India Draws Up Rules to Prevent Certificate Fraud

                            

Industry leaders in India have published draft rules aimed at stopping members from selling diamonds with false grading reports.

The new Diamond Charter calls for tight measures to prevent the misuse of certificates. It also requires companies to take action to stem the circulation of grading reports that are not attached to a stone.

The document, which the Gem & Jewellery Export Promotion Council (GJEPC) posted on its website last week, mandates ethical conduct and grants powers to punish those who misbehave. It is currently at the consultation stage, and could go into effect next month, GJEPC executive director Sabyasachi Ray told Rapaport News Monday.

The draft calls for participation by the Bharat Diamond Bourse (BDB), the Surat Diamond Bourse (SDB) and the Mumbai Diamond Merchants’ Association (MDMA), as well as the Gemological Institute of America (GIA), the International Gemological Institute (IGI), HRD Antwerp, Gemological Science International (GSI) and the Gemmological Institute of India (GII). Those organizations will also set up a committee to enforce the rules among members, it says.

The move follows increased demand for grading and a string of fraud cases involving natural stones carrying reports pertaining to lower-quality or synthetic goods.

“[Since] lab-grown diamonds came into the market, above [0.30 carats], no natural diamond is sold without a certification,” Ray explained. “This [underpins] the value of the diamond.”

The rules require grading institutions to give each diamond a unique identification number and a corresponding laser inscription when they receive it for certification, and to keep an accessible online archive of reports. They also compel labs to offer free verification services at major trading centers and maintain records of know-your-customer (KYC) documents.

Meanwhile, bourses must remind their members that trading of a certificate without the sale of a diamond is illegal, according to the charter.

The guidelines also govern what happens if a seller has multiple grading reports from different labs for the same stone and only wishes to give the buyer one of them. In this case, the seller should return the remaining certificates to the lab or destroy them within 30 days so misuse of the document is impossible, the charter continues.

It also calls on diamond buyers to verify the certificate’s authenticity using the relevant lab’s online database.

The boards of the BDB and the GJEPC have approved the charter, with members of exchanges and the general public now able to comment on the draft before November 16, Ray said. Depending on feedback, implementation could happen by December 1, he added.

“Our understanding is that the charter is in draft; we look forward to learning more about it,” a GIA spokesperson said. “For many years, GIA has supported the efforts of trade bodies, including the GJEPC, in addressing issues of importance to the trade and to advance consumer protections.”

While grading fraud has been an issue for years, the phenomenon has become especially common since the rise of lab-grown diamonds.

In August, police in India discovered a scam in which people had sold low-quality diamonds bearing counterfeit certificates, a number of them involving forged GIA report numbers. Some of the stones were lab-grown but carried natural-diamond reports.

In May, the GIA reported a rise in submissions of lab-grown diamonds with counterfeit inscriptions.

Clarification, November 9, 2021: This article has been updated to clarify that not all the named organizations have signed up to the charter, which is still in a draft stage. A quote from the GIA has also been added.

Source: DCLA

India Draws Up Rules to Prevent Certificate Fraud

                            

Industry leaders in India have published draft rules aimed at stopping members from selling diamonds with false grading reports.

The new Diamond Charter calls for tight measures to prevent the misuse of certificates. It also requires companies to take action to stem the circulation of grading reports that are not attached to a stone.

The document, which the Gem & Jewellery Export Promotion Council (GJEPC) posted on its website last week, mandates ethical conduct and grants powers to punish those who misbehave. It is currently at the consultation stage, and could go into effect next month, GJEPC executive director Sabyasachi Ray told Rapaport News Monday.

The draft calls for participation by the Bharat Diamond Bourse (BDB), the Surat Diamond Bourse (SDB) and the Mumbai Diamond Merchants’ Association (MDMA), as well as the Gemological Institute of America (GIA), the International Gemological Institute (IGI), HRD Antwerp, Gemological Science International (GSI) and the Gemmological Institute of India (GII). Those organizations will also set up a committee to enforce the rules among members, it says.

The move follows increased demand for grading and a string of fraud cases involving natural stones carrying reports pertaining to lower-quality or synthetic goods.

“[Since] lab-grown diamonds came into the market, above [0.30 carats], no natural diamond is sold without a certification,” Ray explained. “This [underpins] the value of the diamond.”

The rules require grading institutions to give each diamond a unique identification number and a corresponding laser inscription when they receive it for certification, and to keep an accessible online archive of reports. They also compel labs to offer free verification services at major trading centers and maintain records of know-your-customer (KYC) documents.

Meanwhile, bourses must remind their members that trading of a certificate without the sale of a diamond is illegal, according to the charter.

The guidelines also govern what happens if a seller has multiple grading reports from different labs for the same stone and only wishes to give the buyer one of them. In this case, the seller should return the remaining certificates to the lab or destroy them within 30 days so misuse of the document is impossible, the charter continues.

It also calls on diamond buyers to verify the certificate’s authenticity using the relevant lab’s online database.

The boards of the BDB and the GJEPC have approved the charter, with members of exchanges and the general public now able to comment on the draft before November 16, Ray said. Depending on feedback, implementation could happen by December 1, he added.

“Our understanding is that the charter is in draft; we look forward to learning more about it,” a GIA spokesperson said. “For many years, GIA has supported the efforts of trade bodies, including the GJEPC, in addressing issues of importance to the trade and to advance consumer protections.”

While grading fraud has been an issue for years, the phenomenon has become especially common since the rise of lab-grown diamonds.

In August, police in India discovered a scam in which people had sold low-quality diamonds bearing counterfeit certificates, a number of them involving forged GIA report numbers. Some of the stones were lab-grown but carried natural-diamond reports.

In May, the GIA reported a rise in submissions of lab-grown diamonds with counterfeit inscriptions.

Clarification, November 9, 2021: This article has been updated to clarify that not all the named organizations have signed up to the charter, which is still in a draft stage. A quote from the GIA has also been added.

Source: DCLA

Portuguese UN peacekeepers accused of helping to smuggle diamonds, gold and drugs out of Central African Republic

       The Central African Republic has hosted UN                                peacekeepers for years

A “handful” of Portuguese peacekeepers may have been involved in smuggling gold, diamonds and drugs out of the Central African Republic (CAR).

The soldiers, part of the United Nations peacekeeping force in the country, are alleged to have been part of a crime ring that used military planes to transport the illicit goods to Portugal, the office of the Portuguese Armed Forces Chief of Staff said in a statement.

More than 300 inspectors raided nearly 100 properties in Portugal as part of the investigation, police said on Monday.

Officers said the “criminal network” had international links and 10 people have been arrested so far – some of them ex-military. They are likely to appear in court this week.

The Portuguese military said officials became aware of the alleged crime ring in December 2019, along with suspicions that some of its soldiers may have been used as couriers.

More stringent checks have been put in place for soldiers returning to Portugal after peacekeeping missions.

Supporters of a presidential candidate in CAR ride on a flatbed lorry, in an incident unrelated to the crash
At least 78 people killed as truck flips in the Central African Republic In a statement, military officials said: “The armed forces totally repudiate these behaviors which contradict the values ​​of the military institution.”

Portugal’s defence minister Joao Gomes Cravinho said: “Everything suggests that these were activities undertaken on their own initiative by a handful of soldiers and not something systemic.”

Hundreds of Portuguese soldiers have been deployed in the CAR over the past few years, as the country struggles with violence that worsened after a coalition of rebels seized power in 2013.

It is rich in gold and diamonds but it is also one of the poorest countries in the world.

Source: DCLA

Portuguese UN peacekeepers accused of helping to smuggle diamonds, gold and drugs out of Central African Republic

       The Central African Republic has hosted UN                                peacekeepers for years

A “handful” of Portuguese peacekeepers may have been involved in smuggling gold, diamonds and drugs out of the Central African Republic (CAR).

The soldiers, part of the United Nations peacekeeping force in the country, are alleged to have been part of a crime ring that used military planes to transport the illicit goods to Portugal, the office of the Portuguese Armed Forces Chief of Staff said in a statement.

More than 300 inspectors raided nearly 100 properties in Portugal as part of the investigation, police said on Monday.

Officers said the “criminal network” had international links and 10 people have been arrested so far – some of them ex-military. They are likely to appear in court this week.

The Portuguese military said officials became aware of the alleged crime ring in December 2019, along with suspicions that some of its soldiers may have been used as couriers.

More stringent checks have been put in place for soldiers returning to Portugal after peacekeeping missions.

Supporters of a presidential candidate in CAR ride on a flatbed lorry, in an incident unrelated to the crash
At least 78 people killed as truck flips in the Central African Republic In a statement, military officials said: “The armed forces totally repudiate these behaviors which contradict the values ​​of the military institution.”

Portugal’s defence minister Joao Gomes Cravinho said: “Everything suggests that these were activities undertaken on their own initiative by a handful of soldiers and not something systemic.”

Hundreds of Portuguese soldiers have been deployed in the CAR over the past few years, as the country struggles with violence that worsened after a coalition of rebels seized power in 2013.

It is rich in gold and diamonds but it is also one of the poorest countries in the world.

Source: DCLA

Russian royal gems, rare coloured diamonds on Geneva auction block

                               

Russian royal jewels smuggled out of the country during the 1917 revolution, alongside rare coloured diamonds, are on offer at auction next week in Geneva, looking for deep-pocketed collectors emerging from the pandemic.

An orange-pink diamond weighing 25.62 carats, estimated at 3.6 million to 5.38 million Swiss francs ($3.9 million to $5.9 million), set in a ring, is the star lot at auction house Sotheby’s semi-annual jewellery sale in the Swiss city on Nov. 10.

“A beautiful crystal, it’s a fantastic colour with a little bit of orange but not too much, so it’s a very subtle colour,” Olivier Wagner, head of sale and jewellery expert at Sotheby’s Geneva, told Reuters in the showroom in a lakeside hotel.

“The market is currently very dynamic and after the pandemic people are very keen to buy jewellery today and to buy something tangible they can enjoy.”

For collectors of historic gems, a large oval sapphire and diamond brooch and matching earclips from the jewellery box of Grand Duchess Maria Pavlovna, the aunt of the last Russian Emperor Nicholas II, is back on the block.

“They belonged to the Grand Duchess Maria Pavlovna of Russia who was the queen of social life in St. Petersburg. She was the wife of the Grand Duke Vladimir, so the son of the tsar (Alexander II), and she had a fantastic collection of jewels,” Wagner said.

The royal set, entrusted to her friend the British diplomat Albert Henry Stopford, who took them to London for safekeeping along with other jewels, is estimated at 280,000-480,000 francs, the auction house said.

Pavlovna escaped from revolutionary Russia and died in France in 1920. Her brooch and earrings are being sold by a European princely family who bought them at auction in 2009, the auction house said.

Source: DCLA

Russian royal gems, rare coloured diamonds on Geneva auction block

                               

Russian royal jewels smuggled out of the country during the 1917 revolution, alongside rare coloured diamonds, are on offer at auction next week in Geneva, looking for deep-pocketed collectors emerging from the pandemic.

An orange-pink diamond weighing 25.62 carats, estimated at 3.6 million to 5.38 million Swiss francs ($3.9 million to $5.9 million), set in a ring, is the star lot at auction house Sotheby’s semi-annual jewellery sale in the Swiss city on Nov. 10.

“A beautiful crystal, it’s a fantastic colour with a little bit of orange but not too much, so it’s a very subtle colour,” Olivier Wagner, head of sale and jewellery expert at Sotheby’s Geneva, told Reuters in the showroom in a lakeside hotel.

“The market is currently very dynamic and after the pandemic people are very keen to buy jewellery today and to buy something tangible they can enjoy.”

For collectors of historic gems, a large oval sapphire and diamond brooch and matching earclips from the jewellery box of Grand Duchess Maria Pavlovna, the aunt of the last Russian Emperor Nicholas II, is back on the block.

“They belonged to the Grand Duchess Maria Pavlovna of Russia who was the queen of social life in St. Petersburg. She was the wife of the Grand Duke Vladimir, so the son of the tsar (Alexander II), and she had a fantastic collection of jewels,” Wagner said.

The royal set, entrusted to her friend the British diplomat Albert Henry Stopford, who took them to London for safekeeping along with other jewels, is estimated at 280,000-480,000 francs, the auction house said.

Pavlovna escaped from revolutionary Russia and died in France in 1920. Her brooch and earrings are being sold by a European princely family who bought them at auction in 2009, the auction house said.

Source: DCLA

Travis Scott gifts Kylie Jenner and Stormi matching diamond rings

                                    

On Tuesday, Kylie Jenner revealed that the “Sicko Mode” rapper, 29, gifted her and the couple’s 3 year old daughter, Stormi Webster, a set of matching diamond rings.

The mommy and me sparklers each feature a pear cut stone nestled next to an princess cut diamond, in a “Toi et Moi” style.

“Daddy got us matching rings,” Jenner, 24, captioned a photo of her hand next to Stormi’s.

And Khloé wasn’t the only one impressed by the sparklers; Mike Fried, CEO of The Diamond Pro, told Page Six Style that the bling is worth some serious cash.

“These matching rings are absolutely stunning due to their unique design and presentation of the diamonds,” he said. “Kylie’s enormous diamonds look to be 5 or 6 carats each, with an estimated value of $325,000 for both. Stormi’s diamonds appear to be 1.5 carats each, with an estimated value of $120,000 for both.”

Source: DCLA