Yep, as is the case in any auction situation.
I don't know how old you are Spiral, but if you were around in the 1970's, you would be very aware of the activities of the "ring" that operated in the UK. It was absolutely notorious. By comparison, ebay is squeaky clean.
In live auctions I have seen auctioneers pulling bids off the wall, especially when the auctioneers themselves owned the goods being auctioned.
I love live auctions, but the catalogue of dirty tricks that is part and parcel of any auction, live or electronic, is enough to dampen the enthusiasm of many people.
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