Christie’s has confirmed that it has begun legal proceedings against American stockbroker, Jerome Davis, for non-payment of an outstanding loan. The amount is believed to be in the region of $2 million. Mr Davis was a key player in the Victorian paintings market, bidding publicly at auction, often against the Australian collector John Schaeffer. He paid top prices for works when the market was at its peak and will have difficulty realising the same value for these paintings now. David Perlmutter, the attorney acting for Jerome Davis, was unable to confirm the amount of the outstanding loan or whether proceedings would definitely come to court. It is widely believed that Christie’s also lent money to Mr Davis’s chief competitor, John Schaeffer, at advantageous rates.