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I think one of two things happened here, with the end result of the winning bidder getting screwed. The bids jumped from $400 to $1000. It could be that two bidders who wanted to protect themselves from last minute bids threw in high bids, with the one with the highest bid regretting it. Or the other possibility involves shill bidding. I'm always suspicious when the bidders identifications are kept private. What is the seller afraid of with the bidders identifications being listed? Makes me think that maybe someone is bidding up the auction.
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