New York art dealer must pay US$120 mil. in compensation

Laurence Salander faces between six and 18 years in prison and he and his gallery must pay back US$120 million in restitution after he pleaded guilty to 29 counts of grand larceny, District Attorney Cyrus Vance said.

Between 2004 and 2007, Salander scammed clients — who included McEnroe and Robert DeNiro's father — by obtaining their property through fraud and selling artworks that did not belong to him, as well as luring investors into fake projects.

“Lawrence Salander's desire for an extravagant lifestyle turned long-time friends and trusted business colleagues into his personal piggy banks,” Vance said.

“The defendant not only stole money from his victims, but in some cases he stole their family's heritage. Many of these pieces of art were created by the victims' parents and grandparents.”

Prosecutors said he used the ill-gotten wealth to finance a personal mission to corner the market in Renaissance art and to pay for luxuries including a Manhattan townhouse, a 66-acre country estate and private jet travel to Europe.

McEnroe lost US$2 million that he invested in a share of two works by the artist Arshile Gorky, prosecutors said. The tennis legend famed for his skill and fiery temper has mellowed in middle age as a noted television commentator, pitchman in TV ads and serious art collector.

Other victims included Renaissance Art Investors, which paid Salander US$42 million for 328 works of Renaissance art, and the heirs of painter Stuart Davis, who lost US$6.7 million.

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