The Weiss Ancient Coin Prosecution and What to Watch For

Federal prosecutions involving international theft or trafficking of cultural objects are rare.  State prosecutions are novel.  That is why the current case against Arnold-Peter Weiss, involving New York state law, is worth watching.

Authorities arrested Dr. Arnold-Peter C. Weiss in January for allegedly attempting to sell an ancient coin claimed to belong to Italy.  A New York County District Attorney's investigator alleges that he saw Weiss possess a Tetradrachm and observed Weiss offer the ancient silver coin for sale at the Waldorf-Astoria Hotel for $300,000.  The attempted sale took place at the 40th annual New York International Numismatic Convention.

A past New York prosecution involving cultural artifacts is the famous case of U.S. v. Frederick Schultz.  That federal case resulted in the conviction of a widely know Manhattan art dealer for conspiracy to violate the National Stolen Property Act (NSPA).  The evidence showed that Schultz was part of a scheme that trafficked antiquities from Egypt, to England, and then to the United States.  The case applied federal law, argued by federal prosecutors, who litigated in federal courts.  The current case against Weiss involves state law prosecuted by a state district attorney in a state court.

Weiss is reportedly charged with violating Criminal Posession of Stolen Property (CPSP) statue, New York Penal Law 165.52.  The charge is a class “C” felony punishable by up to a maximum of 15 years in prison. The statute reads: "A person is guilty of criminal possession of stolen property in the second degree when he knowingly possesses stolen property, with intent to benefit himself or a person other than an owner thereof or to impede the recovery by an owner thereof, and when the value of the property exceeds fifty thousand dollars.” A person charged with a crime is innocent unless proven guilty by proof beyond a reasonable doubt in a court of law.

Matthew Bogdanos

Chasing Aphrodite reports that Attorney Matthew Bogdanos is the prosecutor assigned to the case. Holding a masters in classical studies from Columbia University  and serving as the Marine Corps colonel who investigated the looting of the Iraq National Museum in Baghdad, Bogdanos is a person familiar with cultural heritage matters.

States are the traditional venues where property issues are handled.  State courts regularly handle claims of title to property as well as stolen property prosecutions.  Moreover, the states have well developed laws on the books covering property crimes, which articulate generally accepted common law property principles.

Two issues to look out for as the Weiss case moves forward in the New York State criminal justice system include the following:

Criminal knowledge
The New York law, like many state receiving stolen property statutes, requires the prosecution to prove that a defendant have two mental states: knowingly and intentionally.  The prosecution must prove that a person knowingly was in possession of stolen property and that the defendant intended to benefit himself or another from that possession or intended to impede the recovery by the owner of the property.  "Knowingly" in this context means that the person was aware that the property was stolen.  "Intent" means that it was the person's conscious object to benefit himself or another or to impede recovery of the property by the true owner.

About 1/4 of the states, including New York, have laws that presume criminal knowledge in certain circumstances. New York Penal Law 165.55 states: "A person who knowingly possesses stolen property is presumed to possess it with intent to benefit himself or a person other than an owner thereof or to impede the recovery by an owner thereof."  The statute also presumes criminal knowledge for certain property dealers: "[A] person in the business of buying, selling, or otherwise dealing in property who possesses stolen property is presumed to know that such property was stolen if he obtained it without having ascertained by reasonable inquiry that the person from whom he obtained it had a legal right to possess it."

The federal NSPA does not articulate the presumptions contained in New York's CPSP.  However, the appeals court in Schultz supported the application of a widely adopted principle of law known as conscious avoidance, willful ignorance, or the ostrich rule.  "[A] defendant may not purposefully remain ignorant of either the facts or the law in order to avoid the consequences of the law," is the rule as explained in the instruction given to the jury in the Schultz case.  This ostrich instruction has been used in other cases too, including the Enron fraud prosecutions in 2006 against Jeffrey Skilling and Kenneth Lay.  The CPSP statute takes the ostrich rule further by articulating the presumptions described above, and a jury may--not must--infer guilty knowledge based on the applicable presumptions.   Of particular interest in the Weiss case will be whether the dealer presumption is invoked by the prosecution.

Stolen property
The Schultz case spent much time resolving whether Egypt's patrimony law declaring ownership over cultural objects was sufficient to give valid legal title to another such that Frederick Schultz was in knowing receipt of stolen property under U.S. law.  Both the jury and the appeals court answered affirmatively.  The Schultz Doctrine essentially holds that a person may be convicted for receipt of stolen property under the NSPA when a foreign patrimony law clearly declares ownership of the cultural object and the artifact stolen was after the date of the enactment of the patrimony law.  The Schultz Doctrine does not label as stolen a cultural object that simply was unlawfully exported from a foreign nation.  The foreign nation must declare clear title to the object, not just regulate its export.

New York's jury instruction regarding "stolen property " advises juries that it "is property that has been wrongfully taken, obtained, or withheld from an owner by a person who did so with the intent to deprive another of such property or to appropriate such property to himself or herself or a third person."  Latching on to the federal legal holding of Schultz, New York state prosecutors may cite the case as persuasive authority to assert that Weiss possessed "stolen property," arguing that Italy's patrimony law declares ownership of the ancient silver coin(s) allegedly possessed by Weiss.  Furthermore, the state prosecutors will likely also rely on  New York Penal Law 165.60, which says that it is no defense to a criminal possession of stolen property case that "the larceny [or theft, which is the term used in jury instructions] of the property did not occur in this state."

Italy's patrimony law, adopted in 1909 and renewed in 2004, is known as the Code of the Cultural and Landscape Heritage.  Articles 10, 91, and other provisions arguably define and declare ownership of cultural artifacts.  Article 91 states:

"The things indicated in article 10, found underground or in sea beds by whomsoever and howsoever, shall belong to the State and, depending on whether they be immovable or movable, shall become part of government property or of its inalienable assets, pursuant to articles 822 and 826 of the civil code."

Weiss' next court date is July 3, 2012.

Reference:
http://www.nycourts.gov/cji/2-PenalLaw/165/165-45(3).pdf

CONTACT: www.culturalheritagelawyer.com

Weiss Ancient Coins Prosecution Scheduled for July

Manhattan criminal courthouse.
Source: nyc.gov

Arnold-Peter Weiss's case was scheduled today in Manhattan. New York Criminal Court records show that Dr. Weiss's $200,000 cash bail was continued, and the next court date was set for July 3, 2012.  [JULY 2012 UPDATE: Click here for a description of what happened at the July 3 hearing].

Law enforcement officials charged the Rhode Island hand surgeon in January with Criminal Possession of Stolen Property over $50,000.  They arrested Weiss and seized two ancient Greek coins originating from Italy before the coins were sold at the International Numismatic Convention.  Weiss faces up to a maximum of 15 years in prison if convicted of the offense.

Because authorities charged Weiss with a felony crime, his case was to be reviewed by a grand jury.  Weiss, meanwhile, is presumed innocent.

Some possible legal issues to watch for in the case are discussed here.

CONTACT: www.culturalheritagelawyer.com

Seize and Send v. Investigate and Indict: Focusing on Cultural Heritage Criminal Investigations and Prosecutions

ICE and CBP return an illegally
imported artifact to Guatemala.
Courtesy ICE.

Immigration and Customs Enforcement (ICE) and Customs and Border Protection (CBP) held a press conference on February 24 to publicly display the return of pre-Columbian objects to the Guatemalan foreign minister. The objects were recovered both in Houston, Texas in 2009 and from an auction house in Massachusetts in 2011. WJZ television in Baltimore reported that “[n]o arrests in the smuggling cases have been made, although federal agents say investigations are ongoing.”

Authorities are to be lauded for detecting and seizing illegally imported archaeological objects. But the claim that federal officials are continuing their investigation remains to be seen. That is because the primary evidence of possible smuggling has now been returned to Guatemala. The artifacts are no longer preserved for criminal analysis, they are not kept in safekeeping for use in court proceedings, and they are not available for inspection by potential criminal defendants who have a constitutional right to view the government’s evidence in a criminal case.

There appears to be no US Attorney involvement in this case, which is a sign that the matter likely is not being reviewed for possible criminal charges. And Homeland Security does not mention in its official press release that it is pursuing a criminal investigation. At best the agency cautions that “[t]hose involved in the illicit trafficking of cultural property, art and antiquities can face prison terms of up to 20 years, fines and possible restitution to purchasers of the items.“

Those who follow cultural property cases closely are aware that Homeland Security generally implements a seize and send policy with regard to cultural artifacts. While the agency boasts in its latest press statement and elsewhere that “[s]ince 2007, HSI [Homeland Security Investigations] has returned more than 2,500 artifacts to 23 countries …”it is silent about successful cultural property prosecutions. Such prosecutions are rare.

The Cultural Property, Art and Antiquities Investigations Program is carried out by HSI. The program describes its mission on ICE’s web site: “Returning a nation’s looted cultural heritage or stolen artwork, promotes goodwill with foreign governments and citizens, while significantly protecting the world’s cultural heritage and knowledge of past civilizations.” The emphasis is on sending cultural objects to home countries, not on developing cases for criminal prosecution.

It could very well be that the lack of financial or human resources prevents the development of cultural property smuggling cases. It could be too that politics affects agency decision making. Indeed, it may be noteworthy that on the same day of the repatriation of artifacts to Guatemala, Homeland Security Secretary Janet Napolitano announced that she would be traveling to Guatemala City and other Latin American destinations between February 27 and 29. Perhaps prosecutors are rejecting these cases for review. Whatever issue prevents ICE from doing its job to investigate and prepare cases for presentation to a federal grand jury and subsequent criminal prosecution must be resolved.

ICE Director John Morton is right to note “the exceptional investigative work HSI is doing to stop the pilfering and illicit trading of precious art and antiquities from around the world.” ICE has talented investigators. But more must be done to bring the talents of these federal agents to the next level so that their cases serve to provide a meaningful deterrent to archaeological smuggling. Investigators must be permitted to conclude their cases by submitting them to receptive US Attorneys for review and possible indictment. Cases concluded through seizure, forfeiture, and repatriation alone do not have a similar impact on criminal activity.

Sources:
Homeland Security press releases
http://www.ice.gov/news/releases/1202/120224washingtondc.htm
http://www.dhs.gov/ynews/releases/20120224-statement-on-napolitano-trip-to-central-america.shtm

WJV TV
http://baltimore.cbslocal.com/2012/02/24/stolen-ancient-mayan-artifacts-being-returned-to-guatemala/

CONTACT: www.culturalheritagelawyer.com

Ivory Smuggling Case Moves Forward

Carved African ivory seized by US Fish and Wildlife in the case against Victor Gordon..
Source: USFWS

Plea negotiations continue in the case of United States v. Victor Gordon, according to a recent letter filed in court by Gordon's attorney. The US District Court for the Eastern District of New York has scheduled a status conference in the matter for March 15, 2012.

A federal grand jury indicted Philadelphia art dealer Victor Gordon in July 2011 for unlawfully importing and selling illegal African elephant ivory. Gordon is charged with conspiracy to smuggle elephant ivory, four counts of smuggling, and five Lacey Act violations.  Agents arrested him in July.  A person indicted is presumed innocent unless prosecutors prove guilt beyond a reasonable doubt in a court of law.  

The Lacey Act 16 USC 3371 et seq. protects wildlife and other natural resources. Under the law, it is illegal to import, transport, sell, receive, acquire or purchase specified wildlife taken, possessed, transported or sold in violation of any law, treaty or regulation of the United States.

The indictment also cites the Endangered Species Act 16 USC 1531 et seq., which makes it illegal to possess or trade illegal African ivory under the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES). Legal import into the United States only occurs when a person obtains an import permit plus a foreign export permit issued by the country of origin or a foreign re-export permit issued by the country of re-export.

The indictment alleges that between 2006 and 2009 Gordon paid a person to travel to Africa on multiple occasions to "purchase raw elephant ivory and have it carved to Gordon's specifications. In advance of each trip, Gordon provided [the person] with photographs or other depictions of ivory carvings to serve as templates. Gordon also directed [the person] to stain or dye the elephant ivory specimens so that the specimens would appear to be old."  The ivory was brought through JFK International Airport in New York inside luggage before being sold by Gordon at his store in Philadelphia.

Federal prosecutors seek criminal forfeiture of the items seized. Specifically, they seek cash and objects that include nearly 500 ivory tusks and carvings seized between 2009 and 2010 in Pennsylvania, New York, Missouri, Kansas, Florida, and California.

If convicted, Gordon could face up to 20 years in prison.

CONTACT: www.culturalheritagelawyer.com

Barry Landau Pleads Guilty to Theft of Historical Documents

Barry Landau yesterday pleaded guilty to conspiracy and theft charges related to stealing historical documents from several institutions along the east coast.  In December 2011, Landau’s attorney filed a motion to suppress evidence of the crime found by federal agents.  But yesterday Landau entered a plea agreement with the Maryland United States Attorney’s Office.  Sentencing will be held on May 7, 2012 [UPDATE: Rescheduled to June 27, 2012].

Landau admitted in his plea in federal district court to taking historical documents from museums in Maryland, Pennsylvania, New York, and Connecticut and selling some for financial gain.  His accomplice, Jason Savedoff pleaded guilty to the same charges in October 2011.

Documents by Alexander Hamilton
were stolen by Landau and Savedoff.
Library of Congress image.

Institutions targeted by the pair included the Maryland Historical Society, the Historical Society of Pennsylvania, the Connecticut Historical Society, the University of Vermont, the New York Historical Society, and the Franklin D. Roosevelt Presidential Library.  They pretended to be researchers and walked away with important papers by hiding them in clothing.  According to the US Attorney’s Office, “Landau and Savedoff often took the card catalogue entries and other ‘finding aids,’ making it difficult for the museum to discover that an item was missing. Documents that had been copied on microfilm were often avoided because of the increased possibility the theft would be discovered by the library or repository.”

Items taken included papers by prominent figures in American history, including John Jay, Alexander Hamilton, George Washington, Benjamin Franklin, and Abraham Lincoln.   The documents’ historical value is priceless.  On the open market, some of the papers fetched high sums.  For example, four reading copies of speeches by Franklin Roosevelt sold for $35,000.

Both Landau and Savedoff face sentences of up to five years in prison for conspiracy and 10 years for theft.

CONTACT: www.culturalheritagelawyer.com

Lewis Defense Lawyers File Motion to Dismiss in US v. Khouli et al.

Even before trial begins and testimony is heard, the case against Joseph Lewis, II must be dismissed because the government cannot prove its case.  That is what defense lawyers argue in a motion filed today in the US District Court, Eastern District of New York in the case of US v. Khouli et al.  The lengthy memorandum of law contends that the government lacks sufficient evidence to proceed to trial based on the information supplied in discovery materials.

Evidence in US v. Khouli et al.
Source: ICE

A federal grand jury indicted Joseph Lewis, Moussa Khouli, and two others in July 2011 alleging, in part, that Lewis illicitly bought Egyptian antiquities that were illegally imported into the United States through Dubai. The indictment also alleges that the four conspired together and with unidentified “others” in a smuggling operation.  (A defendant is presumed innocent unless the government proves guilt beyond a reasonable doubt).  The objects involved in the case include a Greco-Roman style Egyptian sarcophagus and a three-part nesting coffin set. See here for background.

Despite being accused of wrongdoing related to the import of ancient Egyptian antiquities, defense lawyers contend that Lewis was not involved with the importation process at all.  In fact, the only co-defendant Lewis had contact with at any time was Moussa Khouli, and that contact was after any object was imported into the United States, according to attorneys.  This argument is buoyed by defense lawyers' statements asserting that Lewis had neither sent nor received any emails discussing importation of cultural artifacts with Khouli.  Therefore, Lewis' lawyers argue that Lewis had no participation in the import process. 

Lewis had every reason and motive to want the import process to be legal, the defense attorneys claim.  Email exchanges between Khouli and Lewis never hinted at any illegal activity, they say.  Lewis, in fact, never had any idea that any pieces were stolen, particularly after having been informed by Khouli in writing at least seven times that the Egyptian pieces were part of Khouli’s father’s collection in Israel during the 1960’s.

Moreover, defense counsel contends that prosecutors cannot prove that the items in questions were stolen.  They highlight that there has been no assertion by Egypt that the items are in fact stolen.  And if the prosecution argues that the incomplete provenance of the artifacts should have informed Lewis that the objects may have been stolen, defense lawyers cite journal articles to show that lack of provenance is common in the antiquities market and does not demonstrate that a cultural object is in fact stolen.

 Lewis’ lawyers conclude that the lack of evidence cannot sustain a conviction, warranting a dismissal of the government's criminal case.

Contact: www.culturalheritagelawyer.com

Ancient Greek Coins From Italy Reportedly Seized in New York - Arrest Made

An article appearing in Coin World reports that law enforcement officials on January 3, 2012 seized two ancient Greek coins from Italy before they were sold at a New York International Numismatic Convention event held in Manhattan. The article states that the owner of the coins, Dr. Arnold-Peter Weiss, was detained.

New York Criminal Court records reveal that authorities on January 3, 2012 at 2:15 p.m. arrested and charged a man named Arnold Peter C. Weiss, born 1960, with Criminal Possession of Stolen Property (CPSP) valued at over $50,000.  The court set bond in the amount of $200,000 and scheduled the next court date for March 21, 2012.

As of this writing, the NY County District Attorney's Office has not released any official statement confirming that this arrest and charge are related to the coin seizures reported by Coin World.  However, Chasing Aphrodite is reporting a connection.

A violation of the CPSP statue, New York Penal Law 165.52, is a class “C” felony punishable by up to a maximum of 15 years in prison. The statute states: "A person is guilty of criminal possession of stolen property in the second degree when he knowingly possesses stolen property, with intent to benefit himself or a person other than an owner thereof or to impede the recovery by an owner thereof, and when the value of the property exceeds fifty thousand dollars.” A person charged with a crime is innocent unless proven guilty by proof beyond a reasonable doubt in a court of law.

Assuming that New York state law is being used to prosecute a theft of ancient coins from Italy, such a prosecution would be new. At a conference in 2005 and then in a paper in 2007, I argued that state law could be employed in the same way as the federal National Stolen Property Act (NSPA) to tackle international cultural property crime. An excerpt from the 2007 paper, entitled International Antiquities Trafficking: Theft By Another Name, illustrates:

"District and county attorneys can rely on receiving stolen property statutes to target culpable receivers and sellers of antiquities .... Every state has enacted a receiving stolen property statute in some form. These laws prohibit a person from receiving property of another when the person knew the property was stolen. Many of these same statutes also criminalize situations where the person should know, had reason to know, had reason to believe, or simply believed that the property was stolen or probably stolen .... While state receiving stolen property laws are fundamentally similar to the federal NSPA, many provide distinct advantages to prosecutors.

First, several state statutes establish lower mental states. The NSPA requires proof that a person knew the received property was stolen, but several states only require proof that the actor should know, had reason to know, had reason to believe, or simply believed that the property was stolen or probably had been stolen. Thirty six states and the District of Columbia have enacted laws with a lesser mens rea.

Second, almost one quarter of the states possess some form of dealer provision, making it easier to prosecute antiquities traders. Where a dealer takes possession of an item and either (a) does not reasonably gather information about whether the item was lawfully sold or delivered to the dealer, (b) acquires the item for payment far below reasonable value, or (c) purchases or sells the item outside of the regular course of business, these statutes generally declare that the dealer is presumed to have known that the item was stolen. The New York Penal Law serves as an illustration of scenario “a”: 'A … person in the business of buying, selling or otherwise dealing in property who possesses stolen property is presumed to know that such property was stolen if he obtained it without having ascertained by reasonable inquiry that the person from whom he obtained it had a legal right to possess it (§ 165.55(2)).'

Third, state receiving stolen property statutes provide criminal penalties for defendants who possess property of most any value as compared with the NSPA’s $5,000 threshold.

The legal advantages of lower mental states, dealer presumptions, and decreased value thresholds make prosecuting antiquities trafficking under state law an appealing option, particularly when targeting receivers or sellers."

David Gill, Paul Barford, and the Chasing Aphrodite authors are acknowledged for bringing attention to this developing story.

CONTACT: www.culturalheritagelawyer.com

Change of Venue Motion Filed in US v. Khouli et al. Previews Possible Defenses in Alleged Antiquities Trafficking Case

Federal courthouse in Brooklyn, NY.
Photo by Jim Henderson.  CC

The latest pleading filed by Salem Alshdaifat’s attorney in the case of US v. Khouli et al. asks for a change of venue. The defense argues that personal and financial hardships faced by Alshdaifat, a Michigan resident, urge a transfer of the case from the federal district court in New York to Detroit.

The motion provides a possible preview into some of the defenses that may be available in the case, including:

• a characterization of the charged conduct as “regulatory-based criminal charges,”
• a claim that the objects that are the subject of the multi-count indictment are neither stolen nor contraband, and
•  an argument that Alshdaifat was a middle man who did not possess criminal intent.

A federal grand jury charged Alshdaifat in May 2011 with conspiracy to smuggle, alleging that he directed Mousa Khouli to wire $20,000 to Ayman Ramadan’s UAE bank account and that Alshdaifat received an airway bill from Ramadan showing that “wooden panels” were being shipped by Ramadan’s company in the United Arab Emirates to JFK airport in New York.  Moreover, Alshdaifat is charged with money laundering conspiracy.  He is also charged with smuggling goods into the country as well as fraudulent importation and transportation of goods.  The indictment describes the goods as an Egyptian inner coffin, Egyptian funerary boats and limestone figures, and a portion of an outer lid of a nesting Egyptian coffin set.  (A grand jury indictment is a mechanism that initiates a criminal case; it is not a finding of guilt.)

Writing in support of the motion for change of venue, Alshdaifat’s attorney previews the possible defenses in the case.  The following are excerpts from the Memorandum of Law dated November 21, 2011:

• “The facts surrounding these charged criminal violations of the Customs laws arise out of the importation of rare Egyptian antiquities, including a three-piece set of sarcophagi and other funerary objects. These artifacts were allegedly shipped to the United States in several packages, variously by international air mail and by private air and sea carriers. The government does not claim that the Egyptian artifacts were stolen or were otherwise contraband when they entered the country. Instead, the government's charges rest on a theory that the alleged conspirators willfully falsely or vaguely declared these artifacts in entry documents into the United States because the importer purportedly had insufficient or incomplete documents of origin for the objects and this might have caused them to be detained at a United States port-of-entry if detected.” (emphasis in the original)

•  “Mr. Alshdaifat was neither the U.S. importer nor the foreign exporter of the subject Egyptian artifacts. Based on the government's own claims, he is alleged to have been the “finder” or middleman that put the alleged foreign source of the artifacts (defendant [Ayman] Ramadan) in contact with the U.S. importer, or interested antiquities dealer (defendant [Mousa] Khouli). Despite being charged with a role that essentially ended prior to the importation process, Mr. Alshdaifat is charged with his co-defendants for knowingly participating in making false or intentionally incomplete statements on shipping labels on various shipments of these Egyptian antiquities.  The government's claims against Mr. Alshdaifat, therefore, rely on findings that he knew and intentionally joined a conspiracy to falsely declare the Egyptian artifacts in their shipment to the United States after his role in being a broker to the transactions was already completed.” (emphasis in the original)

•  “In the Egyptian sarcophagi transactions, however, Mr. Alshdaifat only had a broker's interest and did not deal in the artifacts himself. Somehow, however, he now finds himself charged together with the principals of those transactions for allegedly violating technical Customs laws in the mailing and shipping of the merchandise, a process in which he did not participate.”

• “The government’s position in support of criminal liability on the charged air mail shipments is based largely on the claim that Mr. Alshdaifat's co-defendants put these pieces in international mail or on an airplane as air cargo without completing more formal U.S. Customs paperwork with the specific intent to avoid Customs’ detection of these shipments and break U.S. Customs' law.  No lay witnesses exist to testify as to whether a defendant's act of putting these parcels in the mail or on an airplane constituted an intentional and clandestine conspiratorial effort to get the charged, legal merchandise into the United States.” (emphasis in the original and footnote omitted)

•  “In any event, Mr. Alshdaifat is not even implicated in the government's discovery with doing anything – in New York or elsewhere – to assist in the importation of the merchandise. He is charged with putting the alleged source of the Egyptian coffins and artifacts (defendant [Ayman] Ramadan) in contact with the New York antiquities dealer who purchased them (defendant [Mousa] Khouli). The government must concede that Mr. Alshdaifat was neither the importer nor exporter of the charged shipments, and therefore had no role in the actual shipment of the merchandise, i.e., the packaging, labeling and placing of the merchandise in international mail.  As such, he never had any contacts with New York.”

•  “The government does not charge that the Egyptian coffins and funerary objects were stolen property. The objects imported, therefore, are not contraband or unlawful to possess in the United States. The government's claims in this Indictment rest instead on the precarious theory that the method in which the artifacts were shipped into the United States was intentionally fraudulent even though the goods themselves were not banned or prohibited from entry. Indeed, the government does not even claim that the method of importation was intentionally fraudulent to avoid import duties, since antiquities are excluded from any import tax.” (emphasis in the original)

The defense contends that the government’s conduct materially affected Alshdaifat’s business.  Alshdaifat writes in a Declaration to the court dated November 21, 2011 that he started dealing in ancient coins in Canada, selling them primarily over the internet and at international trade shows.  He describes himself as a specialist in ancient Judean coins who gained admission to many coin auction houses and membership associations.  Alshdaifat adds that he was the moderator of the “Judean ancient coin section for the largest numismatic worldwide web community.”  Defense counsel’s Memorandum of Law explains:

“Mr. Alshdaifat's circumstances are particularly extraordinary. These include the fact that from his initial arrest, the government stacked the deck against him, making it untenable for him to get his fair day in court. On July 13, 2011, the government arrested Mr. Alshdaifat in his Michigan home and confiscated his entire business inventory of ancient coins, thereby effectively shutting his business down.  It did so despite the fact that the criminal charges in the Indictment had nothing to do with Mr. Alshdaifat's coin business. Subsequently, the government returned his coins but not until his business suffered a crushing, and possibly, fatal blow. Mr. Alshdaifat's reputation as an honest coin dealer has been battered; more importantly, he has been removed or suspended from all of the auction houses where he sold his coins. His business is in dire shape.” (emphasis in the original)

Information supplied to the court describes the relationship between Alshdaifat and co-defendant Ayman Ramadan.  Court papers remark that “Mr. Alshdaifat has purchased ancient coins before from defendant Ramadan in the United Arab Emirates ("U.A.E.") and has sold coins to defendant Khouli in New York.  That is how he knew two of the other parties charged in this Indictment.”

CONTACT: www.culturalheritagelawyer.com

Status Conference Held in Case of US v. Khouli, Alshdaifat, Lewis

Egyptian coffin seized by ICE
in the case of US v. Khouli et al.
Photo: ICE

The US District Court for the Eastern District of New York held a status conference in the criminal matter of United States v. Khouli et al. on November 17, 2011.  The court waived all three of the defendants’ presence at the hearing.  The defendants include Mousa “Morris” Khouli, Salem Alshdaifat, and Joseph A. Lewis II.  Ayman Ramadan remains a fugitive.

By way of letter dated November 4, 2011 and written by his attorney, Khouli sought leave to attend a coin show in Baltimore, Maryland, reportedly scheduled for November 16 and 20.  The short letter explained: “As an antiquities dealer, Mr. Khouli’s livelihood depends on his ability to attend coin shows and other similar events.”  The court granted Khouli’s request and extended the ruling, waiving the appearance of the other co-defendants.

Internet records reveal that the Whitman Coin & Collectibles Baltimore Expo was held during this time.  Palmyra Heritage, the name of the business owned and operated by Khouli, was listed as occupying booth #1107 while Holyland Numismatics, the name of the business owned and operated by Alshdaifat, was listed as occupying booth #1154 at the event that took place at the Baltimore Convention Center.

Salem Alshdaifat’s attorney filed documents soon after the November 17 status hearing requesting a change of venue in an effort to curtail any hardship to Alshdaifat, who lives in Michigan.  Submitted on November 21, the pleadings reveal more information about Alshdaifat’s background and his association with co-defendant Ayman Ramadan.  The pleadings also supply a preview of Alshdaifat’s possible legal defenses.  These topics are discussed here.

The next court status conference is scheduled for January 27, 2012.

CONTACT: www.culturalheritagelawyer.com.

Savedoff Pleads Guilty to Stealing Historical Documents from Museums and Archives

Jason Savedoff entered a guilty plea this week to charges of conspiracy to commit theft of major artwork and theft of major artwork for his role in the theft of historical documents from museums and archives along the east coast. Savedoff’s co-defendant, Barry Landau, is scheduled for trial. Landau is expected be sentenced to a prison term of 4-12 years in February 2012.

The Washington Post reports: “The pair compiled lists of historical and famous figures, often noting the market value of documents signed by those figures, and Savedoff identified collections with valuable documents that they could target, according to the plea. They used different routines to distract librarians and would stash documents inside sport jackets and overcoats that had been altered to add large hidden pockets.

…

Searches of Landau’s apartment in July turned up thousands of documents. According to Savedoff’s plea, these included documents signed by historical figures from both sides of the Atlantic. They range from American presidents such as George Washington, Franklin D. Roosevelt, Abraham Lincoln and John Adams to French leaders such as Marie Antoinette and Napoleon Bonaparte, and German philosopher Karl Marx.”

See the full story at http://www.washingtonpost.com/national/presidential-historians-assistant-pleads-guilty-in-md-document-theft-conspiracy/2011/10/27/gIQApmojMM_story.html.

Photo: President Lincoln taken on the balcony at the White House, March 6, 1865.  Library of Congress, public domain.

CONTACT INFORMATION: http://www.culturalheritagelawyer.com/.

Historical Documents Returned to UVM - Documents Linked to Indicted Pair - Library Loss Prevention Recommended

The University of Vermont (UVM) has recovered historical documents that disappeared from its library. The Burlington Free Press reports on October 4, 2011 that 67 documents were returned to UVM after officials at the National Archives in Washington, DC reported that they had the papers in their possession. “The papers were found after investigators recovered hundreds of items from Barry Landau, 63, who with Jason Savedoff, 24, is accused of conspiring to steal rare documents to sell at a profit, according to government allegations,” the Burlingotn Free Press writes. Source: http://www.blogger.com/www.burlingtonfreepress.com/article/20111004/NEWS0213/111004005/-1/NEWS/Federal-probe-finds-missing-UVM-documents

A federal grand jury in Maryland handed up a two count indictment on July 28, 2011 against the pair, charging them with Conspiracy to Commit Theft of Major Artwork and Theft of Major Artwork. The indictment alleges that the co-defendants stole from the H. Furlong Baldwin Library at the Maryland Historical Society, the New York Historical Society, and the Franklin D. Roosevelt Presidential Library and Museum in Hyde Park, New York. The indictment also asserts that they took dozens of items in order to sell, including historical documents of FDR, a letter from Benjamin Franklin to John Paul Jones, and a land grant signed by Abraham Lincoln. An indictment is not a finding of guilt.

In order to secure a conviction of Theft of Major Artwork under 18 USC 668, the prosecution must prove beyond a reasonable doubt that the defendants “did steal and obtain by fraud from the care, custody, and control of a museum objects of cultural heritage.” An object of “cultural heritage” is defined by law as one that is under 100 years old and valued at $100,000 or more or an object that is over 100 years old and valued at $5000 or more.

The latest development in the case is a petition filed by Landau to sell assets. The motion, filed on September 23, 2011, asks the court for permission to sell antiques, letters, jewelry, art (including two Andy Warhol prints) so that Landau can raise money to pay for day-to-day expenses. Landau is under court order to not to sell assets without judicial authorization. See a further update on this recent filing at http://articles.baltimoresun.com/2011-10-07/news/bs-md-landau-asset-sale-20111007_1_barry-h-landau-warhol-print-andy-warhol.

10/25/11 UPDATE: The court granted Landau's motion .

One inexpensive way to help prevent the loss of irreplaceable documents is to maintain historic documents in closed stacks. When a patron requests particular information, a librarian or staff member can obtain the materials in limited quantities (such as three items at a time) and place them at the patron’s table. Some institutions may feel comfortable asking for the patron’s ID, some may not. Regardless, a librarian or staff member should always be visible to the patron and should retrieve the items when the patron is finished, making an inventory of the items. A process like this one can be part of an effective loss-prevention program because it compels a patron to interact with a librarian or staff member directly so that the patron knows he or she has been identified, allows for the librarian or staff member to observe the patron for any signs of suspicion, permits the institution to control the quantity of materials provided to a patron at any one time, and allows for a librarian or staff member to ensure that the materials retrieved are the same ones returned. There are other methods that a certified insitutional risk management consultant can suggest.


Contact information may be found at www.culturalheritagelawyer.com. DISCLAIMER: The information provided on this web site/email/blog/feed/podcast is general information only, not legal advice, and not guaranteed to be current, correct, or complete. No attorney-client relationship is formed, and no express or implied warranty is given. Links or references to outside sources are not endorsements. This site may be considered attorney advertising by some jurisdictions. The attorney is licensed in NH. The attorney is not certified by the TX Board of Legal Specialization, nor certified by NY regulators as a so-called "specialist" or "expert." Do not send confidential communications through this web site or email.

Khouli +3 Case Update: Search Warrant Affidavit Describes HSI Investigation

Homeland Security Investigations (HSI) petitioned for a warrant on July 12, 2011 to search Salem Alshdaifat’s home-based business and seize “antique coins and[/]or other antiquities or any other works of art or cultural antiquities of Greek, Roman, Mesopotamian, Islamic, European, Egyptian origin . . .” HSI also requested business records, correspondence, photos of merchandise, bank records, import records, and the like located at the home.

An HSI special agent applied to the United States District Court for the Eastern District of Michigan for the warrant to search the home. That is the location where it is reported that Alshdaifat runs the ancient coins business called Holyland Numismatics. The affidavit, now unsealed, reveals further details about the antiquities smuggling investigation into Alshdaifat and three other co-defendants--Mousa Khouli, Ayman Ramadan, and Joseph A. Lewis, II.

It should be noted that a search warrant affidavit is a narrative that a law enforcement official or prosecutor supplies to a judge. It is meant to demonstrate the probable cause to believe that an object or thing is at a specified location and that it is probable evidence of a crime. Information contained in a search warrant affidavit may or may not be admitted as evidence at a trial. That is why an affidavit should not be read to form a conclusion of criminal guilt. Only a jury can decide whether there has been a violation of law, basing its decision only on legally admissible evidence.

In the present case, the federal agent’s affidavit called attention to several observations and actions of interest. For instance, the search warrant petition was filed following a review of Alshdaifat’s Yahoo! email account. Also reported were Alshdaifat’s alleged sale of ancient Egyptian artifacts in 2009 and his alleged importation of ancient coins in Detroit in 2010.

Writing in the July 2011 affidavit, the HSI special agent explained that a March 29, 2010 search warrant probe of “Alshdaifat’s e-mail records . . . confirm[] that he uses e-mail to communicate with sellers, purchasers, dealers and transporters of cultural property including stolen and/or smuggled cultural property.” A January 2009 email exchange was described where Alshdaifat allegedly offered a hoard of coins “[u]ncleaned at $4.5 each.” The email continued: “[T]he hoard came from Egypt and [is] now in Dubai[.] I asked my partner to ship directly from Dubai to you. [T]his hoard came from Banha, I think we bought coins that we sold you befor[e] from Banha, it is very big Roman city. [Y]ou can wire the funds to my bank account.”

The partner referred to is Ayman Ramadan of Nafertiti Eastern Sculptures Trading in Dubai (NEST). Alshdaifat referred to NEST as his Dubai office, and that “Ramadan ships antiquities from the UAE to Alshdaifat’s customers on Alshdaifsat’s behalf,” declared the affidavit.

A second email dated February 22, 2010 from Alshdaifat reportedly said:
“[F]or a hoard from Egypt this is real[l]y a[]lot :) , you got a small group[], we usually don[‘]t see them at all in Egypt, I was told today that they found in the same spot while they are making the hole bigger another group[] around 800 coins, they are still working in the area, I hope it will[] be bigger than what I think. [N]ext week I will get those 800 tog[e]ther with the 2000 coins. [I]t is much easy to sell uncleaned, I notice[e] that they already tried to clean some, but I told them to stop[.]”

The HSI investigating agent, without supplying specific details, added that Alshdaifat’s email account allegedly showed that he “has offered customers hoards of coins taken directly from Petra, Jordan and from Kyrene, Libya.”

Perhaps most directly related to the current federal indictment, the affidavit described allegations that Alshdaifat in May 2009 “offered a New York dealer a set of ancient Egyptian funerary boats and limestone figures for $40,000.” The New York dealer found a customer interested in purchasing these antiquities . . . and resold them to the customer for a higher price. Ramadan shipped the ancient boats and limestone figures to the New York dealer via mail from the UAE.” The shipping label said “antiques.”

On December 20, 2010, Alshdaifat carried coins through the Detroit Metropolitan Airport on his way back from Amman, Jordan, according to the affidavit. Customs reportedly seized the coins because Alshdaifat presented inconsistent sets of invoices during two separate airport inspections. The first invoice presented was from NEST to Holyland Numismatics for Byzantine gold coins and Byzantine gold tremissis coins totaling $234,875. The invoice stated that they originated from Syria, according to the affidavit. Alshdaifat then reportedly offered a second set of invoices listing Byzantine gold coins and Roman-Egyptian billion tetradrachms. When Alshdaifat returned later with two mail packages of similar coins in an attempt to convince federal authorities to release the detained coins, customs officials seized these packages too because they were without entry paperwork, declared the affidavit.

Federal agents staked out Alshdaifat’s home in June 2011. After seeing a “for sale” sign posted, two HSI agents posed as potential buyers of the house and entered the home with a real estate agent. Alshdaifat was at the residence at the time. The agents reportedly observed pictures of coins on Alshdaifat’s computer and as well as books about ancient coins and artifacts.

Based on this information, federal authorities applied for a search warrant of Alshdaifat’s Michigan home. That search warrant preceded the eventual multiple count indictment against Alshdaifat and the three named co-defendants on charges related to antiquities trafficking.

Photo courtesy of ICE.

Contact information may be found at www.culturalheritagelawyer.com.

Khouli +3 Update: Salem Alshdaifat’s Coin Inventory Returned

Salem Alshdaifat’s attorney sent two letters on August 17, 2011 to complain that coins seized from his client were not properly cared for by Immigration and Customs Enforcement and to request an inspection of the items after an initial effort to examine the coins resulted in objections from federal officials. Alshdaifat’s lawyer asserted that his client possessed documentation to prove bona fide ownership of the property. The court treated the correspondence as a motion for return of property.

A federal district court in Michigan issued an order on September 6 that recognized the issue as moot. That is because the US Attorney’s Office for the Eastern District of New York and Alshdaifat’s attorney reportedly reached an agreement to return the inventory. The terms of that agreement are unknown.

Meanwhile, highlights of the letters written by Alshdaifat's legal counsel reveal the following:

• “[T]he agents took the entirety of Mr. Alshdaifat's business inventory and related documentation . . . .”

• “Mr. Aishdaifat operates an ancient coins business from his home in Orchard Lake, Michigan. He has been in the business of trading ancient coins ever since he left his home country of Jordan more than ten years ago. He has been a student of numismatics his entire life. On July 13, 2011, federal agents from Immigration and Customs Enforcement ("ICE") raided his home and seized his entire inventory of ancient coins, estimated at over 7,000 coins, and other property.”

• “ICE and CBP had decided to transfer custody to the ICE case agent in Brooklyn, New York all of the seized property from the four seizures of Mr. Alshdaifat's property that occurred in the Detroit area. These include: (1) the December 20, 2010 seizure of ancient coins at the Detroit Metro Airport; (2) the December 2010 seizure of two mail packages that were voluntarily brought by Mr. Alshdaifat to ICE offices in Detroit and [an agent]; (3) the February 2011 seizure of a Federal Express package for export to Singapore; and (4) the July 13, 2011 seizure of thousands of coins and other property from Mr. Alshdaifat's . . . home.” (For information related to most of these seizures, see the September 23, 2011 blog entry here).

• Additionally, through his attorney, Alshdaifat advised federal officials to store groups of coins “in open containers, not in closed plastic bags.” “The coins,” he said, “should also be stored in a dry environment, preferably with a dehumidifier.” He further recommended that authorities “[s]eparate the "diseased" coins from the rest. These coins can be identified by the green powdery substance on the surface of the coins. . . . The diseased coins should be handled with gloves, and when doing so agents should avoid exposure in closed areas with little air circulation.” Alshdaifat also advised that “[t]he silver and gold coins should be kept in individual coin holders” and that coins found in acid baths “needed to be washed in hot, running water and dried individually.” Finally, he requested that “[t]hose coins with soil incrustation should be separated from others with similar incrustation. Because soil taken from different places consists of various different minerals and it would be impossible to know if incrusted coins came from the same soil, those coins that are incrusted should simply be separated to avoid any chemical reaction from the interaction of different soil minerals.”


Contact information may be found at www.culturalheritagelawyer.com. DISCLAIMER: The information provided on this web site/email/blog/feed/podcast is general information only, not legal advice, and not guaranteed to be current, correct, or complete. No attorney-client relationship is formed, and no express or implied warranty is given. Links or references to outside sources are not endorsements. This site may be considered attorney advertising by some jurisdictions. The attorney is licensed in NH. The attorney is not certified by the TX Board of Legal Specialization, nor certified by NY regulators as a so-called "specialist" or "expert." Do not send confidential communications through this web site or email.

Prosecutors Reveal Further Details in Khouli Case: Allege One Half Million Dollars Paid Abroad, Smuggled Antiquities Found in Garage, Ancient Artifacts Labeled 19th Century "English Glass Bottles"

The US Attorney’s Office, Eastern District of New York, brought an in rem action (Latin for “against the thing”) on June 14, 2011 to forfeit cultural property seized from Mousa “Morris” Khouli, an antiquities dealer who operated Windsor Antiques in New York. The objects sought to be forfeited are three Egyptian wood nesting coffins, two wooden horses, wood furniture, $80,488.99 in cash, thirty-seven Luristani bronzes, eighteen Iraqi glass vessels, twenty-one clay relief plaques, and sixty-five stone flat faces.

A grand jury in May indicted Khouli and three co-defendants on criminal charges stemming from their involvement in an alleged antiquities smuggling ring. Now the government’s civil complaint is unsealed, providing further details about the case.

A summary and timeline containing the latest information has been created below. All quotations come from the government’s thirty-seven page in rem complaint dated June 24, 2011. Moreover, the government’s assertions must be proven in court by prosecutors; they remain allegations at this stage of the proceedings.

Authorities say that Windsor Antiques listed many imported cultural objects to have originated from the United Arab Emirates. Federal prosecutors allege illegal entry of these goods by means of false statements and smuggling.The US Attorney’s Office charges that “[u]pon information and belief, Windsor [Antiques] has sold stolen Iraqi cultural property in violation of Iraqi patrimony laws and has imported Egyptian antiquities and other antiquities in violation of 18 U.S.C. §§ 542 and 545.”

“All the [cultural objects] were imported, sold, purchased, and/or are proceeds of an extensive scheme by Khouli, and others, to smuggle cultural property and launder money, by and through their respective entities, Windsor, and other entities.”

“Although Khouli and Windsor have been on notice [since 2003] of the need to accurately declare country of origin, Customs entry records for the past five years reveal that 75% of Windsor’s declared cultural property listed the United Arab Emirates (‘UAE’) as the country of origin.” “[F]ifteen out of twenty cultural property importations . . . by Windsor listed the UAE as the country of origin. Given Khouli’s February 10, 2009 representation [to authorities] that none of his merchandise originated in the UAE, all of these declarations were false and contrary to Title 18, United States Code, Section 542 and 545.”

(It should be noted that there is no mention by the government of Khouli’s spin-off company known as Palmyra Heratige (sic). As reported in this blog on July 18, 2011, Khouli’s sole-proprietorship, known as Windsor Antiques, Inc., was created on September 28, 1995 and dissolved on December 27, 2010, roughly one year after the government moved to dismiss initial criminal charges against Khouli. Palmyra Heratige (sic), Inc., Khouli’s newly formed company, emerged on May 28, 2010, about three and a half months after federal authorities searched Khouli and his business. That February 12, 2010 search, described below, netted several ancient Iraqi artifacts.)

On May 23, 2003 federal authorities seized four FedEx packages originating from the United Kingdom. Waybills described the export country and country of origin as English even though the majority of the objects were ancient Iraqi.“For example, two of the FedEx waybills included “English glass bottles circa 1860 A.D.” in their respective list of contents. However, experts in archeology and Iraqi antiquities determined that the glass bottles in these shipments were . . . dated from the third century B.C. to 8 century A.D.”

“Upon information and belief, Windsor/Khouli abandoned its claims to these glass bottles after they were seized by Customs/ICE, and they have since been repatriated to the Iraqi authorities.”

Between 2003-2005, Windsor Antiques offered an unusually high number of Luristani bronzes for sale, suggesting illegal excavation of the antiquities.“While a small percentage of an area’s artifacts can be expected to move to other regions during antiquity, the volume of Luristani bronzes offered for sale by Windsor—over 300 between 2003 and 2005—is consistent with illegal excavation from Iran and Iraq, rather than sporadic findings in other locations due to ancient movement. Indeed, Luristani bronzes are known to have been the subject of significant looting from excavations in the Luristan region.”

In October 2006, federal officials seized Luristani artifacts that were marked as originating from the United Arab Emirates.“Emirates Post, an international mail carrier, shipped to Windsor, using an informal entry, 19 copper daggers. The label on the package being shipped to Windsor described its contents as 19 copper daggers and handles valued at $350 whose country of origin was the UAE. Customs officers examined the contents and took photographs of the daggers. The photographs were identified by an expert on Iraqi antiquities as ‘Luristani bronzes’ originating from Luristan, a province in western Iran, with some pieces found in eastern Iraq near the Iraqi-Iranian boarder.”

Between January 2008 and February 2008, stone faces were smuggled out of the United Arab Emirates and into to the United States. They were described as made in India, originating in Yemen, being south Arabian, or as “other antiques.”“Correspondence between Khouli and the UAE between approximately January and February 2008, demonstrate that Khouli attempted to arrange and/or arranged for as many as 89 Stone Flat Face Antiquities to be smuggled out of the UAE and imported into the United States with false or fraudulent customs declarations, invoices, and countries of origin.”

“For example, as a result of these correspondences, a shipping invoice from an entity ‘Palace Arts’, in Dubai, UAE to Windsor in New York, dated January 29, 2008, was created and indicated ‘89 Decorative Stone Carved Heads;’ ‘Origan [sic] made in India;’ and with a unit price of $75 U.S. dollars, for a total price of $6,675 in U.S. currency.”

“Another shipping invoice, apparently from the same UAE entity to Windsor, New York, for this same shipment and also dated January 29, 2008, was also created and indicated ‘89 Decorative Stone Carved Heads;’ ‘All antque [sic] and over one hundred years old;’ ‘Country of Origan [sic] Yemen;’ and with a unit price of $140 U.S. dollars, for a total price of $12,460 in U.S. currency.”

“On February 6, 2008, upon entry into the United States to John F. Kennedy Airport via Emirates Sky Cargo, from the UAE, this shipment was declared to Customs as 465 kilograms of ‘other antiques over 100 Years Old.’”

“Upon information and belief, within a couple days after smuggling these Stone Flat Face Antiquities from the UAE into the United States with multiple invoices, containing different countries of origin and with different values, Khouli attempted to sell at least one of these items for approximately $700 describing it as ‘Limestone Yemen head’ circa 200 A.D.”

“Further, upon information and belief, on or about September 2008, Khouli sold one of these items for approximately $2,000 describing it as a ‘South Arabian limestone steale’ circa 1-2nd Century A.D.”

From December 2007 through May 2008 over one half million dollars was paid out by Khouli or his shop, contrasted with slightly more than $32,000 claimed by Windsor Antiques for all US imports taken in.“[A]n analysis of the WINDSOR ACCOUNT for the six month period of December 2007 through May 2008 indicates that Khouli/Windsor sent via wire transfer or otherwise, a minimum of approximately $527,620 in U.S. currency abroad, including to the UAE. Yet for the same six month period, U.S. Customs databases and invoices of declared imports by Windsor into the United States indicate that Windsor claimed imports valued worth only $32,360. This discrepancy suggests that Windsor has purchased significantly more cultural property using the WINDSOR ACCOUNT than it has declared on its imports into the United States.”

Immigration and Customs Enforcement (ICE) conducted searches on September 8, 2009 that yielded seized cultural property and money. Khouli was placed under arrest.“On September 8, 2009, pursuant to a consent search of Khouli’s residence . . . various antiquities and items of cultural property, including but not limited to, the INNER EGYPTIAN WOOD SARCOPHAGUS . . . and 61 of the 65 STONE FLAT FACE ANTIQUITIES . . . were seized by ICE.”

The inner Egyptian wood coffin was “consensually seized from Khouli’s garage.”

“On September 8, 2009, pursuant to a court authorized search warrant issued by the United States District Court for the Southern District of New York for Windsor, various antiquities and items of cultural property, including but not limited to, 3 of the 65 STONE FLAT FACE ANTIQUITIES . . . the 37 LURISTANI BRONZES . . . seized by agents of the Department of Homeland Security, United States Immigration and Customs Enforcement (‘ICE’).”

“Approximately Sixty-Five (65) of these smuggled Stone Flat Face Antiquities, have been located and seized by ICE: 61 were found in Khouli’s garage during the consent search on September 8, 2009; one was found, mounted on a stand, and seized at Windsor during the consent search on September 8, 2009 . . . .”

“In addition to Khouli’s history of importing from UAE and selling in the United States an unusually large volume of ‘Luristani’ bronzes . . . on September 8, 2009, during the execution of the search and seizure warrant at Windsor, agents found and seized approximately 37 additional ‘Luristani’ bronzes pieces which Khouli/Windsor had available for sale.”

“Upon information and belief, no certificates of origin or documentation exist to substantiate how the[se objects] entered the United States or their country of origin.”

“In addition, on or about September 8, 2009, pursuant to a court authorized seizure warrant issued by the United States District Court for the Eastern District of New York, all funds in the WINDSOR ACCOUNT . . . were seized by ICE. At the time of seizure, the WINDSOR ACCOUNT contained approximately $80,489.00 in U.S. currency.”

Between September 8, 2009 and November 4, 2009, Khouli arranged to deliver and sell illicit antiquities.“…Khouli sent and received numerous communications in order to arrange for: (a) portions of the smuggled Egyptian sarcophagus set and other Egyptian antiquities to be delivered into the United States; (b) monies to be sent from the WINDSOR ACCOUNT . . . to accounts outside the United States in order to pay for the smuggled Egyptian sarcophagus set and other Egyptian antiquities to be delivered into the United States; (c) invoices to be created in order to sell and/or attempt to sell the smuggled Egyptian sarcophagus set and other Egyptian antiquities with false or improper provenance documentation; and (d) monies to be sent to bank accounts owned and/or controlled by Khouli/Windsor that were located in and outside the United States, including but not limited to the WINDSOR ACCOUNT, for the anticipated sale or attempt to sell the smuggled Egyptian sarcophagus set and other Egyptian antiquities.”

Between October 2008 and November 2009, Khouli’s communications displayed efforts to engage in illegal antiquities trafficking.“Communications between Khouli and others between at least October 2008 and November 2009, further demonstrate that Khouli arranged for and/or caused to be wire transferred over $5,000 in U.S. currency from or through the WINDSOR ACCOUNT, to a place outside the United States in order to pay for portions of the smuggled Egyptian sarcophagus set and other Egyptian antiquities.”

“Similarly, communications between Khouli and others between at least October 2008 and November 2009, further demonstrate that Khouli arranged for and/or caused to be wire transferred tens of thousands of dollars in U.S. currency into or thorough the WINDSOR ACCOUNT, as well as other accounts held by Windsor/Khouli located outside the United States, in order to buy, smuggle, sell or attempt to sell portions of the smuggled Egyptian sarcophagus set and other Egyptian antiquities with false or improper provenance documentation.”

On November 4, 2009, federal authorities seized Egyptian cultural objects in New Jersey that were bound for Khouli/Windsor Antiques.“On or about November 4, 2009, pursuant to a border search at the Port of Newark, New Jersey, the INNER EGYPTIAN WOOD SARCOPHAGUS AND OUTER SARCOPHAGUS LID . . . and the 2 WOOD HORSES AND MULTIPLE PIECES OF WOOD FURNITURE . . . were found in a shipment from the UAE to Windsor/Khouli. This shipment was detained and seized by Customs/ICE.”

“Furthermore, the import documents accompanying the shipment from UAE to Khouli/Windsor that arrived in the Port of Newark, New Jersey before November 4, 2009, included an invoice, packing list, and ‘Certificate of Origin,’ indicating that it: (a) came from “Amal Star Antiques” in Dubai, UAE; (b) was shipped to Windsor, New York, New York; (c) contained fifteen pieces of “artistic hand made furniture”; (d) all pieces were ‘wooden’; (e) the country of origin was ‘India;’ and (f) the total value of the shipment was $13,700 in U.S. dollars.”

“Amidst this shipment, [the EGYPTIAN WOOD INNER SARCOPHAGUS AND OUTER SARCOPHAGUS LID were] . . . undeclared and/or falsely declared and found tightly wrapped in heavy bubble wrapping, in contrast to the other pieces of the shipment, [specifically the horses].”

On December 16, 2009 the government filed a motion to dismiss the criminal charge against Khouli.

On February 12, 2010, federal agents seized several illicit Iraqi items from Khouli.“On February 12, 2010, pursuant to a second court authorized search warrant of Windsor issued by the Southern District of New York, various antiquities and pieces of cultural property including, the 18 PIECES OF IRAQI GLASS . . . ; and the 21 IRAQI CLAY PLAQUES . . . ; and 1 of the 65 STONE FLAT FACE ANTIQUITIES . . . seized by ICE.”

“… [A]nd three more, [Stone Flat Face Antiquities ] also mounted on stands, were found at Windsor during execution of the February 12, 2010 search warrant.” (Author’s note: Other paragraphs of the government’s complaint, like the one above, appear to indicate that only one stone face was seized on this date.)

“A review by an expert in ancient history and Mediterranean archeology of the 21 clay relief plaques seized from Windsor on or about February 12, 2010, indicated that they appear to be ancient and are of a type produced in central and southern Iraq (Babylonia) from around 2000-1600 B.C.”

“Upon information and belief, no certificates of origin nor any other documentation exists to substantiate how [the 21 clay relief plaques] entered the United States or their country of origin.”

On May 4, 2011 a federal grand jury handed up an indictment against the Khouli + 3 defendants, and on June 14, 2011 the government filed an in rem action to forfeit the antiquities and money seized from Khouli.

DISCLAIMER: The information provided here is general information only, not legal advice, and not guaranteed to be current, correct, or complete. No attorney-client relationship is formed, and no express or implied warranty is given. Links or references to outside sources are not endorsements. This site may be considered attorney advertising by some jurisdictions. The attorney is licensed in NH. The attorney is not certified by the TX Board of Legal Specialization, nor certified by NY regulators as a so-called "specialist" or "expert." Do not send confidential communications through this site.

Seized Cultural Property Identified in Khouli + 3 Case

A specific description of objects and papers in the possession of federal authorities is now available in the criminal case involving Mousa "Morris" Khouli, Joseph A. Lewis II, Salem Alshdaifat, and Ayman Ramadan. They are charged with participating in an alleged antiquities smuggling ring. (See this blog's July 16, 2011 post for background.)

Included are objects from ancient Egypt, Iraq, and Iran. Some of the descriptions are reprinted below, quoted from August 11, 2011 discovery letters issued by the United States Attorney, Eastern District of New York:

• set of three nesting Egyptian wood sarcophagi, bearing the name “Shesepamutayesher” and the title “Lady of the House,” circa 664-111 B.C., including: (a) one Egyptian wood inner sarcophagus seized on or about September 8, 2009 from defendant Khouli’s residence in Brooklyn, New York; (b) one Egyptian wood inner sarcophagus seized on or about November 4, 2009 at the Port of Newark, New Jersey; and (c) one Egyptian wood outer sarcophagus lid seized on or about November 4, 2009 at the Port of Newark, New Jersey;

• one Greco-Roman style Egyptian sarcophagus seized on or about July 13, 2011 from defendant Lewis’s residence in Chesterfield, Virginia;

• one set of Egyptian funerary boats seized on or about July 13, 2011 from defendant Lewis’s residence in Chesterfield, Virginia; and

• one set of limestone figures seized on or about July 13, 2011 from defendant Lewis’s residence in Chesterfield, Virginia.

• [T]wo wood horses and multiple pieces of wood furniture seized on or about November 4, 2009 at the Port of Newark, NJ;

• approximately thirty-seven (37) “Luristani bronze” objects seized on September 8, 2009;

• approximately eighteen (18) Iraqi glass vessels seized on February 12, 2010;

• approximately twenty-one (21) Iraqi clay relief plaques seized on February 12, 2010; and

• approximately sixty-five (65) stone flat face antiquities seized on September 8, 2009 and February 12, 2010.

• Photographs of a shipment of Luristani bronzes en route to Khouli in October 2006 (KHOULI 2094-2099);

• Trocadero.com printouts for the Windsor Antiquities storefront and sale of a terre-crue head (KHOULI 2100-03);

• Photographs of terre-crue head after excavation at Isin excavation site in May 2003 (KHOULI 2104-07).

Photos: US Immigration and Customs Enforcement