Slipping into Coma: Art and Cultural Heritage Held Hostage by the 1%

A friend sent me this article from the New York Times yesterday, One of the World’s Greatest Art Collections Hides Behind This Fence: The superrich have stashed millions of works in tax-free storage. So what does that mean for the art? It inspired me to come out of hiatus and write something for a blog. The article was about Free Port Storage and the ultra-rich 1% who use them to hold art and probably illegally acquired antiquities, say from the Drone Zones of the Middle East, for deep capture and asset appreciation purposes. After finishing the article I felt as if I had seen the long view of where this Civilization is headed and the distant end point of that vision was dark, very dark indeed.

What is a Freeport?
From another article in the Economist, a good description

The world’s rich are increasingly investing in expensive stuff, and “freeports” such as Luxembourg’s are becoming their repositories of choice. Their attractions are similar to those offered by offshore financial centres: security and confidentiality, not much scrutiny, the ability for owners to hide behind nominees, and an array of tax advantages. This special treatment is possible because goods in freeports are technically in transit, even if in reality the ports are used more and more as permanent homes for accumulated wealth. If anyone knows how to game the rules, it is the super-rich and their advisers.

Because of the confidentiality, the value of goods stashed in freeports is unknowable. It is thought to be in the hundreds of billions of dollars, and rising. Though much of what lies within is perfectly legitimate, the protection offered from prying eyes ensures that they appeal to kleptocrats and tax-dodgers as well as plutocrats. Freeports have been among the beneficiaries as undeclared money has fled offshore bank accounts as a result of tax-evasion crackdowns in America and Europe.

Source: Über-warehouses for the ultra-rich

According to the NYT article there are four Freeports for storing art and luxuries in Switzerland, and others opened in the last 5 or so years in Singapore, Monaco, Luxembourg and most recently, Newark, Delaware. Delaware? Really? What else is in Delaware. Oh yeah… Credit Card banks and Banksters!

Though the practice has been going on for several years, there are rising concerns about corruption and even illegality in the practice. Again from the NYT:

Case in point: $28 million worth of works by Andy Warhol, Jeff Koons, Joan Miró and others now stored in the Geneva Free Port. Equalia, a company registered by Mossack Fonseca (the law firm at the center of the Panama Papers controversy about how the wealthy conceal their riches), stored the works on behalf of a diamond broker, Erez Daleyot, in 2009. Once in storage, the art was used as collateral for debts Mr. Daleyot owed to a Belgian bank, according to court papers. Now a man named Leon Templesman, president of a New York diamond manufacturing company, Lazare Kaplan International, is trying to seize the art as part of a dispute with Mr. Daleyot and the bank.

A Freeport named Equalia - Can one get more freaking Orwellian in describing a vault to enrich further the beneficiaries of income inequality??!!??

For others, people who actually care about Art and Culture, such as museum professionals, there are deep moral and ethical concerns with this practice. Again from the NYT.

“Works of art are created to be viewed,” said the director of the Louvre, Jean-Luc Martinez, who described free ports as the greatest museums no one can see.
Some see even higher stakes for contemporary works, as they can be whisked off, their paint hardly dry, before ever entering the public’s consciousness. Storage puts the art “intellectually almost in a coma,” said Joanne Heyler, the director of the Broad Museum.

Almost in a coma… Did you ever see that movie based on the book of the same name by Robin Cook? Great airport reading as I recall. There was a scene where all the human specimens were in suspended animation, waiting to have organs harvested for profit. That is how I see these collections of art, now suspended in deep storage, never intended to be seen again until briefly placed on the auction block to reap millions, before returning to someone else’s Freeport vault, exactly as it happened to one of DaVinci’s pieces described in the article.

Of course in this case the art is not physically destroyed. It is probably beautifully preserved, physically. However, the soul of these pieces, what they contribute to our cultures and civilizations, that is what is obliterated while they are so unethically privatized. They should be returned to public accessibility, if not ownership.

Public accessibility to art and cultural material is at the very foundation of democratic principles in this country and throughout much of the world.

Public Access and Museums, a bit of history:

What is a Museum?

According to the ICOM Statutes, adopted by the 22nd General Assembly in Vienna, Austria on August 24th, 2007:

A museum is a non-profit, permanent institution in the service of society and its development, open to the public, which acquires, conserves, researches, communicates and exhibits the tangible and intangible heritage of humanity and its environment for the purposes of education, study and enjoyment.

This definition is a reference in the international community.
Source

Of course museums did not start out way. The earliest “museums” established during the Renaissance were coined Cabinets of Curiosities. These were the private galleries found in the Vatican, in the Villas, Chateaux, Castles and Great Houses of the nobility, the ruling class, for display only for other clergy, nobles and other members of the elite. There was nothing public or educational about these collections. They contained the art, antiquities, oddities, rarities, riches and objects of elegance meant to illustrate the wealth and power of their owners.

The artists and arts of the Renaissance began to dispel the ignorance of the preceding age with their vision, creativity, curiosity and skill. Their art, however, was funded and owned by the elites who patronized them. Art was not yet to be experienced by or for the people. This art, or cultural material, was something passed on as inheritance, within the private family line. It was not yet part of a community or public cultural heritage.

Cultural Heritage

Unlike property acquired through inheritance, an asset passed down for private wealth: Heritage is a public good; its preservation must be assumed by the community when individuals fail to do so. Source

Culture is a basic need. A community thrives through its cultural heritage, it dies without it.

Cultural heritage consists of tangible and intangible, natural and cultural, movable and immovable assets inherited from the past. It is of extremely high value for the present and the future of a country. Access, preservation, and education around cultural heritage are essential for the evolution of people and their culture.

The Revolutionary Age of the 18th and 19th centuries gave rise to the great Public Museums for the display and preservation of cultural heritage for the public good. The Public Museum was a tangible manifestation of the very idea of Democracy. The British Museum opened in 1753 and went public in 1759. The Uffizi, founded by the de Medici’s, went public in 1743. The Louvre went public in 1793. In the US Charles Wilson Peale founded the first public museum in 1786 in Philadelphia’s Independence Hall. Peale was a portrait artist who painted the likenesses of many of this country’s founding leaders. It is notable that Peale utilized Linnaean taxonomy to organize natural history specimens, moving away from collections of oddities and into a scientific and educational approach.

The later 19th and early 20th centuries saw the foundation of many of America’s great Public Art and Natural History Museums by the Monopolist Industrialists or Robber Barons of the Gilded Age like Carnegie, Field, Frick, Mellon, Huntington, Rockefeller, Morgan, Phelps-Dodge, Hearst and Heye among others. These were the 1% of their time, and they did give some other their wealth for the public good through philanthropy - for museums, universities, hospitals and other valued institutions in spite of being oinkers of the first order as employers. These museums too are not free of problems. Many are temples of colonization to this day, but many are at least addressing that problem in recent decades by compliance with the Native American Graves Protection Act.

The external glitter of wealth conceals a corrupt political core that reflects the growing gap between the very few rich and the very many poor. ~~ Mark Twain

And so it goes…

Today’s public museums are still beholden to the few philanthropists who help fund anything public. Their numbers are dwindling. Alternative sources like public funding through government appropriations and grants have also been drying up. Anyone remember the Detroit Institute of Art? How about the Illinois State Museum? Did you know that New York City’s larger museums are looking at huge staff layoffs in coming months to address their shrinking budgets?

Yes, we are at a familiar cross-roads again, looking down the abyss of a new dark age where the very few feudal overlords keep our cultural heritage captured in their precious vaults. Our heritage becomes purely objectified and stripped of meaning as is transformed into an asset for the accumulation of more, always more, of their own personal family wealth. These Neo-liberal fuckers make the Robber Barons look like Saints.

We need a new wave of Robin Hoodism to liberate this cultural heritage from such a fate. If we lived in sane times, that Robin Hood would come in the form of decent newly drafted New Deal inspired regulation of the off the charts chaotic capitalism and kleptocrats of our times. Yes, I’ll say it, this country needs Neo-Socialism. The pendulum has swung too far to the extreme and must be brought back to balance. This is of course not only for art and culture’s sake, but more so for the sake of the very planet.

If there is no chance for Robin Hood law and policy, then there will have to be Robin Hood activism, much like that of the original namesake. Something better change and quickly. Summer is coming…. Perma-summer.

Thanks for reading and let me know your thoughts.

Share
up
0 users have voted.

Comments

Cosmic's picture

so thanks for all the buttons! And good morning everyone.

up
0 users have voted.
Lookout's picture

It used to be that the rich kept pet artists and commissioned works. Now they collect and warehouse them. What a world!

Every time I think there's nothing else that will surprise me, I'm surprised. Thanks for the info.

up
0 users have voted.

“Until justice rolls down like water and righteousness like a mighty stream.”

importer's picture

all this stuff stashed away for the benefit of a tiny handful of maniacs. They are still looking for the "Amber Room" stripped from the Russians during the war. In years to come, will it become clear that these vaults hold far more than we could dream. I would bet the Bush family vault holds tons of pieces looted from Iraq. When the war started there were reports by eye witnesses of busloads of men in a specific "uniform" moving through Baghdad, starting fires and taking goods. I'm sure the list was long, including the Baghdad Battery - http://www.atlasobscura.com/places/bagdad-battery

up
0 users have voted.
Cosmic's picture

A whole new generation of "Monument Men" and women are needed to liberate the cultural heritage from all the plundering going on due to the wars. I've gotten to know both Afghani and Iraqi students specializing in cultural heritage preservation and they say in no uncertain terms that the loss of this heritage is the loss not just of things, but their very identity.

The illegally acquired antiquities, these representations of another peoples history, culture and identity, have been stripped of their context and provenience and placed into deep storage to accumulate market value. No doubt corrupt dealers and appraisers will create false narratives and ownership histories for these pieces so that when they are brought out for auction it will all appear so proper. Meanwhile, the people who should retain these things are affronted yet again.

Here is info on a good article about efforts to reverse this trend

Responding to a Cultural Heritage Crisis: The Example of the Safeguarding the Heritage of
Syria and Iraq Project
Author(s): Salam Al Quntar, Katharyn Hanson, Brian I. Daniels and Corine Wegener Source: Near Eastern Archaeology, Vol. 78, No. 3, Special Issue: The Cultural Heritage Crisis in the Middle East (September 2015), pp. 154-160
Published by: The American Schools of Oriental Research
Stable URL: http://www.jstor.org/stable/10.5615/neareastarch.78.3.0154

up
0 users have voted.

George W. Bush's name might actually still have currency among the well-educated, not for any political significance, but as the man whose folly led to a cultural catastrophe on the scale of losing the library at Alexandria.

up
0 users have voted.

The earth is a multibillion-year-old sphere.
The Nazis killed millions of Jews.
On 9/11/01 a Boeing 757 (AA77) flew into the Pentagon.
AGCC is happening.
If you cannot accept these facts, I cannot fake an interest in any of your opinions.

riverlover's picture

Why is it always "mine!"?

up
0 users have voted.

Hey! my dear friends or soon-to-be's, JtC could use the donations to keep this site functioning for those of us who can still see the life preserver or flotsam in the water.

Pariah Dog's picture

He'll be known not just for his folly, but as one of the instigators and profiteers of this well known "inside job."

up
0 users have voted.

Meddle not in the affairs of Dragons - For thou art crunchy and good with ketchup

arbitrary objects of arbitrary scarcity is always a matter for the scratching of the head.

We have more ingots of gold envaulted than we have any real use for, practical or ornamental. Yet, we continue to dig up and extract gold, using appallingly destructive techniques, so that the resulting gold can be molded into bricks or stamped into coins, and then locked away for civilization's duration. At the very least, it brings the question: Why bother to extract it, given the associated direct and indirect (e.g., pollution, health problems) costs? Why not just haul the ore (or the clay, or whatever) away in dumptrucks and pile it up in a mountain? Chemical analysis would give you a fairly precise idea of how much gold was contained there, and you could sell little pieces of paper that indicated how many cubic yards an investor or bank or government owned.

It's a ridiculous thought experiment, not because the scenario proposed is ridiculous, but because the reality challenged by the scenario is ridiculous.

up
0 users have voted.

The earth is a multibillion-year-old sphere.
The Nazis killed millions of Jews.
On 9/11/01 a Boeing 757 (AA77) flew into the Pentagon.
AGCC is happening.
If you cannot accept these facts, I cannot fake an interest in any of your opinions.

My first impression? Damn, that looks cool. Like something out of a James Bond film, some kind of evil underground lair. LOL

That aside, I can't get too upset with this. Sure, having original works of art in museums is nice, but there's a much darker form of cultural suppression that has me truly concerned, and that's IP law. The Mickey Mouse effect on copyright law is going to ensure that any culturally significant works created from the early 1900s until eternity will be forever locked up, trotted out only when it's financially beneficial to the IP "owner", or never released at all. Unfortunately, overbearing copyright law is one area where Democrats and Republicans are in lockstep.

up
0 users have voted.

Thas is one way a culture can die; impoverishment of the intellectual and artistic commons, which are the seedbed.

But disagree with dismissing the sequestration of actual original art works as a matter of less concern.

up
0 users have voted.

Euterpe2

There are literally billions of pieces of art in the world. They're created every day by millions of artisans. Why get hung up on a minuscule number of them?

If people with more money than sense want to declare a handful of them "valuable" and pay huge sums of money just to hide them away, who cares? I've got original art hanging on my walls that was purchased from the artist directly, not traded from one person to the next with nary a dime of the millions of dollars that it's "worth" making it back to the artist.

Support local art. Ignore the snobbery perpetuated by the wealthy, and it loses meaning.

up
0 users have voted.
Cosmic's picture

Like the range of ancient every day up to highly sacred artifacts and cultural materials belonging to indigenous peoples or extinct cultures. These are indeed precious, because they are irreplaceable. They are deeply imbued with meaning and are tied to a people's tradition and identity. These objects are often also considered high art by their 1% collectors. The snobbery of those collectors can't be ignored.

A really good example of this phenomenon is the recent attempted sales of katsina masks sacred to the Hopi in Paris auction houses. Another is the looting of artifacts throughout Iraq and Syria.

I addressed the cultural heritage aspect in my diary as much as the "fine" art. You might consider that side of the story too.

up
0 users have voted.

Looting, that's another matter entirely. But I'm talking strictly about the legal purchase of art.

Is it the original item itself that's valuable to culture heritage, or is the value in what it represents? Original works from famous artists are worth millions, but reproductions are not. Why? The only reason the original has value is because it's the only original. But is the cultural value of the item the fact that it's one of a kind? I say no. If an items cultural value is determined by scarcity, then that's not about culture, it's a fetish.

That's why I choose to focus on open IP law as so important. If an item can be recreated for negligible cost as technology now allows, then the item can be made available to literally everyone. What if you could download a file that allowed you to print out an exact replica of that mask on a 3D printer? Or allowed people to see it up close, turn it around, examine it using VR technology? That's going to be way more accessible than even putting it in a museum, because how many people get to travel the world visiting museums to see all the amazing artifacts of history? Even if I visit all my local museums every time they get a new exhibit, I'm still only seeing a tiny curated fraction of what's out there. Most people will never visit the Louvre, so to them the Mona Lisa might as well be locked in some private collectors vault. But reproduction can provide the same cultural value without all the other baggage that the scarcity brings with it.

up
0 users have voted.
Cosmic's picture

A 3-D replica of a katsina mask would be considered an abomination, a simulacra. It seems you only see the superficial value of things. Cultural heritage must have authenticity. The appearance of the thing is only that. The evidence of use, the intangible, spiritual aspects, the real materials used to make the thing by skilled ancestors, that is where the meaning lies. That is where the cultural value lies. That is where the story can be found, the history. Authenticity and context matters very much.

Again, from my essay

Cultural heritage consists of tangible and intangible, natural and cultural, movable and immovable assets inherited from the past. It is of extremely high value for the present and the future of a country. Access, preservation, and education around cultural heritage are essential for the evolution of people and their culture

up
0 users have voted.

At this point I'll respectfully agree that we disagree. Smile

up
0 users have voted.

Unless the culture you want to save is soho chic
And why anyone would want to preserve that is the real mystery

Preserving certain historical artifacts is good but ART value is subjective... It's worth ONLY what value the rich put on it... And once they deem art of value it becomes a commodity, same as a stock... It's traded for profit and IMHO this destroys ART by reducing it to nothing but what a rich person is willing to pay format so another rich person can't have it.

Someday all those vaults will contains nothing but worthless objects no one can Eat and so no one will care.

and I go back to laughing that anyone would put a value for a Jeff koons piece (he doesn't even make them himself) as to hide it away in a titanium vault .... Because, In truth, as with warhols soup cans, koons art can be devalued in a blink of an eye by simply mass producing it. Smile

Lord what fools these rich people be.

up
0 users have voted.

Orwell was an optimist

lotlizard's picture

was married to Koons for a time and who was elected to the Italian parliament / chamber of deputies.

up
0 users have voted.

I know someone who is a big art collector... She had purchased a small koons piece at an auction and was dying to show it off... I was visit g this persons home and saw the koons piece and was feeling feisty so I said, this is nice did you buy it at Macys?

(Laughs)

up
0 users have voted.

Orwell was an optimist

which is one of the more startling tells.

up
0 users have voted.

The earth is a multibillion-year-old sphere.
The Nazis killed millions of Jews.
On 9/11/01 a Boeing 757 (AA77) flew into the Pentagon.
AGCC is happening.
If you cannot accept these facts, I cannot fake an interest in any of your opinions.

I'm not sure how a discussion of libertarians came into this, but I'd say it's a stretch to say that most of them love current IP law. Libertarian views of IP are all over the map. Even Ayn Rand herself, while in favor of IP protection, understood that it needed to be for a limited time. What that time is, I'm not sure she ever expounded upon. But Ds and Rs seem to believe that infinity minus one is a limited time.

For your perusal: https://en.wikipedia.org/wiki/Libertarian_perspectives_on_intellectual_p...

up
0 users have voted.

they represent a rather larger fraction of "Libertarians" than they do.

most Libertarians are selfish right-wing fuck-you-and-die-you're-not-my-problem-i-am-an-island emotional and intellectual toddlers; de facto if not clinical sociopaths whose philosophy is a demented rejection of everything that might possibly separate humanity from lizards. almost everything they think they know about almost everything regarding the nature of humanity, ethics, morality, rights, politics, society is infantile bunk.

up
0 users have voted.

The earth is a multibillion-year-old sphere.
The Nazis killed millions of Jews.
On 9/11/01 a Boeing 757 (AA77) flew into the Pentagon.
AGCC is happening.
If you cannot accept these facts, I cannot fake an interest in any of your opinions.

You have a lot of hatred.

up
0 users have voted.

up
0 users have voted.

The earth is a multibillion-year-old sphere.
The Nazis killed millions of Jews.
On 9/11/01 a Boeing 757 (AA77) flew into the Pentagon.
AGCC is happening.
If you cannot accept these facts, I cannot fake an interest in any of your opinions.

Mark from Queens's picture

I spend a lot of time ruminating on the many deleterious manifestations of Neoliberalism. The real cost to our emotional states, in terms of alienation, forced onto the treadmill of relentless consumerism and deceptive American Dreaming. But the Arts especially, and how we've made this sleazy almost seamless transition since the cheesy, ultra Capitalist/Conservative 80's in which is was novel to defund and denigrate them in exchange for more emphasis on business and marketing classes and subconsciously propping up the fraud and worship of capitalism.

Just wanted to say thanks for now. I've got some errands to do and a friend to meet right now, with an infant boy in tow. I'll share some thoughts/observations of life in NYC in that context when I can later.

Just a couple of things then. The fucking majestic New York Public Library is now tainted with the name of prime scumbag Steve Schwarzman emblazoned on the cornerstones in front. My blood boils every time I have to see it. Saw once scrawled under his name, "Economic Terrorist." Heh.

Another that makes me see red is one of these upscale storage facilities you speak about, right here in Queens at the foot of the 59th St Br, think it's called Uovo or something. It prompted me to write up a first person diary that remains unfinished (one of many) of these kinds of brazen hijacking of our communities and city, and turning the place into a Marie Antionette dystopia of high rise luxury living, boutique shopping and designer hotels - a fuck you playground for the 1%.

Keep fighting people. We Are Many.

up
0 users have voted.

"If I should ever die, God forbid, let this be my epitaph:

THE ONLY PROOF HE NEEDED
FOR THE EXISTENCE OF GOD
WAS MUSIC"

- Kurt Vonnegut

Cosmic's picture

When you have more time, I would love to hear more of your perspective as a New Yorker. So much of this kind of activity is centered there with the high end auction houses, major galleries and of course Wall Street. Sorry to hear about the Library. All this is very much a Marie Antoinette dystopia as you say.

Below is the bit about some of the NY Museums buying out their staff due to budget shortages. It just seems to me that the trend here is the same as most educational institutions in this country - Cut funding for the public institutions to the extent they have to beg for the patronage of the 1% to pay for staff and then sure enough, later on, Privatize it! We are many for sure, but we are not very well organized. We do need to work on that, we the people.

Brooklyn Museum Offers Staff Voluntary Buyouts

On Wednesday, Brooklyn Museum director Anne Pasternak informed staff that the institution was offering voluntary buyouts, Robin Pogrebin of the New York Times reports. “The cost of running the museum has substantially grown over the past few years,” Pasternak said. “The museum is therefore being proactive.”

The museum—which has an operating budget of $38.6 million—has a $3 million budget deficit. Pasternak said that the decision to reduce the museum’s staff of 308 employees “is a course correction.”

The institution’s announcement follows the MoMA’s and the Metropolitan Museum’s recent offer of buyouts in order to counter costs.

http://artforum.com/news/id=60120

up
0 users have voted.

...or perhaps Indiana Jones?

On a serious note, the commodification of art and the desire of the rich to retain solid assets in the form of rare items completely goes against the idea of art and plays into the worst tendencies of capitalism.

up
0 users have voted.

Expensive art is artificial scarcity. Don't play their game.

If they want to hide their million dollar sculpture in a room where nobody can see it, so what? Go find a local artist and buy one of their pieces for $1,000. Better for you, better for artists, and screw the art snobs.

up
0 users have voted.
NinoTheMindBender's picture

Republicans love the military, but have no use for the soldiers. My first job was in Killeen, Texas, home of the largest military base in the US, Fort Hood. Republicans want a strong military, to defend their loot, but treat soldiers like shit. I lost that job in Killeen (teacher) as Reagan was voted in and cutback on Impact aid. You can't tax government land, so Impact aid was to reimburse school districts for the lost tax revenue. So Reagan comes in, Impact aid drops, the schools for the soldiers' kids get shafted, and employees are cut to reduce cost. Guess what happened to me?

In the same way, these people love art (or more correctly the status they achieve for being "art collectors") but don't give a rat's ass about the actual artists. Since this is just for show, it doesn't matter where the art is, it just matters that they are perceived as "collectors", and how they are oh so sophisticated. For the record: I'm a musician as in I have a couple of degrees in music, have taught public schools and college, play several instruments, compose / arrange, etc., so I'm around these people as well. It's not unusual to play a gig where we are instructed not to talk to the audience during breaks. OK, so our music is fine, but we are scum? It's always surreal playing for rich folk. I got news for you folks: money can't buy "cool". It's all image above substance.

up
0 users have voted.