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I don't see any reason why they would not be allowed - part of the problem before was that registered members weren't able to post responses in the classifieds. Sellers would post the "current high bid" and many people were less than trusting of the process.
The problem with auctions in the main classifieds is that people tend to want to play auctioneer; and all those posts intended to keep the auction visible & encourage bids are nothing but posted bumps (which are, of course, specifically disallowed)
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