One of the largest and well known sports memorabilia auction houses is out of business for the time being. Mastro Auctions is currently under investigation by the FBI for allegations of shill bidding and fraud.

Michael O'Keefee, who first reported on the story for the New York Daily News, reported Mastro Auctions had credit and problems, and had trouble generating enough revenue to pay off its debts.

"Three Mastro executives, including president Doug Allen, have purchased Mastro Auction's assets and will launch a new company called Legendary Auctions. The new business has taken possession of computer software and client lists, sources told the Daily News. Allen did not return phone calls for comment, but in a press release, the new company said all outstanding Mastro Auctions business will be 'seamlessly facilitated, processed and completed through Legendary Auctions.' Industry sources told the Daily News they expect Mastro's consignors will all eventually be paid."

While the news of the auction house folding has sent shockwaves through the memorabilia collecting community, it should not come as a surprise of the FBI's involvement.

In 2008, the Chicago division of the FBI launched "operation Foul Ball" that took down a fraudulent autograph ring that operated in multiple states across the U.S. Collectors will also remember that the FBI made their presence known at the 2008 National Card Show Convention in Chicago, IL

Cardboard Junction will update this story as more information becomes available.

Click here to read the full article by Michael O'Keefee.