NEW YORK, July 31 -- The US Marshals Service is conducting an online sale of four valuable artworks created by renowned artists Pablo Picasso, Jean-Michel Basquiat, and Diane Arbus, all of which were forfeited to federal authorities as part of the 1Malaysia Development Berhad (1MDB) financial scandal.

A Texas-based auction house called Gaston and Sheehan, located in Pflugerville, has received the government contract to handle the sale of these pieces: two Basquiat works titled Self Portrait (1982) and Red Man One (1982), Picasso's Tete de taureau et broc (1939), and Arbus's Child with a Toy Hand Grenade.

The digital auction commenced on July 16 and will conclude on September 4, with buyers notably exempt from paying any additional premi...