I have received information from three sources that several so called dealers, including at least one of whom is a member of the CC>CC club who freely admit buying up as many new limited issues as possible, keeping a couple for sale, defacing the remainder and returning them to the cage to cash in. The cage must take them if undrilled or canceled. But the collector won't want them and the price for the remaining few now shoots up. Here is what one person told Archie Black in a recent post (since I do not have permission to post his name, I withhold it) (His reference to honmest dealers was, of course, Archie):

In my opinion a person who does this should be removed from the Club and I don't believe in black listing.

"I was stunned to read in your March AC newsletter about the
individual who brags about defacing chips only to return them to the cages
and make other collewctors miserable in the process. There seems to be a
method to this madness.
>
> From a secondary collectible market standpoint, this is the ONLY
collectible hobby I know of where the originating manufacturer will accept
returned goods in damaged condition at any time after initial release, until
the object is retired. Thus, this "speculator", or a real a__hole in my
book, can purchase 50 of 100 such chips, more if possible, deface all but a
face, and create an artificially increased value in the surviving "mint"
specimens as a direct result of his actions.
>
> This is totally unacceptable behaviour and unfortunately it is also
within the boundaries of the casino policy on chip returns. So long as he
doesn't drill a chip or totally destroy it, they must accept it back at face
value.
>
> The saddest reality is the recent Halloween limited $100s by Mahoneys
in Vegas...only 30 specimens offered. In theory, such a collector could
obtain virtually the entire run, and deface all but 1-3 chips, creating an
unprecedented rarity immediately. The casino would have to accept back the
chips at face value, where they would probably remain on the floor until
destroyed, or at least taken by a collector willing to settle for a "filler"
specimen.
>
> Is there anything that can be done about this ? It would seem that if
the behaviour continues, it will make chipping a much less desireable hobby,
and convert it to some extent into a race to get to the chips before such
"speculators" get a chance to buy many and destroy all but a few.
>
> As an avid comic book collector for 24 years, and an on-off stamp
collector for about 30 years, this is again the only hobby where you can
easily drive up the market values by unscrupulous actions such as these. I
think it's a disgrace. Thankfully there are honest chippers/dealers like
yourself out there for me to deal with !!