Public Statements Made by Louisiana Auctioneers Regarding
Get a quick overview of what shill bidding is on LAPA's shill bidding webpage and LAPA's webpage of Louisiana's laws on shill bidding.
Shill bidding came to the forefront in Louisiana in late 2009 when then-Louisiana Representative Damon Baldone (D-Houma) attended a real estate auction conducted by auctioneer Barbara Bonnette. Here's what he alleges transpired:
1. He was
subjected to a shill (or phantom) bid when some unidentified
bidder outbid him by bidding $700,000, topping his bid of
2. He could never
see or identify a bidder who purportedly made the $700,000 bid
("phantom" bidding - sometimes deployed when a large crowd of
onlookers is present).
3. He repeatedly
told the bid assistant, "I'm done," only to hear the auctioneer,
according to what he relayed,
proclaim that, "The $700,000 bid was NOT from a qualified bidder.
Sir [Baldone], you're back in at $675,000."
4. Baldone became
suspicious that a shill (or phantom) bid was being deployed to
pluck $55,000 from him ($50,000 added bid - to $725,000 - plus
$5,000 buyer's premium).
5. He relayed that he went through with the purchase because he knew who made the $650,000 bid (the bid before his) and knew that bidder was legitimate.
Baldone introduced HB 1439 in the 2010 Louisiana Legislature that would essentially equate shill bidding to the fraudulent practice of theft through nonviolent means and impose the same penalties as existing statutes entailing same. The following video (and some audio) files are fallout from his bill:
Baldone Introduces Bill (May 18, 2010)
LAPA's Burns testifies IN FAVOR of HB 1439
Barbara Bonnette admits is was "my auction."
Relays auctioneers CAN bid to protect the seller, but
conveniently fails to mention that, as
illustrated on LAPA's shill law webpage, such activity MUST be DISCLOSED!!!
Marvin Henderson testifies against HB 1439.
James Sims, LALB Vice Chairman and Past LAA President,
Testifies Against HB 1439
Attendees favoring HB 1439: Burns, Marleen Jaffee, and Brian Furniss (only Burns spoke)
Attendees opposed to HB 1439: Cecil Brown, Phyllis Sims,
Rayburn Smith, Larry Nobles, Chris Peterson, Kenny Burcham,
Matt Peterson, Kevin Kelley, Jeff Henderson, Wiley Collins,
Kathy Beeson, Lloyd Henderson, Dale Henderson, Jeff Lasyone,
Terry Netherland, Carl Foreman, Chris Lamoine, Barbara Bonnette, and
August 2, 2010 LALB meeting:
Rep. John E. "Johnny" Guinn: "Embarrassed at Burns' testimony."
Larry Nobles (deceased): "Baldone has 'vendetta' against all auctioneers."
LALB Consumer Member Greg Bordelon: "A personal vendetta
through the Legislature is illegal."
(May 17, 2010 LALB Meeting)
Joe Massey, (8/2/10 LALB meting): "stabbed in the back by Burns." Admits he's likely
responsible for LALB hiring EBRP Sheriff Deputy in that "I got excited twice."
Marvin Henderson, (8/2/10 LALB Meeting) continues to rail against Burns regarding his testimony
As a result of the preceding incidents along with numerous other observations LAPA Vice President Robert Burns
made regarding the LALB, Burns produced the preceding video on November 3, 2012
DIRECTLY comparing the LALB with the Mafia!
HB 1439 died in committee by a vote of 8-3.
To return to LAPA's Shill Bidding Page, CLICK HERE