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MAINE DEPARTMENT OF PROFESSIONAL
AND FINANCIAL REGULATION

35 SHS, Augusta, Maine 04333

 
Phone: (207) 624-8500
Fax: (207) 624-8690
TTY: (888) 577-6690

State Board Revokes Auctioneer's License; Consumer Protection Advice Offered

 

January 14, 2009

 

 

Department of Professional and Financial Regulation Commissioner Anne Head announced on Wednesday that the Board of Licensing of Auctioneers has revoked James D. Cyr’s auctioneer license, imposed the maximum allowable fine of $4,500 and ordered payment of nearly $1,000 to cover hearing expenses. The Board’s action follows an investigation and determination that Mr. Cyr, operator of Cyr Auction Company in Gray, failed to properly and adequately account for another person’s property taken into his possession for an auction in 2007; failed to return money and unsold property to that person in a timely and appropriate manner; and conducted that 2007 auction of another person’s property without a written contract. Each of the three violations of Maine law is punishable by a fine of up to $1,500.

Commissioner Head explained that the license revocation--the most serious action that can be taken against a licensee--was the result of accumulated disciplinary measures taken against Cyr. After concluding that Cyr violated statutory provisions in this most recent case, the Board reviewed a total of five past Decisions and Consent Agreements in which he either agreed or was found to have committed violations of Board statutes and/or Rules. Several of those prior instances involved violations identical to the ones found in the current case. Previously, sanctions were imposed in 2003, 2005, 2006, 2007 and 2008. Some of these Decisions and/or Consent Agreements included license suspensions for varying time periods.

The Decision in the current case notes that the prior disciplinary actions and associated sanctions “do not appear to have had much, if any, effect on James Cyr’s performance as an auctioneer. He continues to violate Board statutes with total disregard of possible consequences as reflected at a minimum by repeatedly refusing to timely remit auction proceeds to consignors. This results in the lack of trust by the public in the auctioneering profession, which invariably causes harm to the public.”

In announcing the Board’s decision, Commissioner Head sought to warn the public about this auctioneer and to encourage consumers to be fully informed and prepared when entering into an auction arrangement. “Most auctioneers in Maine are honest and professional in their conduct,” Head commented. “But we realize in the Cyr case that some bad actors may continually disregard Maine law and place consumers at risk of losing money and property.”

The Board of Licensing of Auctioneers and the Department of Professional and Financial Regulation are committed to doing everything possible to protect those who engage in transactions with auctioneers. The Commissioner urged consumers to take the following steps when considering transactions of this kind:

 Confirm the auctioneer's license status online at www.maine.gov/professionallicensing or by calling 207-624-8603 (TTY: 1-888-577-6690);

 Do not transfer control of your property to the auctioneer without a written contract--State law requires a written contract between the auctioneer and consignor before the auction may be conducted (32 MRSA §298);

 If the consignor does not receive payment within the time period specified in the contract, contact the Board.

“Given the state of the economy, consumers may be increasingly interested in buying or selling through auctions. Regulators must remain vigilant in seeking to identify and punish those who violate our laws, and consumers should never hesitate to report concerns to law enforcement and to the Office of Licensing and Registration at the Maine Department of Professional and Financial Regulation,” Commissioner Head concluded.

The Department of Professional and Financial Regulation protects the citizens of Maine through the regulation of State-chartered financial institutions, the insurance industry, grantors of consumer credit, the securities industry, and numerous professions and occupations providing services to the public. In order to encourage the development of sound ethical businesses which serve the needs of Maine citizens, the Department fosters a healthy business environment through competent, impartial and efficient regulation.

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Last Updated: January 14, 2009 6:23 PM