Detroit bankruptcy creditors ask judge to take steps toward sale of DIA treasures

[Dont Taz Me Bro]

Sorry, Detroit, but you can't claim poverty while you're sitting on a fortune. Perhaps they should have thought about this before they ran their city into the ground.

Detroit bankruptcy creditors ask judge to take steps toward sale of DIA treasures | Detroit Free Press | freep.com

 

[Mr. H.]

Couldn't quite figure out from the article but are they talking about borrowing against the DIA's collection as collateral?

 

[DGS49]

No, they are talking about "investigating the sale" of some of the assets.

It is a fairly complex proposition. Many of the assets in question were given to the museum with the proviso that they always remain there, or some such restrictions. Whether they could be sold outright for cash may be questionable. Also, in many cases, the artworks could be sold, but remain at the DIA for public display, so it wouldn't have a serious impact to the visiting public.

As I recall, the bankruptcy filing itself is still in dispute, as certain creditors (mainly employees and retirees) are fighting it. Is the trustee legally authorized to file for B'ruptcy? Have they overstated their debts? And so on.

Selling fine art is a risky proposition. There is no NADA book, and the fact that they are being sold at all can negatively impact their value and the market in general. Art investors may shy away from it, due to the circumstances.