When the FBI enters the scene.

At the end of the 1990s, autograph reseller companies were proliferating in the USA. But why so many companies?

The following is a summary of the operation led by the Federal Bureau of Investigation (FBI). This summary is an exact French translation of the document published by the FBI in 2000. You will find the link to the source at the end of the translation.

Translation tools: Google + Limited Edition Store.com

Operation Bullpen

Federal Bureau of Investigation

Internal Revenue Service

United States Attorney's Office

April 2000

According to the oldest memorabilia collectors, the market for genuine vintage memorabilia has changed radically over the last decade of the 20th century. At the end of the 1980s, the market consisted of a very limited supply of authentic items (e.g., vintage balls, checks, old books, letters). These items were almost exclusively traded between a restricted group of collectors through a well-defined network. However, the market is literally flooded with tens of thousands of vintage items (including baseball bats, balls, jerseys, helmets, pictures, magazines, posters, lithographs, record albums, and other items) that are simply forgeries.

Investigation sources reported to the FBI that the current market for vintage memorabilia (traded through local sports shops and mail-order companies) is almost entirely composed of fakes. Some sources believe that the enormous market for vintage memorabilia sold by retailers is directly attributable to the particular skills of Angelo and Greg Marino. For example, vintage trophies were almost non-existent before the Marinos began counterfeiting these items. Today, there are thousands of these counterfeit items in retail stores across the country.

The counterfeit market was able to thrive thanks to the role played by authenticators who fraudulently (or mistakenly) certify forgeries as genuine signatures. This investigation revealed that many middlemen dealt exclusively in fake memorabilia.

Crime problem

During the 1990s, the FBI identified a major problem threatening the entire market for sports and celebrity items. The Chicago division of the FBI launched an investigation into sports memorabilia fraud targeting a group of individuals who forged, fraudulently authenticated, and distributed autographed memorabilia of Chicago athletes (including those of Michael Jordan). To date (year 2000), this case has resulted in the conviction of 14 people in five states (Illinois, California, New Jersey, Massachusetts, and Minnesota) involved in the manufacture and distribution of fake memorabilia. Information developed by the FBI's Chicago "Foul Ball" investigation suggested that the problem might be national in scope.

Although it is impossible to estimate with certainty the percentage of fake memorabilia, most industry experts admit that more than half of autographed memorabilia are forged. In fact, some cooperating subjects and memorabilia experts estimate that up to 90 percent of the memorabilia on the market is counterfeit. Industry experts estimate the autographed memorabilia market in the United States to be approximately $1 billion per year. Using these estimates, fake memorabilia account for between $500,000,000 and $900,000,000 of the market.

In 1997, the San Diego FBI used information from Operation Foul Ball and the Upper Deck Company to set up an undercover operation designed to infiltrate the national memorabilia fraud network.

The FBI and the U.S. Attorney's Office invited the Internal Revenue Service (IRS) and the Criminal Investigation Division to participate in this investigation in order to leverage their ability to document money laundering and tax offenses, as well as their expertise in tracing proceeds to identify unreported income.

In 1997, the government devised an undercover scenario in which an undercover agent would pose as a distributor of American memorabilia in Asia. This scenario allowed the FBI to purchase evidence without being forced to sell counterfeit items to the public. It also made criminals more likely to discuss openly the counterfeit nature of the memorabilia because they were "going overseas" out of the reach of U.S. law enforcement. To support this "cover story," the FBI created the Nihon Trading Company in Oceanside, California. The purpose of the undercover operation was to infiltrate the fake memorabilia market and obtain recorded statements from individuals identified as forgers, authenticators, and distributors of fake memorabilia.

The primary pieces of evidence in this investigation were recorded statements that captured individuals knowingly involved in the forging, fraudulent authentication, and/or distribution of fake memorabilia. The San Diego division of the FBI made a total of more than 1,000 consensually recorded audio and video tapes. During the consensually recorded conversations, many co-conspirators made incriminating statements that shed light on the nature and common practices involved in sports memorabilia fraud. For example, one of the conspirators joked to the undercover agent that Mickey Mantle still had an arm out of the grave signing autographs. Other conspirators noted that Wilt Chamberlain was still available to sign weeks after his death.

During the investigation, various conspirators became suspicious of a police investigation and scheduled a breakfast at a restaurant in Carlsbad, California. The conspirators discussed how to avoid detection by law enforcement, attempted to identify individuals likely to cooperate with law enforcement, and developed a strategy of not talking if confronted by law enforcement. Several agents having breakfast at adjacent tables overheard all of these statements.

The investigation also revealed that the conspirators attempted to avoid detection by conducting cash transactions and using straw names on bank accounts and other assets. Many kept substantial amounts of cash that they used to pay their bills and purchase vehicles, real estate, and additional memorabilia.

The San Diego FBI office also sought and received assistance from professional baseball players Tony Gwynn of the San Diego Padres and Mark McGwire of the St. Louis Cardinals. Both athletes assisted the FBI by identifying forgeries of their autographs and thus provided investigators with significant leads regarding the identity of the people involved in this illegal activity.

The takedown

On October 13, 1999, based on a considerable amount of evidence, special agents from the FBI and the Internal Revenue Service executed approximately 60 search warrants at residences and businesses in five states, including California, New Jersey, Nevada, Pennsylvania, and Florida. More than 400 special agents participated in the operation.

During the execution of the search warrants, the FBI and IRS seized more than $500,000 in cash and approximately $10 million in fake memorabilia. The seized memorabilia included more than 10,000 counterfeit baseballs, signed by a variety of athletes and celebrities. Some of the autographs included:

Mother Teresa

President Ronald Reagan

Babe Ruth

Ty Cobb

Mickey Mantle

Roberto Clemente

Mark McGwire

Sammy Sosa

Tony Gwynn

The FBI and IRS also seized or purchased hundreds of "cut" autographs. These are pieces of paper containing an autograph of a person who died many years ago. The seized or purchased autograph cuts included:

President George Washington

President Abraham Lincoln

President Theodore Roosevelt

President John F. Kennedy

James Dean

Marilyn Monroe

Elvis Presley

James Cagney

Walt Disney

Charlie Chaplin

Ty Cobb

Babe Ruth

Christy Mathewson

Cy Young

Roberto Clemente

The investigation revealed that forgers used ink, writing instruments, and paper that had been produced when the individual being forged was alive. To acquire "old paper," they tore blank pages from old books they purchased at thrift stores.

The evidence seized during this investigation is currently stored in a 10,000-square-foot warehouse.

Achievements

To date (year 2000), Operation Bullpen has achieved a wide variety of goals. One of the most significant achievements is the infiltration and dismantling of a large national network of forgers, authenticators, wholesalers, and retailers. This organization is responsible for the creation and sale of up to $100 million in fake memorabilia. This network distributed counterfeit memorabilia directly to retailers in 15 states, including California, Nevada, Arizona, Oregon, Hawaii, Kansas, Illinois, Florida, Georgia, Tennessee, South Carolina, New Jersey, New York, Massachusetts, and Pennsylvania. In addition, wholesalers sold counterfeit memorabilia to retail stores and consumers in virtually every state in the country.

The first group of individuals is expected to be brought to justice for fraud and tax offenses on or about April 11, 2000. This group of individuals includes forgers:

Greg Marino

Angelo Marino

Mike Moses

Mike Lopez

David Tabb

Richard Mitchell

This group also includes a number of authenticators and distributors:

1. Wayne Bray

Authenticator and wholesaler, dba:

a. Sports & Celebrity Authentic Autographs, San Marcos, California

b. WW Sports Cards, San Marcos, California

2. John Marino, Gloria Marino, Kathleen Marino

Forgers and assisted wholesalers, dba:

a. Front Page Art

Greg Marino, Angelo Marino

3. Mike Moses

Forger, wholesaler, and authenticator, dba

a. Sports Management Group, Aliso Viejo, California

b. Universal Authentic Memorabilia, San Clemente, California

c. Sports Alley, Laguna Niguel, California

Robyn Moses, wholesaler

4. Reno Ruberti

Wholesaler, d.b.a.

a. Universal Authentic Memorabilia, San Clemente, California

Karen Ruberti

5. David Tabb *

Forger, wholesaler, and authenticator, d.b.a.

a. Hollywood Dreams, Santa Ana, California

b. Classic Memorabilia, Santa Ana, California

c. Hollywood Collectibles, Santa Ana, California

* Tabb was the subject of two television investigative reports regarding the sale of fake memorabilia in the lobbies of theaters in California and Arizona.

6. Ricky Mitchell

Forger and wholesaler

7. Mike Lopez

Forger and wholesaler, d.b.a.

a. International Sports Marketing, Rosemead, California

8. Mike Bowler

Distributor and wholesaler, d.b.a.

a. Catch a Star, Oceanside, California

b. JMC Distributors, Oceanside, California

c. J & M Sports Cards, Oceanside, California

9. Ricky Weimer

Wholesaler, d.b.a.

a. Rick's Collectibles, Escondido, California

10. Sheldon Jaffe

Wholesaler, d.b.a.

a. Shelly's Cards, Tustin, California

11. Richard Laughlin

Wholesaler, d.b.a.

a. Framed Images, San Juan Capistrano, California

12. Michael Tapales

Wholesaler and "Runner", d.b.a.

a. Prime Time Sports Cards, Buena Park, California

13. Carmen "Chip" Lombardo

Wholesaler, d.b.a.

a. Home Field Advantage, Del Mar, California

14. Jon Hall

Retailer, d.b.a.

a. Del Mar Sports Cards, San Diego, California

15. Lowell Katz

Retailer, d.b.a.

a. The Beautiful and the Unusual, Long Beach, California

16. Bruce Gaston

Retailer, d.b.a.

a. La Jolla Sports Cards, La Jolla, California

17. Frosty Golembeske

Retailer and wholesaler, d.b.a.

a. Frosty's

18. Anthony Marino

Wholesaler d.b.a.

a. Pro Sport Memorabilia

19. Scott Harris

Wholesaler, d.b.a.

a. Universal Authentic Memorabilia

20. Mary Lou Harris

a. Universal Authentic Memorabilia

The government investigation in San Diego is ongoing and it is anticipated that many others will be charged with fraud and tax evasion.

In addition to charging all those responsible with fraud and tax offenses, the FBI and the IRS - Criminal Investigation Division are seizing assets, assessing fines, and determining tax liability. Seized assets include two homes with a combined value of approximately $1,000,000; a 38-foot boat valued at $34,000; jewelry valued at approximately $56,000; a Ferrari; a Harley Davidson Sportster; and cash or fines totaling more than $1,000,000.

By executing approximately 60 search warrants and purchasing undercover agent/informant evidence, the FBI and IRS have seized approximately $10,000,000 in fake memorabilia that would have been sold to the unsuspecting public.

Search results:

thousands of fake baseball bats and balls, photos, posters, T-shirts, vinyl albums, CDs, lithographs discovered and seized.

(see the seizure reports on the FBI website)

Public awareness

Perhaps the most important goal of this investigation is to raise public awareness of the significant problem of memorabilia fraud, which can account for more than $500,000,000 in losses per year. Although there are legitimate and reputable companies selling authentic memorabilia, the industry has been plagued by high-quality forgeries, making it difficult for legitimate companies to compete. This counterfeit market also defrauds thousands of unsuspecting consumers each year.

While the only way to absolutely guarantee that autographed memorabilia is authentic is to witness the autographing personally, there are several ways to avoid becoming a victim of memorabilia fraud.

These recommendations:

If the price is too good to be true, it is probably a fake. If a company offers an autographed item well below the prices and market value of its competitors, consumers should be wary. An example would include Michael Jordan basketballs, which some companies sell for as little as $150. Given Jordan's current exclusive contract with Upper Deck and the difficulties associated with obtaining his autograph, the market value of a Tuff Stuff magazine autographed Jordan Basketball is $500, Michael Jordan autographed basketballs as much as $1500. (Warning: a high price does not suggest authenticity either.)

Certificates of authenticity are not guarantees of authenticity. The people and companies involved in the sale of fake memorabilia often include a certificate of authenticity, allegedly from a third-party expert. Often, the authenticator is a knowing participant, or an unwitting but incompetent one, in the fraud. Read the certificate of authenticity carefully, looking for "authenticating language," an address, a phone number, and the name of the authenticators. Do not accept copies of certificates of authenticity.

A photograph of an athlete or celebrity signing an autograph does not guarantee that the item is authentic. This investigation revealed that it is a common practice for fake memorabilia dealers to include a photograph of the athlete/celebrity signing the item with a certificate of authenticity. The dealers also include photos of themselves with the athlete/celebrity to give credibility to their fake memorabilia.

An individual or company having a paid signing session with an athlete or celebrity does not guarantee authenticity. Operation Bullpen revealed that it is a common practice for counterfeit memorabilia traffickers to "mix" fake memorabilia with items signed during an autograph session. For example, a company might pay for an athlete to sign 500 items. After the signing, the company will "mix" the fakes in with the authentic autographs. The company may also continue to sell counterfeit items after the authentic items have been sold by claiming they came from the autograph session. (Editor's note: hence the wise idea of numbering each object in addition to affixing a sticker to the object and creating a verification database for the end user, for the purpose of better guarantees of provenance).

The method of selling memorabilia should not affect skepticism regarding the authenticity of the item. The investigation revealed that counterfeit memorabilia traffickers sell their fakes through various methods that can lend credibility to the fakes. One such sales method consists of charity auctions in which the trafficker shares the profits with the charity. At charity auctions, buyers often overpay for items and do not question the authenticity of the memorabilia. Traffickers also sell counterfeit items through trade publications, television shopping networks, trade shows, retail stores, and the Internet.

Before buying autographed memorabilia, especially "vintage" or deceased athlete/celebrity memorabilia, ask questions about the history and circumstances related to the autograph. Beware of far-fetched or elaborate stories that are difficult, if not impossible, to verify. Common fake stories suggest ties to an athlete or "runners" employed to obtain autographs. Whenever possible, try to verify the history and circumstances of the signed items before making the purchase.

If a person is looking for an autograph from a current player, send an autograph request directly to the athlete's team. Enclose a letter requesting that the enclosed item be autographed with a self-addressed, stamped envelope or container. Only send photographs, cards, or baseballs. Large items such as bats and jerseys should not be sent directly to the athlete. In the letter requesting an autograph, ask for information on where you can purchase authentic autographed items if the athlete does not sign autographs through mail requests. The athlete or the team may direct the buyer to a company that has an autograph contract with the athlete.

To counter the problem of fake memorabilia, many athletes and celebrities create their own autograph company or sign exclusive contracts with specific sports memorabilia companies. Dealing directly with the athlete's company or with an exclusive contract company will significantly reduce the likelihood of purchasing counterfeit memorabilia.

Other organizations that contributed to this investigation include:

The Upper Deck Company

New York City Department of Consumer Affairs

Major League Baseball

San Diego Padres

EBay

San Diego Police Department

Oceanside Police Department

California Attorney General's Office

Seized Items

Value of Seized Items

US Currency $409,838

Bank accounts (3) $239,330

Bank account (1) $101,000

Miscellaneous jewelry $56,274

Authentic items from various sports and celebrity memorabilia $50,000 (estimated)

Fraudulent items from various sports and celebrity memorabilia $10,000,000 (estimated)

1999 Yacht $34,000

1997 Harley Davidson motorcycle $6,350

1983 Ferrari $33,000

A residence in San Marcos, California $195,000

A residence in Escondido, California $700,000

E-commerce account $35,000 in equity

Total value $11,859,792

Disposition of Evidence

The majority of the seized autographed sports equipment will (Editor's note: as of April 2000) be donated to local charities after the items have been marked as fakes.

Original version of the article