A proposed bill in the U.S. Congress aims to increase openness and accountability within the art market, a sector often criticized for its opacity and potential for illicit activities.The Art Market Integrity Act, introduced by Senator Sheldon Whitehouse, seeks to establish new regulations to combat money laundering, sanctions evasion, and the illicit trade of cultural heritage.This legislative effort comes in the wake of several high-profile cases involving the art market and individuals or entities under U.S. sanctions.
recent events have highlighted concerns about the art market’s role in financial illicit activities. As an example,art collector Nazem Ahmad was charged with violating U.S. sanctions, accused of dealing $440 million in art and diamonds to fund Hezbollah. Despite sanctions imposed in 2014, Russian construction billionaires Arkady and Boris Rotenberg reportedly managed to purchase $18 million in art. Furthermore, Russian oligarch roman Abramovich restructured a trust holding his $963 million art collection in 2018 with his ex-wife, Dasha Zhukova, ahead of the invasion of Ukraine, a move seen as a measure to protect the assets from potential sanctions-related seizures. In 2023, political advisor Dimitri Simes and his wife, Anastasia Simes, were charged by the U.S. Department of Justice with violating sanctions through schemes involving art and antiques.
The Art Market Integrity Act has garnered support from a range of organizations, including the Antiquities Coalition, Transparency International U.S., the FACT Coalition, FDD Action, the American Jewish Committee, Razom for Ukraine, American Coalition for Ukraine, the Initiative for the Recovery of Venezuelan Assets (INRAV), the National Border Patrol Council, and the Federal Law Enforcement Officers Association (FLEOA).These endorsements suggest a broad consensus among various stakeholders regarding the need for greater oversight in the art market.
However, some experts express skepticism about the bill’s potential success. Erin Thompson, a professor of art crime at the John Jay College of Criminal Justice, stated, “Regulation of the opaque art market is desperately needed, but given the success major players have so far had in fighting every attempt to restrict their profits, I have little hope this bill will succeed.” This sentiment reflects a long-standing challenge in regulating the art market, where powerful interests have historically resisted transparency measures.
