CGC Scam Gets WORSE - OFFICIAL LAWSUIT

[@ryanbizzleGGMU]

Just submitted a big batch to CBCS, and am off CGC for the foreseeable future. I don’t see CGC spending the money on new security features and measures; that would be doing the right thing, and they continuously prove they can’t do that. Bye-bye Criminal Grading Company.

[@genekehoe6345]

CGC -- Criminal Grading Company! I think we're going to be hearing that name a LOT!

[@a3marketing991]

First time I've heard that! I agree. I have a lot of books back from the presser and going to submit CBCS.

[@BrooklynAvenue]

It's a fantasy that CBCS is going to be different. They also hire humans.

[@davidsamuelson2089]

Hilarious that the stealer grader was unhappy with the CGC grades on stolen books & switched them out. Even an in-house grader is unhappy with CGC grading.

[@kryptoniterocks8245]

Hahaha yup!!!! We all know it’s pay for the grade when your a big player in this hobby.. Heritage ring a bell

[@davidallen4026]

Very amused that NOW people have lost faith in CGC. Most of my CGC books have worthless grader notes - either they are blank or just repeat what's on the label. If I have a 9.8, I can't tell why it's not a 10. If I have a 5.5, I couldn't tell you why it's a 5.5 or even why it's not a 6 from their shitty grader notes. Never liked CGC and basically I don't buy graded books unless it's the only affordable copy. Lost faith in CGC YEARS ago. Whatever they do about these various scams is too little too late.

[@a3marketing991]

I couldn't agree more. Typically, no grader notes.

[@kryptoniterocks8245]

Couldn’t agree more. When they put a 4% extortion fee for the value of your books we know how greedy they got

[@BrooklynAvenue]

Grader notes are bullshit. They even concede that notes are incomplete.

[@EMMANUELSANGELS]

Here is the exceptionally good news, now that CGC is being called out they have some huge adjustments to make!!!

[@DocReasonable]

Time to abandon CGC en masse. It is what it is.

[@shadowspwnz]

If inside jobs are a possibility, then even CBCS is at risk. My question would be "How much are CBCS workers getting paid?" 🤔

[@davidsamuelson2089]

Cbcs let people take home several hundred books (at least that many they weren’t exactly up front) to grade at their house during the pandemic. Then hundreds of books became mysteriously “lost”.

[@NeverEndingStoriez]

This is bonkers. Can CGC recover from all of this? Kinda makes me want to walk away from grading.

[@MalevolentBite]

I always thought it was a scam.

[@Acheron_426]

I had 8 books set aside to send out and now I’m just gonna keep them raw.

[@jamesortiz3425]

Thank U much!! For informing your U tube fans in exposing CGC for how corrupt they are, and those missing books I bet anything,that thay got pennies for what the books are worth. That's another reason why they should sue for the value it was sold for!! I could write more on the matter,but I'll let it go for now!!🤔😜🤗

[@Wassuuppwithu]

So it goes CBCS, PGX then now the joke of grading CGC 😂😂😂😂😂

[@jabezcreed]

The Terrazas lady sold a book on eBay SHE remarked AND signed AND submitted Signature Series! Unbelievable! And she worked in the "eBay department" at CGC for crying out loud.

[@ComicBookInvestments]

They should have more checks and balances

[@jamesortiz3425]

My fellow comic collector's, Corruption is everywhere, U must be vigilant to do business anywhere in the comic book world!!! I am. 🤗😜👍

[@jamesortiz3425]

Thay should get rid of her!!! 😜

[@300baud]

They got outsiders scamming them because their process is flawed, and they got insiders scamming because their security is lax. Why in the hell would anyone use their services or buy their slabs? Seriously!

[@JeremyKingTech]

There's no way this is isolated. We're going to find out more info like this about CGC. The copium is going to be flooding slabbed speculative investors brains in high doses. It sucks. There have been complaints about damaged books, disappearances, and confusing low grade returns for a long time. There's obviously been a huge lack of oversight at CGC for quite a while. I don't follow super closely but was reading that CGC's new owners are pretty sketch. It's a bad look. I hope none of my books are affected! 😅🍿

[@Wr0ngNumb3r]

The reason they won’t say they are working on a new case (even if they are) is that it would greatly impact submissions. If I knew a better more secure case was coming, I’d wait for it rather than submit now as would most people I’d bet.

[@davidsamuelson2089]

Plus wait times would get horrific.

[@HalfmoonsPicks]

CBCS should address all these issues and fix their new cases and become the number one grading company. A good way to take advantange of their competitors issues .Food for thought.

[@ComicBookInvestments]

They won’t though

[@mestizo3113]

I totally agree with your frustration. It doesn't matter how many of these scammers they bring to light. I want to know how they are going to ensure this isn't happening again.

[@JayTron5000]

"Quit buying yachts" LOL. Get 'em Dave.

[@ComicBookInvestments]

Yachts are the biggest way to say you have too much money

[@mrtkiernan]

If they update the cases, please for the love of god add UV protection.

[@socom18psp]

UV protection doesn't 100% stop fading. The comic will still fade over time. Especially if they use bad film/treatment. If you really want the highest UV block possible get a film for the windows in the room that blocks 99.9% of UV rays. That way everything will be protected.

[@bobbybigfoot1163]

And this is why I’m done with cgc and their followers

[@chicoscomics]

I would gladly pay more for a better case, especially my high-value comics. Even before these scandals, it didn’t make sense that an Action 1 and a Spider-Man 361 are in the exact same case 🤷🏻‍♂️ but what do we know, we’re just collectors

[@ComicBookInvestments]

Exactly. So dumb

[@punyhuman67]

Pay more... 4% of the value they put on it, without a cap. Yeah, pay away.

[@T-RavisComics]

I hope CBCS is ready for what’s about to happen to them. There business is about grow big time

[@dandelatorre1870]

David, you have one of the best comic shows on KZbin.

[@beowulf1563]

To all those people that said there's no way this is an inside job.....look at you now

[@majorpoopie6048]

First thing I thought of. Anyone else would have been flagged 🙄

[@jeffstanley6013]

To be fair, the two incidents are not affiliated. The previous scam was not an inside job. The lawsuit paperwork shown in the video indicates that these individuals did not start working at CGC until 2022, but Automatic Comics put out a video here on KZbin a few weeks ago that proved that the other scammer was doing his thing as early as 2019, before this guy ever worked there.

[@djmoonchild01]

Two different cases

[@wjbiv75]

Apples and Oranges

[@mikedamore4739]

It is unrelated to reholdergate however Mat Nelson did say that reholdergate was an isolated incident with one person. These people swapped labels as well so not exactly isolated.

[@mikedamore4739]

20 free cgc submission per year is this where all the books that leave you saying "WTF why did someone grade this" come from

[@jonswift]

Maybe CBCS should offer to re-grade CGC books for a reduced fee - seems like an opportunity to me

[@stevencosta3148]

Well this opens the door for CBCS to overtake CGC. Maybe Raw books might start making a comeback 🤔

[@martynsimcox5177]

They make so much money coz they don’t care about their customers and they certainly don’t care about their employees if they continue to pay minimum wage. STOP GRADING YOUR COMICS. Wake up folks, you are getting fleeced by a big corporation that doesn’t give a shit about the comic fan and the community. All you are paying for is to have the outside cover graded. It’s a comic with internal pages, lock it in plastic and no one gets to see the inside again. It’s the biggest ripoff within the hobby I love. There’s my rant over 🤣🤣 Another brilliant video mate 😎👍

[@bluegrassguy5755]

15$/hr in Beverly Hills means the employee will be homeless.

[@dzetwo1]

All those times you disagree with some of the books you got back

[@ComicBookInvestments]

Yup

[@Petemarie186]

I guess we now know why CGC was sold in the first place

[@pcorey182]

Cgc does not need to do make a new case all they need to do is put a hologram on the inside on the four corners of the book that way you can tell if the case has Been tampered with it's really not rocket science to make the case more tamper-resistant at the end of the day nothing is tamper-proof but let's make it more difficult and the sad thing is people have mentioned this on cgc posts for years

[@BrooklynAvenue]

I remember in the 80s I worked in a comic shop. There was me and the owner. I would pay myself out of the register. I recall a friend of the owner asking if I had asked for a raise recently. I said no. He said "A man who pays himself out of the register likely gives himself a raise. You need to ask for a raise to keep yourself honest." It was good advice. You need to be paid well or you start to think you're justified to steal.

[@CireWorrom]

The original grading company (CGC) in its infancy should have been created as a non-profit organization. For those that do not know how non-profits work, this does not mean that they don't make money. It means that they use the money they make to reinvest in their business, i.e. growing, paying people fair wages, improving their products. Grading company should exist to serve the hobby, not to make money for shareholders or evil mega-corporations. Sure, a new slab could help make this go away, you know what else could help? Some f-n' transparency for once. Stop operating like some shadowy cabal. Install some cameras, did you know the USPS scans every item in the mail every day? I think their volume is a few magnitudes higher than CGCs and they're also flat broke. Install some cameras, tell me who and how many people graded my books, tell me whether or not there is actually micro-chamber paper inside the slab, stop trying to guess whether restoration occurred or not, include grader notes on everything - these are very easy and very possible. This company should be ashamed of what they have become - you are supposed to add confidence into this hobby, not destroy it.

[@ChienandKun]

So, all the 'conspiracy theories' are coming true. My main suspicion from a couple of years ago centered around there being no outside accountability for what goes on there. For example, they could very easily keep a high percentage of every 9.9 they see, and replace it with a 9.8, send it off to the customer, and the customer is happy. Meanwhile, they secretly accrue a stockpile of undeclared 9.9's to put on the market whenever they want. The new 9.9 screening would actually streamline this. Who is going to complain about not getting a 9.9? Nobody. I'm not saying they're doing this, I'm saying they could, and there's nothing anyone could do about it.

[@jamessatterlee]

Now that I know they have an Ebay department…the rest sounds 100% likely

[@ComicBookInvestments]

There could be so much more going on that they know but won’t tell the community

[@jamessatterlee]

@@ComicBookInvestmentsthank you for this video. This is breaking news that all of us in the community need to know. Also, your coverage these shenanigans could potentially effect your business negatively (people might lose faith in buying slabbed books) so I respect that you’re willing to bring this to our attention regardless.

[@timelkins3537]

Epic rant Dave! I feel your pain. One thing’s for sure, Matt Nelson isn’t brave enough to be on your podcast- especially if he watched this reaction. 😂

[@isitunlimited]

Short of case upgrades and a more transparent grading process, definitely not re-upping my membership.

[@wahoocomics]

Even if CGC is working on a new case, I'm not sure if they would announce it until they are ready to roll it out immediately, because otherwise I think tons of people are going to stop submitting for months while they wait on the new case, and I don't think CGC wants to give up that revenue.

[@ActionFigureGrader]

Yup

[@Hofftimusprime1]

Well CGC has always had crap customer service. They have been compromising their brand for years.

[@stevencosta3148]

Corporate negligence at its finest.

[@c-horse4694]

Honestly, I show up for the rants and I wasnt disappointed! 😂😂😂😂

[@junkdrunk3160]

The parent company is actually worth half a TRILLION $$$!!!

[@KimNguyen-zm7gi]

Business makes more money and more problems. Good insight on the future outlook for comics. Slowly dying median. What will the future holds. Thank you for your content.

[@jarredsmith9187]

I don't send any of my books to CGC or any grading company cause see they can screw you over plus it's a waste of money. The only grade books I have are the ones I brought already graded cause theses companies can and will screw the customers over.

[@robertbanning6393]

YES!!! Rant away Dave. I will only be using cbcs in the future

[@michaelzborowski4683]

My FF 48 has been missing from CGC for 8 months. I accused them of theft by employee but they were incensed. You know who else is steeling submissions? Comic Link. I have a close friend who sent a NM+ Michael Jordan rookie card along with four high value comics. They said they got them and then lost them and put him off for over a year and then they suddenly claimed that they had sent them back months ago and have ghosted him. They offered no documentation or details of the "return" of his items, they just said, "we are done, we sent them back the end,"

[@ComicBookInvestments]

What? That’s crazy. They should have insurance for something like that. That sucks

[@DocReasonable]

At this point, you could probably do a daily CGC fraud update.

[@blainekrueger1425]

How is an honest scammer supposed to scam people, CGC employees its own scammers. I mean how many unsuspecting scammers had their books all scammed up! Feels real scammy and scummy. This is turning into a circus! Not a good one, that's for sure.

[@brightnewage7491]

ALL BUSINESS OPERATIONS AND PROCEDURES START FROM THE TOP MANAGEMENT, CLEARLY THEY ARE TO BLAME HERE, COMPLETE LACK OF CARE AND DUE DILIGENCE

[@hellskitchencollectable9768]

First off...THANK YOU for speaking up when others on social media won't!!! Secondly, it definitely takes time to initiate a lawsuit! 💯💯💯 Especially when every state has specific requirements. So the lawsuits in NY need a different licensed lawyer versus the Florida lawsuit. So they knew what was going on beforehand! Lastly, I was at MegaCon and the ppl at CGC were trying to be EXTRA NICE. 😅😂😂😂 They were also offering a cool new MegaCon only label too with lower prices. I just went to CBCS instead!

[@davidkennedy6612]

Of course, what these people did was totally wrong and I hope they are punished. Your other comments on what companies pay they staff are very important and part of a much larger conversion. Big companies paying such low wages and pushing workers into poverty. While the people at the top make a fortune on hard work of others and fleecing customers.

[@jarredsmith9187]

Dave,I bet now all CGC books are going to drop in price cause every grading company can steal your books and stuff and this is why my books are never leaving my possession.

[@EMMANUELSANGELS]

While watching a live event on Whatnot, the founders of CCS were talking and that’s when I indicated a clash action lawsuit is needed

[@bat2275]

We need to DEMAND a $5 regrade and reholder option once they get a more secure case. Only that might restore faith in cgc

[@TwoBrothersComics]

All they need to do is what PGX used to do. Seal the label into the plastic attached to the inner well. That way you cannot separate the label from the book even if you can crack the case without it being noticeable. Make it to where the label must be cut away from the book to swap it.

[@Drifter2025]

Ouchy! Put a fork in 'em!

[@RAG718]

who the culprits (defendants) or CGC??

[@starchad1969]

They could use a small holographic seal on the edges on the current cases. That would obviously show if it was opened up. Easiest solution to the situation.

[@stampscapes]

Making model cases for testing would be tough as they would need to tool a complete mould of each version and those are the things that cost the most in production. It's what's needed to be done now as the cat's out of the bag but that R and D isn't something that was probably ever in-house either. That development was probably an outside company and probably whoever's been designing other collectible encapsulation containers like sports cards. Those/that case company might not have come up with any new tamper proof developments that they can implement so these grading companies might be responding to inquiries about that accordingly --as in avoiding the question as it would be bad to say there's nothing they can do about it right now.

[@bestcore1214]

I love it in your videos when it seems like the rant is concluding and then it starts up again! I absolutely love these off-the-cuff tirades! ❤

[@dailycomicsfix]

CBCS is miles and miles superior to CGC. CBCS is truly the ONLY true choice now.

[@ChristopherBusch-t7t]

Underrated part of this is they sold signature/remarked books which if you had seen the book post sig, you’d know what it looked like. Honestly not the smartest people if this is the scam can’t believe it wasn’t caught sooner.

[@Voxclamantis]

Good reporting on this. Thanks

[@EMMANUELSANGELS]

This is felonious in nature, Matt Nelson could be doing jail time somebody’s going to be doing jail time and be held accountable for this. Good luck with that. I don’t care if you, CEO of Enron well, we know what happened to Enron good luck with that!

[@berardoferrari]

LOL!!!! if anthony fauci aint doing time, this guy for sure aint doing time!!!!!

[@The9.9Newsstand]

I appreciate this video and your commentary here! Thank you!

[@harvey0812]

This is why you’re one of my favs! Great stuff brother!!

[@ComicBookInvestments]

Thanks

[@brclar78]

Oh the total books in 2 scandals under 400 sounds a little (sarcastically) suspicious

[@DocReasonable]

Yep, instead of crying about him they should be employing the Immaculate Comics guy to do their security testing for them. You know he's banned from commenting on the CGC boards?

[@thevegasslotnitsuper6059]

I predict CGC will be filing for bankruptcy at some point soon

[@ComicBookInvestments]

Doubtful. Like I said. They got bought out for 500 million. They have so much money

[@ActionFigureGrader]

CGC is owned by Blackstone Group, which has $42.5 billion in total assets. Total assets under management of Blackstone is $1 trillion. Blackstone's acquisition of CGC for $500 million is a rounding error to them. No one is going bankrupt anytime soon.

[@jpl484]

Those of us for said this was an inside job from the get go are laughing right now

[@ComicBookInvestments]

Yup. Can’t believe anything cgc says

[@jpl484]

@@ComicBookInvestments Dave- being someone who has spent a massive sum of money at CGC over the years you should put a count down sign on your desk for future videos...that reads "Days until Matt Nelson resigns" probably drive some good content.!

[@rogera616]

They are two separate cases my guy. Keep laughing but also learn the details of each case.

[@jpl484]

@@rogera616 Well the complaints just went public today...and until someone who has a pacer account posts the full complaints I have not seen the full details . I get its now two separate lawsuits but i'm still going to put money on that both sets of Defendants know each other and well see where this goes criminally.

[@repique10]

Sell your CGC’s now kids the crash is here!. About time the market has a fair playing field!. Support the Hobby not the Company!. ITS ALL A SCAM!!.

[@spcomix8986]

Preach!!! Make good stories again, not grades!

[@Acheron_426]

But I have too many high grade SA slabs already. 😳

[@repique10]

Sounds like a you problem buddy! Lol, if there a PC you’re good, if your slabbing to flip, comics are the wrong business!, the boom is over mate!.

[@Acheron_426]

@@repique10Nah, these are PC. Full SA run of X-Men both raw and slabbed.

[@repique10]

Sweet congrats, remember collect what you love and you’ll love what you collect.

[@Kurenai1819]

Very well stated regarding the recent CGC situation.

[@RobRVA]

Matt Nelson knew this back in May of last year and didn't mention it in that absurd interview or anywhere else.

[@DanSchawbel]

He wasn’t allowed to legally I’m sure

[@RobRVA]

@@DanSchawbel but he did say something along the lines that there weren't any in house problems, which he knew when he said it was a lie. He would have done better to have said nothing than flat out lie.

[@ComicBookInvestments]

Yes is the lying I have issue with. Now we can’t believe anything they say

[@DanSchawbel]

@@RobRVAagree, he shouldn’t have gone on in the first place. He knows comic book collectors don’t want corporate BS.

[@MrRanman91]

I would think they could do something where as soon as the case is cracked or tampered with, the color could change (some kind of pressure release...can't be liquid for obvious reasons) on the plastic where you wouldn't be able to get rid of it.....something like that may help

[@MrRanman91]

Can't tell you how many times I've watched these types of videos where people doing the unveiling look at the book and even mutter, this doesn't look like the book I sent in. Then they chalk it up to books being swapped (which probably does happen by accident, let alone the times it happens on purpose)...very scary, because the only reason to get a book graded in my mind was to help verify alterations that I might not be able to pick up, pieces missing, or things like that. If you can't trust even that, there is no point to getting it graded, because you can just look at it yourself.....I mean in my case, I re-submitted my X-Men #1 (I dropped it when I moved and the case cracked really bad), and wanted a nice designer label, and they put a Spider-man label on it, even though I wanted X-Men. They told me it was my fault, and they would be happy to reholder it again, for a nice little fee.....just crazy, and I just stopped using them.

[@brute_nm]

Great idea with the case tiers. That lets us consumers feel more confident with 4-, 5-, 6-figure books while at the same time letting CGC consume the inventory of current cases so it's not a total loss. $50 modern 9.8's don't need the same bulletproof-ness as slabs protecting the rarest of the rare. Not throwing shade because I have both (expensive 1-of-1's that need protection and modern $50 9.8's that just look cool slabbed).

[@ComicBookInvestments]

Ya no need to throw a $50 book into a super case. I’m sure people sending expensive books would easily pay an additional $100 more for a super case

[@mrtkiernan]

The real question is, are you going to stop sending books to CGC?

[@punyhuman67]

Why should anyone have to pay more for the expectation of having something? They paid to be be more secure. The expectation of them doing what was supposed to be done is what I paid for.

[@spinetickspressing]

I have several batches waiting to be slabbed. Every day I labor on CGC, to be or not to be... This lawsuit may have been the straw that broke the camel's back for me. I hate making decisions based on fear, but with CGC and what we're seeing I feel that such a decision may be warranted. What do you think Dave?

[@MissilesOnMotorcycles]

Glad I never bought someone else’s 9.8 and only submitted my own comics. Also glad I only did certain books and didn’t go crazy.

[@RPRsChannel]

---> *_BOOM! That's what I guessed, "an inside job"!!!_*

[@RPRsChannel]

*_CGC doesn't grade Records, yet, but that is an untapped market....maybe. ALL Vinyl collectors DO listen to the rare Records they buy; at least once, so slabbing Vinyl might not work?_* *_But, once upon a time most collectors didn't like buying slabs as they wanted to read THAT copy._*

[@ieatkittinz]

Investing in CBCS stock right now..........

[@leerogers5318]

I thoroughly enjoyed your rant because much of what you expressed is true. Presently, I harbor significant doubts about submitting any comics for grading. However, if I were to consider it, my preference leans heavily towards CBCS. I remain reluctant to entrust my books to CGC until they can convincingly demonstrate a superior or at least equal quality of service compared to CBCS.

[@dandelatorre1870]

I still love and laugh when you post a Rant Alert!!! I love this show!!!! 🤣

[@A.I.Friends]

Yeah if you have a 9.8 but in 10 years it takes UV damage. Does the 9.8 still apply? So the rating is for that time only, it will still degrade. What is the point?

[@christismellow]

I agree with you 100% on the cases! They need to get working on a new design immediately

[@johnpiotrowski9194]

Wonder if criminal charges are next.....

[@ssettle]

If they now charge upwards of 30k for the same case as a $50 book you know something is wrong.

[@brychology]

RANT TIME!!! Go get em Dave!!!!

[@eugeneinong880]

He knew about the inside job when he was asked and he lied wtf

[@thomaspalmer6453]

Dave, Matt was being honest in that video. This latest scam was completely different from the Mark Jeweler fooler scam. Unfortunately, companies do have dishonest employees, and CGC is no exception. I’m still with CGC, even though it has problems like many companies. At least CGC is taking steps to rectify its issues.

[@ronaldbourgeois1255]

Don’t they have surveillance cameras on them at all times.

[@DocReasonable]

No, that's only on Mystery Diners.

[@RAG718]

anybody understood this guy when he said ALL comics will be graded eventually ?? huh ,, lost me

[@socom18psp]

If only people knew how many comics have been graded with writing in the interior that is not in the notes or lable. Seen a ton of crack videos and it happens way too much.

[@toffeejoe]

Criminal grading company

[@MattMatt77]

4:55 Social Security is trending 🤣 Have fun with that.

[@pulp420]

That finite iceberg is starting to shrink.

[@briantobin843]

Yep, just canceled the auto renew on my CGC membership. Have a batch with them now, will probably be my last.

[@jasonknutowski5008]

So if this happened at PSA you think I’m changing graders😂

[@RAG718]

facts. peeps getting shook easy nowadays!!! lol

[@stevencosta3148]

Maybe your books haven't been dropped this whole time. What if all those lower grades were just some else's books just being swapped out for yours.

[@vcowens89]

I don’t think they are worried. They just opened a branch in Japan.

[@JediFarce]

Good thing your dad works for CBCS

[@ronaldbourgeois1255]

Dave Swagglehaus and Regie collects did a great job covering this.