Auction house Paddle8 has announced its bankruptcy
ARTinvestment.RU   19 марта 2020

Among creditors at home are Hayley and Justin Bieber and rapper JAY Fund-Z

18 March, a week later after as the New American Cinema Group accused the auction house of misappropriation of the proceeds for charity auction, Paddle8 has submitted the claim about bankruptcy.

"We are deeply concerned about the bankruptcy Paddle8, especially given that the Director of the Board of Directors Paddle8 Peter rich in written form acknowledged the payment obligations of the auction house in front of non-profit charitable organization [New American Cinema] less than a week ago and assured us that Paddle8 "came to the decision to pay the money to my client immediately," — stated in interview Artnet News the lawyer of the New American Cinema Group Paul Koss. — Now it seems that it was nothing like the unscrupulous tactics of delay, the case to buy time Paddle8 to transfer money that was supposed to go to charity, his lawyers".

New American Cinema Group — non-profit organization founded by filmmaker Jonas Mekas in 1962 for the support and development of avant-garde cinema. In November 2019 the company, together with the auction house Paddle8 held the auction, the entire proceeds of which were to go to various charity projects. However, four months after the end of trading of New American Cinema Group had still not received the money for the sold lots. Moreover, as reported, of the lots sold are already in the hands of new owners. This is the fourth joint charity auction Paddle8 and New American Cinema Group, and the previous three were held without-либо problems, so so long time of waiting for the money from the auction house company is not much bothered.

Among the creditors listed in the bankruptcy petition Paddle8, are singer Justin Bieber and his wife Hayley, who oversaw the recent auction of "Biebers x LIFT x of LA Inner City Arts". The auction house owes them a little over $73 thousand a little more than $65 thousand Paddle8 needs of the organization the Shawn Carter Foundation famous by Jay Z and a little over $100 thousand — non-profit Foundation, The Rema Hort Mann Foundation.

auction house Paddle8, founded in 2011 by Alexander Gilkeson, boys, Aditya Golkoy and Osman Khan, was one of the first online-платформ, managed to succeed in trading over the Internet. For the most part they sold items cost from $1 thousand to $100 thousand Since the founding of Paddle8 has attracted a total of $83,5 million in investment among investors, listed brothers Winklevoss, gallery owners Jay Joplin and David Tsvirner, and other important figures of the art market.

In 2016, Paddle8 has teamed up with the Berlin-based online-аукционом Auctionata, and in early 2017, when the auction house Auctionata has declared itself bankrupt, Paddle8 purchased the assets of former partners and had their restructuring. Now, it seems, Paddle8 can expect the same fate — but who will buy the auction house is quarantined during an economic crisis?

the Material was prepared by Maria Kuznetsova, AI

Sources: observer.com, news.artnet.com