Displaying items by tag: debts

Venetian Mayor Luigi Brugnaro has revealed plans to sell off some of the city's artworks to help settle the municipality's mounting debts. The shortlisted works include notable paintings such as Gustav Klimt's Judith II (Salome) (1909).

According to Der Standard, Klimt's masterpiece, which hangs in the International Gallery of Contemporary Art in Ca ‘Pesaro, has been estimated to sell for €70 million ($79.6 million).

German public broadcaster Westdeutscher Rundfunk (WDR), which controversially put some of its art collection up for sale to pay off debts, has been banned from exporting two paintings by Ernst Ludwig Kirchner and Max Beckmann.

A spokesperson for North-Rhine Westphalia's culture minister Ute Schäfer confirmed that the state filed a request to add the works to the list of nationally important cultural goods, Rheinische Post reported.

A new expert appraisal of the Detroit Institute of Arts’ collection, which some creditors are demanding be sold to help pay municipal debts in the city’s bankruptcy case, has found that the works could be worth $2.7 billion to $4.6 billion.

The appraisal, commissioned by the city and the museum in advance of a federal bankruptcy trial in August, also added that such a price tag would never be attained at sale, for reasons including donor lawsuits that would delay or prevent the sale of many valuable works, weakness in the market for some kinds of paintings, and lower sale prices because of the sheer bulk that would flood into the market at once. The appraiser, Artvest Partners, an art investment firm based in New York, said that because of these factors and the notoriety of such a forced sale from a venerable public institution, the bulk of the museum’s collection might raise as little as $850 million.

Edgar Degas’ (1834-1917) La Masseuse (The Masseuse), which was once owned by the German-born British painter Lucien Freud (1922-2011), has been given to the Walker Art Gallery as part of the British government’s Acceptance in Lieu (AiL) of law. The AiL is a provision under which inheritance tax debts can be written off in exchange for the acquisition of objects of national importance.

The Degas sculpture was one of three works by Degas bequeathed to England following Freud’s death. The Walker Art Gallery, which is located in Liverpool and houses one of the largest art collections in England outside of London, was granted the sculpture after a competitive process with other UK museums and galleries. La Masseuse, Degas’ only two-figure sculpture, will join the artist’s painting Woman Ironing at the Walker.

Xanthe Brooke, Curator of European Art at the Walker Art Gallery, said, ‘We’re very grateful to Arts Council England for allocating the sculpture to the Walker Art Gallery, where it will be appreciated by an enthusiastic and diverse audience.”

In an effort to curb the massive debts accrued by the American Folk Art Museum’s former chairman, Ralph Esmerian, the institution has decided to sell over 200 works from its collection at an auction at Sotheby’s. Esmerian, the former owner of the jewelry company Fred Leighton, is currently serving a six-year jail sentence for wire fraud and other charges.

In 2005, Esmerian promised to donate 263 works from his illustrious collection to the Folk Art Museum. However, he used some of those same works as collateral to secure multi-million-dollar loans with Christie’s and Sotheby’s. Late last month, Manhattan’s U.S. Bankruptcy Court arranged a settlement with the museum allowing the Folk Art Museum to keep 53 of the promised works as long as they enhance the institution’s collection and aid its educational mission. The remaining works, which include paintings, sculptures, scrimshaw, and needleworks, will be sold at Sotheby’s.

The trustee responsible for liquidating Esmerian’s estate has decided to sell the remainder of the collection through Sotheby’s, much to Christie’s dismay. Christie’s filed an objection to the settlement on March 15, 2013 claiming that Sotheby’s intimidated the trustee into choosing them to host the important auction.

The Esmerian sale will be held in December 2013 or January 2014 and the profits will go towards repaying the creditors the former chairman defrauded.