AUCTIONEER IN COURT

Former president of REIV under the legal hammer.

Colin McLeod is a respected Melbourne Magistrate. John Dowling is a Melbourne real estate agent.

Two years ago, Magistrate McLeod ruled on a case involving another Melbourne agent, Tim Fletcher. The case focused on an auction where Fletcher had been doing what Melbourne auctioneers had done for years – cheat and mislead people with dummy bids.

Mr McLeod described dummy bidding as misleading, deceitful, fraudulent and evil. A most appropriate choice of words.

Predictably, the big boys of the auction circuit were outraged. Having lost the case, the disgraced agent Tim Fletcher spoke on television and radio in what instantly became a humiliating attempt to justify his evil deeds.

But Fletcher had supporters – his pals at the Real Estate Institute of Victoria (REIV).

The spokesperson for the REIV, Enzo Raimondo, immediately went on ABC Radio and said, "I'm not sure what is meant by dummy bids. I haven't had anyone explain to me what a dummy bid is." Perhaps Raimondo had not heard Magistrate McLeod describe dummy bidding as fraudulent.

Whatever the reason for his ignorance, Enzo Raimondo was kindly given an explanation of dummy bidding by the ABC announcer - "Someone standing in the crowd pretending to be a real bidder when they are not." Do you understand now, Enzo?

Raimondo replied, "The auction process has been around for a long, long time." When he tried similar lines on another station, the announcer said, "Enzo, you are treating me as an idiot here."

After Enzo Raimondo's embarrassing blunders, the big guns took over. The then President of the Real Estate Institute of Australia, Kevin Sheehan, told the media that he was "bemused" by the magistrate's comments. "Our Real Estate Institute of Victoria has led the field for nearly two decades now with the rules of conduct of auction." That was true. For decades, Victorian agents had led the way in deceit and fraud at auctions.

Magistrates are not known for making comments outside their courts. And, true to form, Magistrate McLeod remained silent as agents across the country hollered their denials and displeasure.

But one agent – John Dowling, a former President of the Real Estate Institute of Victoria – went too far. In a newsletter, Dowling insulted Colin McLeod and accused him of making "injudicious" remarks. Big blunder. Mr McLeod sued John Dowling.

In the County Court on Friday, the hapless agent was out of his depth. This was no auction where an auctioneer controls the proceedings by yelling at people. This was no nervous crowd of consumers being deceived with fake bids. This was a court of law. And it was agent John Dowling up against Magistrate Colin McLeod.

Dowling apologised to Mr McLeod and retracted his remarks. He said he had "misunderstood" Mr McLeod's judgement. Now that the judgement had been explained to him, he realised he was wrong. Of course.

Perhaps John Dowling looked up the dictionary definition for the words misleading, deceitful, fraudulent and evil.

Whatever it was that made him suddenly understand that he was wrong and the magistrate was right, there is one thing both he and Enzo Raimondo shouldn't have any trouble understanding.

Real estate agent John Dowling has to pay Magistrate Colin McLeod $75,000 in libel damages.

All silent. All done.


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