Perry Rubenstein Arrested in Santa Monica for Theft and Embezzlement

Los Angeles art dealer Perry Rubenstein was arrested in Santa Monica last week on charges of theft and embezzlement, following complaints from collectors Michael Ovitz and Michael Salke. Ovitz, co-founder of Creative Artists Agency and former Walt Disney Company president, had entrusted Rubenstein with selling two Richard Prince works valued at over $1 million; Rubenstein allegedly sold them for less than agreed without permission. Salke, a Massachusetts collector, consigned a Takashi Murakami scroll for $750,000; the sale to the Broad Foundation was completed at a higher price than Rubenstein communicated to Salke, and Rubenstein later attempted to increase his commission. Rubenstein, 62, was released on $1 million bail pending trial. He previously declared bankruptcy in 2014 with debts exceeding $5.4 million. His lawyers deny all charges and have had criminal counts dismissed. Rubenstein's Hollywood gallery opened four years ago, attracting celebrities like Shepard Fairey and Neil Young. He built his reputation in New York, moving to Southern California in 2011 to bring "New York sensibility" to Los Angeles. The gallery launched in a former warehouse on Highland Avenue.