JEFFERSON CITY, Mo. (Legal Newsline) - Missouri Attorney General Chris Koster announced on Monday that he obtained a temporary restraining order against an auction house that will temporarily prohibit it from conducting further business and disposing of documents.
Ivey-Selkirk Auctions and Appraisals allegedly failed to pay consumers for consigned items sold at auction. Koster filed a lawsuit against Ivey-Selkirk and Malcolm Ivey, the company's owner, alleging they engaged in unfair business practices and false promises in violation of Missouri's Merchandising Practices Act.
Approximately 40 consumers complained to Koster's office about Ivey-Selkirk, alleging that they did not receive payment for items the company auctioned on their behalf. Other consumers alleged that payment checks were returned for insufficient funds. Ivey-Selkirk also allegedly failed to return calls and kept its doors locked during business hours.
On April 1, Schneiderman's office worked with the Clayton Police Department and Bob McCulloch, the prosecuting attorney of St. Louis County, to execute a search warrant of the offices of Ivey-Selkirk.
"We are examining very closely the circumstances that apparently led this company to cease doing business, leaving consumers without payment," Koster said. "Our priority is to protect consumers who never received the money they were owed."
Koster's lawsuit seeks that Malcolm Ivey be permanently prohibited from offering auction services in Missouri. The suit also seeks the payment of consumer refunds, civil penalties and attorney costs.