[MSN] New Zealand. A man accused of selling a valuable Colin McCahon artwork from a dead painter's estate has paid an auctioneer $22, 000 to reimburse an out-of-pocket Wellington millionaire. But police are yet to decide whether to lay theft charges or if the iron cross sculpture will be returned to the family who claim to be the rightful owners.

[MSN]

Millionaire repaid over cross
Wednesday, 12 March 

A man accused of selling a valuable Colin McCahon artwork from a dead painter's estate has paid an auctioneer $22,000 to reimburse an out-of-pocket Wellington millionaire.

But police are yet to decide whether to lay theft charges or if the iron cross sculpture will be returned to the family who claim to be the rightful owners.

Infratil chief executive Lloyd Morrison bought the cross for $25,000 at a Dunbar Sloane auction in 2006. But police seized it during a search at his Wellington home last month.

McCahon gave the cross to a friend and former student, Wanganui painter Joanna Paul, who died in 2003. Paul had bequeathed the cross to her son but her family say it was stolen from a locked safe in her old Wanganui studio. They realised it was gone when they saw it being sold on a televised auction last year, and contacted police.

Dunbar Sloane Sr said the vendor approached him last week about clearing things up and yesterday presented a $22,000 bank cheque to staff in Wellington.

"He said, 'I found it maybe in 2004. It was abandoned, I took it, I kept it for about 18 months, then I decided to auction it through you'. I think the publicity got to him and he was terrified. He said, 'It was turning into the crime of the century. It was bigger than the [stolen Victoria Cross] medals'."

The vendor claimed the cross was abandoned in an unlocked room and Mr Sloane said he did not believe he had acted with criminal intent. A female associate of the vendor had taken it to the auctioneer.

Mr Morrison would be reimbursed in full. Dunbar Sloane would make up the other $3000.

"The Morrisons will probably be a little bit sad still because they would have preferred to have the iron cross back."

Jane Paul, Paul's sister, said the latest development was "interesting" but she declined to comment further as the case was still under police investigation.

A spokeswoman said the cross was still being held by police. The officer in charge of the case was on leave.

http://www.stuff.co.nz