At the restaurant Rappo, who speaks eloquent English as well as French, Russian, and her native Bulgarian, chain-smokes throughout the evening, and although she orders champagne, she scarcely touches it, preferring to talk, talk, and talk. Both her husband, a handsome, quiet man, and her lawyer, "Maître Michel," occasionally interrupt, telling her, "Tania, no, don't say that," but clearly Rappo is not a woman who is told what to do.
Russian oligarch Dmitry Rybolovlev had decided to send off a tough 2014 in New York City. The Monaco-based billionaire had been in the headlines for all the wrong reasons after a Swiss judge awarded his ex-wife Elena $4.5 billion in their seven-year divorce battle. An avid art collector, Rybolovlev decided to spend New Year’s Eve with Sandy Heller, Steve Cohen’s well-known art adviser. As they exchanged war stories, one particular tale made his jaw drop: it was about a beautiful Nude by Italian artist Amadeo Modigliani that Cohen sold for a juicy $93.5 million to a mystery buyer. What Heller didn’t know was that behind the veil of anonymity stood Rybolovlev, fuming internally on that December 31. Rybolovlev had paid his trusted friend and art broker Yves Bouvier $118 million for the piece, more than $22 million above what he just found out the market value should've been, including the fee. Not one to sit around, the oligarch went for the jugular, filing a criminal complaint in the Principality of Monaco for fraud and money laundering only nine days later. In what promises to be the biggest art scandal of 2015, Bouvier was ambushed by eight police officers who took him into custody this February, tricked by Rybolovlev himself as they were set to discuss payment terms for a masterpiece by Mark Rothko. He’s currently out on bail.
Buried treasure, mysterious deaths, looting, forged documents, secretive Swiss bank vaults and shadowy intermediaries. This is not a description of a Dan Brown thriller. It’s real life: the trade in illegally exported antiquities. As prices soar into the millions of dollars for the top pieces, so does the incentive to dig up treasures in Italy, Greece, Turkey and farther afield, pass them to “runners” who will sneak them illegally across borders, store them in a Swiss vault and then quietly slip them into the trade. The players in this murky world can make a fortune, but this is a dangerous game.

Finally, he also failed to vet his partner in Trump Scion hotel opening soon in Dallas, who has deep ties in money laundering from Kazakhstan and Russia, and opened two offshores in Cyprus in 2008, which, again, is the favorite destination for Russian oligarchs’ exported cash. (The Scion deal ultimately fell apart due to public opposition to the project.)


Having turned the craft of international art smuggling into an art in its own right, Michel Van Rijn was once wanted by authorities all over the world for sneaking valuable pieces of art across sea and land. With millions in the bank, Michel lived the life of a playboy. He owned private planes, enjoyed a harem of beautiful women, and did business with some of the world's most dangerous criminals-many of whom were members of various governments (and probably still are).
The Harriman Institute strives to facilitate the effective use of the unique resources it possesses to further the work of the diverse community of scholars in residence, students and the more than 60 faculty members who make up the Harriman Institute faculty. Taken together, the library collections of Columbia and the New York Public Library constitute the single largest concentration of Russian-language materials in the country. Moreover, the numerous resources of New York City—the U.N. missions, the many foundations and societies based in the city, the wealth of museums, special collections and archives, to name just a few—ideally complement those of Columbia University.
The Responsible Art Market, or RAM, is an industry-supported not-for-profit organization which describes itself as ‘”[r]aising awareness of risks faced by the art industry and providing practical guidance on establishing and implementing responsible practices to address those risks.”  On its website, RAM provides both an Art Transaction Due Diligence Toolkit, as well as Guidelines on Combatting Money Laundering and Terrorist Financing (“AML Guidelines”).  The AML Guidelines are similar to the protocols set forth by the Basel Institute, but provide slightly more concrete detail.  They set forth eight basic principles:
I always faced my problems. You have to show some balls. Funnily enough, a lot of these hitmen, if they are cut from the right cloth, will come to you with a certain respect if you don't hide. When the Yugoslavian mafia were going to kidnap my father and brother for trying to set a sting operation against them, I had to come back to Amsterdam to face it. I said, "OK, come along. If you're going to kill me, kill me. If you want my money, go fuck yourself." That's the language they speak. I was standing with my bodyguards on the terrace in Amsterdam and this car flew past and they started shooting at me. A bullet went straight through my leg.
E was established in the international art market, as well as the black market at the time. He must have seen some potential in me. Obviously you had to take risks in the art smuggling world, and he probably saw me as somebody who would take them, which was indeed true. I had a Dutch passport as well, which I'm sure didn't hurt. So E wanted me to take these stolen antique byzantine oil lamps and crucifixes back with me to Holland. I did, and sold them for top dollar to private collectors in Europe.
I always faced my problems. You have to show some balls. Funnily enough, a lot of these hitmen, if they are cut from the right cloth, will come to you with a certain respect if you don't hide. When the Yugoslavian mafia were going to kidnap my father and brother for trying to set a sting operation against them, I had to come back to Amsterdam to face it. I said, "OK, come along. If you're going to kill me, kill me. If you want my money, go fuck yourself." That's the language they speak. I was standing with my bodyguards on the terrace in Amsterdam and this car flew past and they started shooting at me. A bullet went straight through my leg.
“The tax laws in art make it basically legal to not pay taxes on art. If you’re a serious art buyer, you just get a good tax accountant,” former New York-based art consultant Beth Fiore tells Hopes&Fears. “If you show newly purchased works in certain museums then you never have to pay taxes on it.” Edward Winkleman of Winkleman Gallery maintains that his gallery keeps fastidious records of all transactions and pays taxes even on cash sales. But he admits that, “the state generally wouldn't question what is reported.” He also tells us that individual sales don’t need to be reported, only the totals for each quarter. Hypothetically, someone could buy millions of dollars worth of art without the IRS knowing, and then later sell those works for a “legitimate” profit that looks clean on taxes.
The Salisbury attack has reopened questions about more than a dozen suspicious deaths of Russians in London in recent years, many of them linked to organised crime. Even before the attack on the Skripals, the relationship between Russian money in London and international crime came under renewed attention with the success of the BBC television series McMafia.
Regardless of whether this provision ultimately is enacted, the underlying issue will persist.  This post discusses some of the general concerns that the art and antiquities world can be misused as a conduit for dirty money.  We then discuss the AML Standards for Art Market Operators proposed by the Basel Institute on Governance, and similar standards set forth by the Responsible Art Market, both of which attempt to set forth a framework for those in the business of trading art to mitigate their money laundering risks.
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