Carl -- the practice you have described is specifically prohibited by eBay rules. Based on my several exchanges of email with Jo King of eBay, I believe it is also one of the few things they will actually do something about. If it was my decision to make, I would email her (jo@ebay.com) and file a formal complaint. If you do so, send her complete documentation (i.e., any email you have received), along with appropriate lot numbers, bids, email addresses, etc.
BTW, though I am a fairly frequent complainer about false or misleading lot descriptions on eBay, I agree that if a lot is honestly and accurately described, it is both unfair and unethical for anyone to interfere with an ongoing auction (though I have no compunctions about alerting bidders to fraudulent, misleading or dishonest auctions if the seller is unwilling to correct the lot description).
I'm also inclined to agree with George Conrad that I would like to avoid doing business with the person who is attempting to undercut you in this way. If you do not wish to post his/her name on the BB, I would appreciate an email advice as to who it is (with the understanding that I will not reveal the name unless either you or the other person agree that I may do so).
Thanks for bringing this to our attention! ----- jim o\-S
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