U.S. GOVERNMENT AUCTIONS

Bargain prices on everything from cars to the Coral Sea

Has Uncle Sam got a deal for you. Government auctions offer bargain prices on a
wider array of merchandise than you'll find in a Neiman Marcus Christmas
catalog. Inventory runs the gamut from cars, office furnishings, jewels,
ambulances, Rolex watches, and race horses to polar ice breakers, military
jeeps, NASA tracking systems, and the aircraft carrier Coral Sea.

With a little luck and legwork, shrewd shoppers can get good deals on pricey or
unusual items. And for backyard inventors, the chance to comb through leftovers
from government laboratories can be like letting a kid loose in Disneyland.
``Some Trekkies snap up every electronic gizmo in sight,'' says Bill Tesh, chief
of sales for the General Services Administration (GSA). ``One even used
government surplus to outfit his truck like the starship Enterprise.''

The GSA, for instance, sells laboratory equipment like microscopes, centrifuges,
and signal generators; office furniture; computers; electronic gear; and more
than 40,000 used autos a year.

Other federal agencies like the Resolution Trust Corporation hold public sales
to dispose of resorts, houses, condos, hotels, and raw land from foreclosures
and failed S&L's. The U.S. Postal Service unloads goods--televisions, CDs,
cameras--in unclaimed packages. The Department of Defense would be happy to sell
you, among other things, your very own DC-10. And the DEA, the Customs Service,
the U.S. Marshals, and the IRS peddle contraband confiscated from drug lords,
crime bosses, and tax delinquents.

Though street-level drug dealers tend to adorn themselves with gaudy baubles,
crime kingpins' tastes are decidedly upscale. They collect expensive antiques,
art--an Impressionist painting seized from a money launderer recently fetched
$136,000--and rare coins. ``Drug dealers like coins because they're easy to
transport,'' says Dean Echols of Manheim Auctions in Atlanta, which handles many
government sales. ``You can walk through an airport with $500,000 worth of coins
in your pocket and no one will suspect.''

But don't expect to pick up a Porsche for $100 or a yacht for $200, since
professional buyers scour these auctions for resale items and can bid up such
undervalued items. And don't think you can outsmart the pros. ``Amateurs can get
good deals if they're careful,'' says Echols, ``but they're not going to steal
anything.''

Do take advantage of the inspection period beforehand, which is usually on the
previous day or a few hours before the auction begins. Carefully examine the
merchandise and then figure out what comparable items would cost if they were
being sold retail. To avoid getting swept up in bidding fever--and overpaying
for something you don't really want--determine exactly what you want to buy and
how much you intend to spend, and stick to it. It may even be wise to attend one
auction as an observer just to get a feel for the action. ``Take no money,''
advises Tesh, ``and keep your hands in your pocket.''

Remember, all sales are final. Once you've made a winning bid, you're obligated
to buy the property; the feds won't show much sympathy if you're suddenly
stricken with buyer's remorse. Most places require a guaranteed method of
payment like a money order, certified check, or cash.

Be wary, too, of those classified ads that ``promise inside information on how
to buy exotic items at government auctions for unbelievable prices,'' warns
Carole Collins of the Consumer Information Center of the GSA. They're usually
bogus. You can get all the information you need about government sales from
Uncle Sam himself.

The GSA publishes a free booklet, The U.S. General Services Administration Guide
to Federal Government Sales, that lists which federal agency is selling what,
notification procedures for various sales, and tips on how to get a good deal
and avoid ripoffs. Write to Consumer Information Center, Dept. 601Z, Pueblo,
Colorado 81009. Major sales by the U.S. Marshals Service are advertised on the
third Wednesday of every month in the classified section of USA Today (or call
Manheim Auctions at 800-222-9885). And don't be surprised if sometime soon the
GSA puts salvage from the Super Collider on the auction block.