Andrew Stepanenko activity RAD

[SergeiSK]

Interview with Andrew Stepanenko, director general of the Russian Auction House (RAD) and CEO of the Property Fund of St. Petersburg, the newspaper "Kommersant"

- Auction Houses (the arts) with public participation - a rarity in the world. Does this not contradict the very notion of marketability?
- Not so rare. The auction house in Amsterdam - a wholly-owned company of this city. Stockholm has long been a public house. For auction at the starting point, I do not see anything wrong with that. In addition, the share of Sberbank in the RAD of 33%.
- What are the features of the auction house in Russia?
- In the West, the auction houses have started their activities for a long time - the laws and the legal framework as unsettled market was formed and divided. We have chaos. In Russia there are auction houses, but their opportunities, including for legal and regulatory framework, in cooperation with museums and, most importantly, the liberalization of the law on import or export of works of art, are small. We can change all that. We have a definite political will. We are ready to lobby for issues related to the change in legislation that would have helped to create a transparent market.
- But if you'll get to legitimize the free movement of works of art across the border to Russia immediately come competitors. Are not you afraid?
- Of course, this will take advantage of Sotheby `s, Christie` s and other Western auctions. RAD is ready to compete with them. We are not afraid. It is difficult to say that in the short term, we will stand together with them. Of course not. But time flies fast, and each will take its place.
- you are willing to sacrifice short-term profits for long-term political prospects?
- At RADA has strategic goals, and there is tactical. Strategic - in ten years to reach a certain amount of profit. GLAD was formed a year ago, and this year as the training we worked on the usual market of distressed assets and property of bankrupt enterprises, sold at auction palaces (which is generally unusual for Russia). Annual turnover we have 6 billion. Let now the profitability of auctions of art will be 4-5%- and will continue to rise. None of the founders of RADA does not aim to achieve maximum dividends. Today we live in that sell real estate - on the market, which was formed, the legal framework which was formed 20 years. RAD is now ranked among the selected vendors of federal property, and now there is no monopoly Rosimushchestvo to privatize state assets. But to this I have personally spent eight years, and the laws by which we work, my colleagues wrote in St. Petersburg in 1996. Imagine how much time and effort needed to create a working design to a new market sector.
While we absolutely commercial organization, we do not make short-term goals of profit. We're talking about the need to form a legal framework to ensure that the art market has become transparent and open. But strategically, we believe that in future auctions is art, and they alone, will bring the maximum profit - up to 90%of income glad.
- If you achieve your goals, what will happy to offer its customers?
- If we are liberalizing the law on import or export of works of art, we can bring to our auctions works from abroad and to promise our customers that they, including non-residents of Russia will be able to export items purchased abroad.
- In respect of customer service rules for conducting auctions RADA strikingly different from the ordinary. Do you require the buyer to pay bail, entirely on their risk of acquiring unauthentic art works and does not accept any claims for purchased lots. What caused this?
- We have a rich history of auctions. St Petersburg Property Fund sold 1,100 lots per annum (real estate, stocks, land). Of course, the company's lawyers have eaten dog for hedging. And after working with the pledged property and assets of bankrupt - even more so.
The selection of art for the first auction was over carefully. For each subject, we have consulted with reputable experts, and if we have a slightest doubt the authenticity of the subject, we refused to put it up for sale. (poorly consulted bad). We are aware that in this case, as the sale of art objects, reputation more than money. Our goal - to hit the very fact of a work of art in our auction was a testament to his genuineness. Perhaps today it is our top priority.
With regard to legal language in the rules of trading today, the legal framework does not allow us to work differently. We have not worked legislation in this area, friable, and therefore as a company we are forced to defend themselves. But we are confident that with time this situation will change.
- Why RAD is solved by requiring such efforts, risky and low-income, art auctions, when the St. Petersburg palaces and land sold so well?
- We decided to complete the privatization in St. Petersburg, it will take about 15 years. In Moscow, if you will our rates go, have 30 years: in times of Luzhkov's Moscow did not sell anything, only leased. And in St. Petersburg was the policy of selling, and property fund has sold over four years to $ 3 billion of assets owned by the city.
Privatization will end - will remain private property, which comes up for auction are much rarer. Strategically, we must at this point to go to another sector, and we must prepare now. Yes, we will create competition, but we'll do a good deed for everyone. Indeed, our founders are state bodies - they have something to be such goals. And at RADA enough funds, we can not afford it.
Tatiana Markina
b-Online, 30.11.2010