Podcast Summary
Inigo Philbrick's fall from grace: Inigo Philbrick's unusual background and connections, confidence, and charisma led to his rise in the art world, but his obsession with money and status ultimately led to his downfall.
The art world can be a glamorous but dangerous place, as revealed in the story of Inigo Philbrick, a former art dealer who became one of the biggest fraudsters in history. Orlando Whitfield, who knew Inigo during his rise and fall, shares in his new book how they first met at Goldsmiths University, where Inigo's unusual background and connections set him apart from other students. Their friendship deepened when Inigo threw a party and they bonded over a shared love for a novel. Inigo's confidence and charisma made him a striking figure, but his wild success and lavish lifestyle eventually led to his downfall. The art world's obsession with money and status can create a hall of mirrors, and even those closest to the action may struggle to see the truth.
Complementary relationships: Finding someone who complements your strengths and weaknesses can lead to valuable partnerships, as demonstrated by a speaker's friendship-turned-business-partnership in the art world
In relationships, finding someone who complements your strengths and weaknesses can lead to valuable partnerships. For instance, in the context of this conversation, the speaker found comfort in a confident friend who shared similar interests in art. This friendship eventually evolved into a business partnership where they acted as art dealers. An art dealer is different from a gallerist, as the former buys or sells art on the secondary market, while the latter sells art directly from artists' exhibitions. In the beginning, the speaker and their friend started by selling a Paula Rego artwork they had acquired for a higher price than the previous seller had offered. They did this by connecting the seller with a Portuguese art dealer, and the deal was made in Lisbon for €15,000 in cash. This experience taught them the basics of art dealing and ignited their passion for the field. Although they were young and inexperienced, they took risks and learned from their mistakes, ultimately leading to successful deals and valuable connections in the art world.
Art World Networking: Success in the art world often depends on networking and knowing the right people, as shown through Inigo's journey to acquire a valuable Banksy piece and his internship at White Cube leading to a successful career
Success in the art world often relies on networking and knowing the right people. This was evident in the story of Inigo and his business partner, as they navigated the world of acquiring art through contacts and even questionable means. Their encounter with a valuable Banksy piece in Clerkenwell showcased the importance of being in the right place at the right time and having the ability to make quick decisions. Inigo's big break came when he interned at White Cube, the hottest gallery in London at the time, and caught the attention of its owner, Jay Jopling. This opportunity led him to a position within Modern Collections, a company under the White Cube umbrella, and provided him with access to valuable art pieces. Overall, the art world is a complex network where knowing the right people and having the right connections can significantly impact one's success.
Art market financialization: Inigo's ability to identify long-term value in art and the financialization of the art market in the 1990s contributed to his rapid success as an art dealer, while the narrator remained in publishing.
Inigo's confidence and ability to discern value in art, combined with the influx of money and financialization of the art world in the 1990s, set the stage for his rapid success as an art dealer. This success led to a growing distance between him and the narrator, as Inigo went from taking the bus to work to being chauffeured in a Mercedes, and eventually opening his own gallery in Mayfair. Inigo's knack for identifying long-term value in art, even when estimates were lower, contributed to his thriving in this new financialized art market. Despite his early success, the narrator was not yet at that level and remained in publishing.
Art Market Influencers: Wealthy individuals wield significant power in the art world through their connections and opinions, potentially impacting deals and prices.
The art world is influenced by a small group of wealthy individuals who hold significant power in shaping the market through their opinions and connections. Inigo Star, a character mentioned in the discussion, is an example of such an individual. He moves in privileged circles, forms relationships with reality TV stars, and makes large art purchases. Inigo's favor in the art world led to a deal where the narrator was offered a Christopher Wool piece for half a million dollars. However, the payment for the deal did not come through, and the narrator was forced to put up a 10% deposit of $50,000 to keep the deal alive. This experience showed the narrator the extent of the influence and power held by a select few in the art world.
Art World's Abstract Nature: The art world's unpredictability and lack of transparency can lead to difficult situations, financial instability, and even contemplation of drastic measures for some.
The art world can be ruthless and unpredictable, with deals and relationships often being based on handshakes and gentlemen's agreements rather than contracts. Orlando's experience with Inigo highlights this, as he found himself in a difficult situation where a large sum of money didn't materialize, leading him to consider taking out loans and even contemplating suicide. Inigo, on the other hand, was thriving in the art world, but behind the scenes, he was dealing with the aftermath of a split with a former business partner and was relying on increasingly convoluted financial arrangements to fund his purchases. The art world's abstract nature and the high stakes involved can lead to a blurring of lines and a dangerous lack of transparency.
Financial Desperation, Deception: Financial desperation can lead individuals to deceive others and engage in illegal activities to hide their wrongdoings, resulting in severe consequences
Inigo, a businessman, found himself in deep financial trouble and resorted to deception to keep up with his loan payments. He owned a Picasso painting with multiple collaborators, and during a Christie's auction in 2019, he sold the painting 120% more times than it actually existed. When the painting failed to sell for the price he needed, he had to come clean to some partners but continued to lie to others. This led to legal proceedings against him, and he went into hiding in various countries before being caught in June 2020. Inigo's actions demonstrate the dangerous consequences of financial desperation and the lengths some people will go to hide their wrongdoings.
Art Fraud: Engaging in fraudulent activities, even in areas like art dealing, can lead to severe consequences including arrest, denial of bail, and lengthy imprisonment.
Inigo, a former art dealer, went into hiding after being accused of a massive art fraud scheme worth over $86 million. He reached out to an old university friend, who he thought would be his confidant due to their past connection. They spoke extensively, and Inigo shared documents that later became evidence against him. Inigo was eventually arrested in Vanuatu, a country with no extradition treaty with the US, and was denied bail due to his expressed desire to flee. He pled guilty to the charges and is currently serving house arrest in Rhode Island. The case highlights the potential consequences of young people, especially those with significant wealth, engaging in fraudulent activities. Inigo's desire to return to dealing art after serving his sentence shows that even those involved in criminal activities can hold onto their passions.
Art World Ethics: The art world, as depicted in 'All the Glitters,' is largely unregulated and ripe for exploitation, with ethical ambiguities and questionable practices prevalent due to the high-stakes nature and immense wealth it attracts.
Key takeaway from this discussion with Orlando Whitfield, author of "All the Glitters," is that the art world, as depicted in his book, is largely unregulated and ripe for exploitation. Inigo Philbrick, a central figure in the story, was able to succeed in this world by understanding its ethical ambiguities and exploiting them. Whitfield emphasizes that while there are rogues and scoundrels in the art world, most people are in it for their love of art. However, the high-stakes nature of the industry and the immense wealth it attracts can lead to questionable practices. Whitfield himself was skeptical of the inflated prices for artworks and found it difficult to sell them to clients. Despite the glamour and allure of this world, Whitfield expressed that he wouldn't go back to it for love or money. The art world, as described, is a complex and intriguing ecosystem, filled with parties, drugs, art, and creativity, but also fraught with ethical dilemmas.
