Top Graders' Compensation

[Dpeck100]

Originally Posted by itjclarke

It's not an accusation or even a suggestion (from me at least). It's just an observation that the opinions of several people who make relatively modest wages can have a mulitmillion dollar impact one way or another on these products. This is not directed at any TPG, but is a general comment. Again, I'm mainly commenting on a set of circumstances, which can lead to temptation.

This in no way unique to collecting, and clearly similar applies in many other fields, including for example the public sector. I remember reading a story a few years ago in SF where a few city building inspectors would block proposed home improvements (adding a floor, a garage, a deck, etc). When those houses would eventually sell, the inspectors were in cahoots with buyers, and would then approve these improvements which increased home values. On a larger scale, the City of Bell, CA. Too many scams there to begin listing.

When money is involved crazy things can happen. No doubt. I remember a few years ago at the bank I work for a branch manager downstairs got busted stealing funds from an elderly clients line of credit and it was shocking. She ran out of the bank but was quickly caught and is sitting in jail. Apparently she had a gambling problem and was covering her losses with their money.

That said because of the nature of their business, a third party graders business model is based on objectivity and the entire thing comes crashing down if collusion exists and they know that and I feel very confident there are safe guards in place to insure this doesn't happen.

The only whiff of this I have ever read about was when the Doug Allen case busted wide open and the owner of SGC was potentially implicated. Nothing ever came of it from what I have read.


****Notice their used correctly. Haha