advice I can give any buyer of330
fine art, especially a novice buyer, is to rely upon an independent expert, such as an independent331
appraiser.332
A conservator is practiced in the art of looking at art as a physical object, paying less attention to333
its content, like that of an art historian or connoisseur. The conservator is looking close at the painting334
to determine what needs to be restored. The initial visual inspection by the conservator isn’t335
undertaken to determine authenticity. That’s not why you are hired. Nevertheless, in some instances,336
just looking at the painting to do the conservation work reveals something suspicious.337
For me, the first thing about spotting a fake is something just seems a bit off. Something seems338
not right. A forger almost always unintentionally incorporates something of his or her own nuances to a339
painting. I have used my gut instincts to uncover other fakes because the forger was not careful enough340
to do a thoroughly convincing job. If one develops an expertise in a particular artist's works, that expert341
will trust their initial response to an art piece and usually know at first contact that something is not342
right. As in many other professions, your brain compares available data with prior experiences.343
Anomalies always raise red flags and demand an explanation. The clues are always there. I find that344
99% of the time, if I follow the clues, I will confirm my first impression. Most often, you don't need345
scientific testing or an involved, lengthy analysis to determine a painting is a fake.346
Of course, as with any rule, there are exceptions. The rule that "if everything doesn't look right347
it may be a fake" does not always hold true. Sometimes an artist incorporates elements into an artwork348
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that they had not previously utilized. In those circumstances, only the artist would know if the painting349
is their work or a fake.350
In November, 2013, I received a call from Mr./Ms. Hughes requesting restoration and reframing351
for a painting. Hughes mentioned that Cass Dowt, a colleague and appraiser, had recommended me to352
Hughes. According to Hughes, Dowt suggested that a painting that Hughes recently purchased needed353
some restoration work to increase its value. I met with Hughes at my studio on November 8th. As I do354
with all of my customers or potential customers, my first order of business is to confess my prior life as a355
forger. I do so with great humility, as I realize now that when you are on the receiving end of forged art,356
you feel violated. We then discussed the general nature of my services and my fees of $250 per hour. I357
also showed Hughes several of restoration projects that I was in the process of completing, in various358
stages of the process – from the beginning to the end. I use a raking light to show how a painting, when359
it is first received by me, may have heavy, poorly done restoration. Then I show the other steps in the360
restoration process, including cleaning, structural repairs, touch-up, and applying varnish.361
When a customer is considering hiring me to do conservation work, I think it is important to362
educate the customer so that they see the value of my services and can understand the necessity of363
conservation to maintain the value of their investment. Deterioration due to age is a fact of life for364
everything, including art. Deterioration is constant, relentless and ongoing. Conservation treatment is a365
way by which we can slow down this deterioration and attempt to preserve the art piece. I explain to366
my customers that paintings are fragile creations that require special care to ensure their continued367
preservation. Paintings consist of various layers. Traditional paintings are finished with a coat of varnish.368
Paintings that do not have all of the traditional layers may be more fragile and susceptible to change or369
damage.370
Hughes asked me to do the restoration work for the painting that he/she had recently371
purchased. My schedule was already booked solid and I hesitated to take on another commitment,372
especially if a customer wanted a quick turnaround. Hughes told me that he/she was in no hurry and373
that he/she was leaving soon on a four month cruise. Hughes then told me the painting was by the374
artist Elvida Colline depicting a scene on Lake Lemon. My interest was piqued, as I have long375
appreciated Colline’s work. So, I agreed to view the painting at Hughes’ home before making a376
commitment to accept the restoration job.377
After our initial meeting, I met with Hughes the following week at his/her home in Crows Nest.378
After seeing the Colline Fishing at Dawn painting, I was excited about doing the restoration work. I have379
always admired Colline’s work and style. There are so few of her paintings remaining because of the fire380
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at her studio in the late 1920’s. I felt it was an honor to work on the piece. I wanted to do my part to381
preserve one the few Colline Impressionist paintings remaining. I consulted with Hughes about doing382
his/her part also to preserve the painting. We discussed proper conditions such as humidity,383
temperature, direct and indirect lighting, and even proper dusting techniques. We also discussed the384
best location in the house to hang the painting. Finally, I cautioned Hughes that a rare piece like the385
Colline painting would have thieves scouting the place, especially with no one home. I suggested hiring386
contractors that I knew to install proper lighting and a highly sophisticated security system. I recall387
spending more time consulting about how Hughes could best preserve and display the painting in388
his/her home than the time I spent examining the painting. I probably did not spend more than fifteen389
minutes looking at the painting. My only thought was that I did not see heavy restoration work done390
previously, so I estimated that it would only be between 15 and 20 hours of conservation work.391
I was not able to work on Hughes’ painting prior to January due to the holidays, and I was392
committed to other private collection restoration projects. Also I was involved in restoration work at393
Wishard Hospital involving murals created by American Impressionists from the Hoosier Group. The394
mural restoration was a pretty exciting project, but it was time-consuming. Finally, I was able to arrange395
and have the painting delivered to my studio on January 6, 2014. I knew when it was delivered that my396
time would be limited in working on it, and that I would have to work on it intermittently between the397
mural project, an off-site restoration at a local church, as well as other privately owned collections and398
pieces which had been contracted earlier.399
I actually didn’t see the painting when it arrived. The painting had been wrapped in paper and400
then securely stored in a crate. The contractors said that they wrapped it up and protected it from the401
dust from their work shortly after Hughes left for the cruise. In hindsight, I probably should have been402
more fastidious about confirming the delivery was legitimate and arrived undamaged. I should have, at403
a minimum, taken a cursory glance of the painting, inventoried it, and taken a photograph. For all I404
knew, it could have been a print of Scooby-Doo behind that brown wrapping.405
When the piece was delivered to my studio, I set it aside because I knew I had a few months to406
work on it. My pressing priority at the time was consulting in another case with the FBI regarding an art407
forgery, which preoccupied much of my time for the next month. Actually, that has become my most408
lucrative source of income. In the United States, I am one of only a handful of experts on American409
Impressionist artists. Many consider me to be the preeminent authority on the Midwest American410
Impressionist and Hoosier colonies. I have been an expert witness for the FBI, the IRS, state attorneys,411
almost always as a dis-interested third party. This particular case is quite unusual because I was hired412
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to do the restoration work, and I was the first one to suspect and ultimately detect the forgery. Usually,413
there is a suspicion of a forgery and I confirm that the artwork is a forgery. When I’ve been called to414
testify, I have always concluded that the artwork in question is a forgery. I wouldn’t be testifying if the415
artwork was authentic. There would be no dispute.416
Cleaning and restoring a painting is very delicate and tedious work. A good restorer will make417
sure that all techniques used in the restoration process are reversible and that any retouching is limited418
to the specific areas of damage. It typically takes about one to three months from the time the419
restoration begins until it is finished. Oil painting restoration is an exacting, labor intensive process and420
adequate drying time is necessary between steps of the restoration process. The first step is to remove421
the frame carefully so as not to damage an aged canvas. The next step is to clean the painting of dirt,422
smoke, grime and other “stuff” that, over many, many years, has accumulated and adhered to the423
surface of an oil painting. The cleaning of a painting is a slow, methodical process using special solvents424
and neutralizers, cotton balls, Qtips, and hours upon hours working 2 square inches at a time under a425
bright light and magnifier. Most oil paintings have had one or more coats of a varnish applied. So, the426
next step is to remove the varnish. Subsequently, the conservator will repair damages, such as holes,427
scratches, peeling, chipping or other damage to the surface of the painting. Then, inpainting or re-428
touching will begin. This is the process that requires the highest level of skill because the integrity of the429
original painting must not be compromised. While many individuals can learn to clean a painting, kill430
mold, and even repair a tear or hole, it is the careful reapplication of paint to the surface of the painting431
that reveals the difference between having a painting restored by a technician or a true artist. The432
careful and precise mixing and application of oil paint and replicating the original artist’s technique is433
crucial. The last step is to apply a varnish to protect the art.434
Once Hughes’ painting arrived at my studio, it was several weeks before any restoration work435
began. We were behind in fulfilling commitments on other restoration work, and we were balancing the436
private collection restoration work with the Wishard Hospital mural restoration. I had the added437
obligation of assisting the FBI on a forgery case. So, I had my assistants handle some of the groundwork438
on the Hughes restoration work – removing the frame and handling the tedious, time-consuming439
cleaning process. Finally, after the preliminary work was done, including the cleaning, removing the440
varnish, it was given time to dry. All of that work was delegated to my assistants. My expertise was in441
the actual restoration of matching the strokes and colors and images where needed to bring the picture442
back to its full glory.443
Once I began my part of the work for the restoration is when I began to question whether it was444
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a forged piece. I didn’t initially suspect it was a forgery. In fact, it was a very good, almost perfect,445
forgery. Even the signature of E. Colline appeared authentic. But I noticed a few things. I took my446
time, just like I would do if I had been hired to detect whether it was a forgery or to verify it was447
authentic. There were subtle changes and clues – the shadows of the trees by the dock looked448
unnatural, but could have also been a stylistic change by the artist. The darker shadows among the trees449
looked flat, rather than deep and had a uniformity that I found unconvincing. There is also a spot at the450
back of the boat that seems out of place. Over the next few days, I studied Hughes’ painting more451
closely. I used 50x magnification to look at the age of the painting and to see if the cracks in the painting452
were consistent with its age. I was unable to confirm that the cracks were fabricated. Of course, a453
highly skilled forger can add cracks to a recently painted piece that goes virtually undetected by baking454
the painting in a low temp oven.455
One additional tool available is a long wave ultraviolet light, which is frequently referred to by456
the oxymoron black light. I use ultraviolet light to establish authenticity. One telltale sign of a forgery is457
the paint pigments. Some forgers unknowingly will use paint pigments that were not available at the458
time the work was allegedly created. Different painting materials exhibit characteristic fluorescence459
when exposed to ultraviolet light. Using a portable ultra violet light, I observed that the shadows among460
the trees all fluoresced brightly and were therefore, in my opinion, a type of pigment in the paint that461
was not available in the 1920’s. I don't believe the discrepancies were a matter of changes to the462
varnish from cleaning or restoration. Based upon my training and expertise in Colline’s paintings and463
other American Impressionist paintings, it is my opinion that the purported Elvida Colline painting called464
Fishing at Dawn is a fake.465
It is also my opinion that Lou/Lu Ting misrepresented the painting as authentic. It is also my466
opinion that Ting failed to perform necessary due diligence before offering the E. Colline painting for467
sale at the charity auction. Ting has a duty to verify the painting’s provenance and to confirm the468
authenticity of the painting through the retention of qualified experts that will thoroughly examine the469
painting through subjective and scientific methods.470
I contacted the FBI as soon as the UV light confirmed my suspicions. On that same day, April 7th,471
I contacted Val Hughes. I told both of them that the Colline painting was a forgery.472
I am familiar with Cassidy Dowt. Dowt’s training and background is as a museum curator and as473
a connoisseur, studying the work of an artist. In contrast, I am a conservator. A conservator tends to be474
more objective than a connoisseur. The conservator and connoisseur both use magnifying glasses to475
examine the artwork more closely. After using magnification, a connoisseur is likely to stop further476
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investigation. They will only do further work after the initial visual examination if there is a red flag that477
causes suspicion. The conservator will explore more deeply to get a complete picture.478
I understand that Dowt performed an appraisal of this painting for insurance purposes for479
Hughes. Given that the purpose was for insurance purposes, I believe that Dowt may have been sloppy480
in performing the appraisal for this painting. Insurance companies will accept values from almost any481
source and they are not particular as to the amount of detail or work that is done to provide an opinion482
for the appraisal.483
Generally, I have a lot of respect and admiration for Dowt's expertise. However, Dowt is484
arrogant and pretentious. Dowt wants to sound erudite and knowledgeable, using lots of art jargon.485
His/her character makes no difference to me unless it interferes with his/her assessment of art he/she486
has evaluated. In this case, Dowt's arrogance is getting in the way of the facts. Dowt won't let his/her487
ego admit that he/she is wrong. That ego also causes him/her to discredit opinions contrary to his/her488
own. He/She is impressed with his/her own credentials and does not believe anyone has the ability or489
credentials sufficient to evaluate art in the same manner as he/she does. I disagree that one needs490
formal training to detect forged art pieces. In fact, I think understanding how forgers work gives me an491
edge that Dowt can never have. Cass and I have evaluated several paintings in the past and in all of the492
prior cases we have reached the same conclusion as to the authenticity of the work. This is the first493
case that we have differed, and quite frankly, I think Cass is standing by his/her opinion to avoid liability494
for failing to detect the forgery at the time he/she appraised the piece.495
Dowt relies heavily upon the provenance of the painting. In the fine art market, generally, the496
artworks carry provenance establishing a history of exhibitors, ownerships or publications in which the497
painting’s authenticity and importance is verified. Often there are stickers on the back from particular498
collections or exhibits which adds to its credibility and market value. In this case, no stickers were499
present. Still, Dowt relies upon the statements of Doane Orr that E. Colline was a family friend of the500
Orr family and that the painting was given to Beau Teak shortly after its creation, and remained in the501
possession of Beau Teak until his death, then given to his daughter June Orr, who then gifted it to the502
Foundation.503
However, the apparent provenance can blind those associated with a painting – owner and504
appraiser – to facts that in hindsight seem fairly evident. For example, a very well-known Norman505
Rockwell painting, titled Breaking Home Ties was purchased directly from Rockwell and remained in the506
possession of friend and fellow illustrator, Don Trachte. It was one of several paintings contested when507
Trachte and his wife divorced. Trachte generously loaned the painting for exhibitions. Twenty-five508
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years later, the painting was in an exhibition when it was noted that there were disparities in the509
painting from a picture of it in the Saturday Evening Post cover of 1954. No one suspected that it was a510
copy of the real painting created to protect the original. Subsequently, it was discovered that Trachte511
had a false wall built in his home where he had hidden his originals while hanging the copies on the wall512
for others to see. So, the moral of the story is Caveat Emptor, translated “Let the buyer beware!” 513
I affirm under penalty of perjury that the foregoing is true and correct to the best of my belief514
and knowledge.515
Chris Cross . 516
517
518
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Statement of Hunter O’Klooz 519
My name is Hunter O’Klooz. I am a Special Agent with the Federal Bureau of Investigations. The520
FBI defines its core values as obedience to the Constitution, dignity of those it protects, compassion,521
fairness, integrity, accountability, and leadership. I have been a Special Agent for 28 years, after522graduating from University of Notre Dame in Art History. A special agent must be a US citizen, and have523
a Bachelor’s degree from an accredited University. All employees of the FBI undergo a thorough524
screening and background check in order to qualify and maintain a top-secret security clearance.525
Once selected to become an FBI agent, we train for 20 weeks at Quantico, Virginia. There are526
200 categories of Federal law that come under the FBI's investigative authority. The FBI, in addition to527
protecting the United States from terrorist attacks and foreign intelligence ops and espionage, also528
combats public corruption, criminal organizations and major white collar crime.529
To be quite frank, the United States has a lukewarm commitment to art crime. Of the 14,000530
special agents in the FBI, there are only 16 agents assigned to the art theft team. The Bureau generally531
assigns cases to the appropriate squad in the city where the crime occurred regardless of expertise.532
Once assigned, art theft crimes are rarely transferred. It is often forgotten among cases involving533
corruption of public officials and violent acts of gangs and gangsters. There is a perception that art534
forgery is a victimless crime, or rather that it only affects the very rich and that these elitists deserve to535
have the wool pulled over their eyes. The prison sentences for art forgers tend to be slight too, and536
many forgers achieve fame and wealth after they are caught.537
Yet, art theft and forgeries should be a major concern of the FBI. Art forgery, fraud, and theft538
are the 3rd largest crimes in the country in dollar value, only after sales of illegal drugs and firearms.539
There is an estimated $6 billion in losses due to art theft annually. Art crime is a problem of epic540
proportions. Art forgery is widespread and routine.541
Art theft includes theft, looting, and faking originals, and transporting illegal art across state and542
international lines. Art thieves are different than art forgers. Art thieves have no specialized knowledge543
or skills, and tend to steal art only on one occasion. Art forgers, in contrast, are complex psychological544
characters, driven by a diverse range of motivations to the life of crime, such as fame, revenge, pride,545
and of course, greed. The most common is greed. Frequently, pride plays a role in the forger's modus546
operandi. The forger takes pride in fooling those considered to be experts, especially museum curators547
and the heads of auction companies who often can be smug and arrogant.548
Forgers fake art in all price ranges, not only expensive pieces or those by famous artists. So549
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don't think that you're safe just because you’re not buying a Monet. Fifty-two percent (52%) of all550
pilfered works are taken from private homes and organizations, such as galleries, churches, and551
archaeological sites. As an interesting aside, the US government has a warehouse full of art forgeries552
and relics and uses those fakes for undercover work to catch Columbian drug dealers.553
One of the most interesting FBI investigations into public corruption was the undercover sting554
operation named ABSCAM. The name came from a fake company set up by the FBI, supposedly run by a555
rich Arab sheik who wanted to invest oil money in valuable artworks. FBI agents posed as556
representatives of the sheik to target mobsters trying to sell forged paintings. As it turned out, the557
evidence led to arresting members of Congress, who offered to arrange for a state gambling license in558
Atlantic City in exchange for a bribe from the fake sheik who supposedly wanted asylum in the United559
States.560
The art market is not a regulated market. All one has to do to go into business is hang out a561
shingle and find a place to display the art for sale. There are few protections from shady art dealers,562
cunning forgers pretending to be sophisticated experts, auction companies, and even internet sales.563
Often a buyer of fine art will not find out for years, if ever, that the art purchased is a fake.564
Victims generally share common characteristics. First, victims of art fraud are usually565
unsophisticated first time buyers. They are propelled into a market which they know very little and rely566
totally upon the representation of others. Second, they have sufficient capital to invest. Third, they567
have an interest in art, but naiveté about the art market. Too often the art dealer, or in this case, the568
auction company will take advantage of the ignorance of the buyer. They count on the tendency of569
most people to rely upon the expert and to trust that surely they would not take advantage of him/her.570
A purchaser needs to exercise his/her own due diligence. They need to do independent research and571
obtain a separate appraisal prior to an art purchase.572
The primary burden of due diligence, however, falls upon the dealer or auctioneer selling the573
painting. The auctioneer has a responsibility to verify the authenticity and provenance of a painting.574
This entails thoroughly researching the painting’s history, examining the painting in person, using575
fluorescent lighting, and even submitting a valuable painting to the International Foundation for Art576
Research (IFAR).577
Dealers and auction companies often avoid digging very deep into the authenticity of a work of578
art in order to turn a blind eye to the possibility that it is a forgery. One of the secrets that art dealers579
and auction companies keep to themselves is the number of fakes in circulation and in collections.580
Bogus works of art hang in all museums and galleries, appear in almost every auction, and are sold581
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online. No dealer wants the reputation of being a whistle blower on another dealer as it will only be a582
matter of time before the tables are turned. Consequently, most fakes will often just reappear on the583
market.584
If the art dealer or auction company disclosed the truth, they would lose the money they585
invested. Galleries and auctions often are unwilling to guarantee the art sold because they don’t want586
the forgeries back. In their book "Everyone’s Guide to Buying Art ,” authors Peggy and Harold Samuels587
say that every art buyer should determine their personal painting size. The authors explain that your588
size is the measurement of the curled fingers of your hand to your armpit – because after your589
purchase, if you try to sell the art, you will go from gallery to gallery with the painting under your arm590
looking for a buyer to unload it.591
I am familiar with Charity Operations Network (CON), the defendant in this case. I have studied592