Billionaire vs. auction house $233M trial begins over ‘lost Leonardo’
investmentnews.comSotheby’s abused its “privilege, power and reputation” to help dupe a Russian billionaire out of millions of dollars as he amassed a world-class art collection, a lawyer for the businessman argued on the first day of a closely watched trial in New York.
But the auction house says billionaire Dmitry Rybolovlev partly has himself to blame for allowing his old friend and Swiss art dealer Yves Bouvier to overcharge him for four rare works, including “Salvator Mundi,” a painting attributed to Leonardo da Vinci that set a record for the most expensive artwork ever sold in 2017.
The trial in Rybolovlev’s lawsuit against Sotheby’s began Monday before US District Judge Jesse Furman in Manhattan. The billionaire is seeking more than $232.5 million in damages.
“But money is not the only issue,” Rybolovlev’s attorney Daniel Kornstein said. “This is about public interest, it’s about people who are not just wealthy. Anyone could be a victim.”
The case will offer a rare glimpse into an often-opaque industry where middle men broker art transactions between ultra-wealthy buyers and sellers who don’t always know each other’s identities. It also marks one of the final chapters in a long line of legal challenges Rybolovlev has launched around the world, attempting to hold Bouvier liable for defrauding him.
In its defense, Sotheby’s argued it had no idea Bouvier was lying to Rybolovlev about protracted negotiations with sellers in a bid to inflate the prices Rybolovlev would pay for artworks, including $184 million for Klimt’s “Water Serpents II” painting.
“He has good reason to be angry at himself for what happened to him,” said Sara Shudofsky, an attorney for the auction house. While Rybolovlev had amassed immense wealth running
Read more on investmentnews.com
