United States v. One Tintoretto Painting

At the end of World War II, a painting (defendant) by Italian Renaissance painter Tintoretto was stolen from an art gallery in Germany. By 1975, Issac Silberberg possessed the painting and displayed it in his home in Israel. In 1979, Silberberg decided to sell the painting and engaged Raymond Vinokur, whom he believed to be a reputable businessman and art dealer, to broker the sale in the United States. Silberberg and Vinokur contracted for Vinokur to sell the painting on commission and agreed that Vinokur would handle the legalities of importation, including customs regulations and required duties. Moreover, the parties contracted that Silberberg would reimburse Vinokur for any duties. On December 5, 1979, Vinokur flew to New York and went to stay with a friend named Efin Nezhinsky. On December 10, the painting arrived in the US. Nezhinsky picked it up from the airport and filled out the customs forms. On these forms, Nezhinsky falsely reported that the painting was his property, that it was for his personal use, and that it was worth only $500. By the time the painting arrived in New York, the Federal Bureau of Investigation (FBI) was already tracking it. Once tipped off to the painting’s arrival in New York, the FBI executed a sting: an undercover agent posing as an art dealer met with Vinokur, who offered to sell him the painting for $250,000. Vinokur was arrested and eventually pleaded guilty to falsifying statements on a customs declaration. Upon Vinokur’s conviction, the United States (plaintiff) took possession of the painting and instituted a forfeiture action against it in rem for failure to pay duties. Silberberg asserted ownership in the forfeiture proceeding. The government moved for summary judgment, which the district court granted. The case was appealed.