Diamonds switched for CZ or lesser diamonds

[AdaBeta27]

The people who say you need to have a fully detailed appraisal on your diamonds are wise. And if your jewelry has been left someplace for cleaning or repair, it might be a good idea to have an independent appraiser check it. Corrupt jewelers do exist, and they do change out good diamonds for CZs or lesser quality diamonds. A relative was ripped off at least twice by the same jeweler they’d dealt with for years and thought very highly of. A pair of diamond earrings consisting of two 1ct solitaires was placed on consignment with that jeweler and a large (3ct or more) diamond solitaire ring was left there for cleaning and/or repair. They picked up the diamond ring after a day or so. They left the earrings on consignment at that store for some period of time. After the earrings didn’t sell, the relatives took them back and gave them to me. I took the earrings to my jeweler for appraisal and he tested them and determined that they are CZ, not diamonds. The earrings were still insured on my relatives’ policy and insurance paid them a cash settlement.

My relatives immediately took the diamond solitaire to another jeweler. He verified that it was a diamond. Everybody was relieved and we thought that was the end of it. However, when those relatives had passed away, that diamond was part of the estate. It was sent for appraisal. The stone in the setting was indeed a diamond, but of a much lower clarity and color, and I think even a different cut (RB vs. OEC/transitional or the other way around) compared to the appraisal that was used for insurance. By this time, the insurance had lapsed or was terminated upon the relative’s death, and the estate lost a lot of money as a result. Had they caught the switch at the time it happened, the relatives would have gotten reimbursement from insurance and the police would have had even more reason to go after the jeweler.

You are no doubt wondering where this happened and what the law did. Well, they didn't catch him. I wasn’t involved except as the recipient of some very nice CZ earrings. I don’t know the jeweler’s name. I can’t provide details except to say it was a southeast Florida jeweler, the police were quickly notified, the jeweler closed his store and disappeared. There were other theft complaints filed about this same jeweler. The police had been investigating him for some time. He was believed to have relatives or friends in the jewelry business in at least two other states (CA and MI if I recall correctly) and police suspected they were all moving stolen goods between states and reselling them at other stores. This happened approximately five years ago. According to rumor, this jeweler is now back in business in southeast Florida.

 

[Diamondsbybree]

I have that it has happened before. You can check stores on the Better Business Bureau.
It is sad when this does happen. That is why I recommend insurance, insurance, insurance~!~!~!

 

[oldminer]

The substitution of CZ for diamond or the switching of a high quality diamond for one of lower quality does occasionally happen. It is good to know how to identify YOUR diamond if it must be left with anyone. Whether you know exactly how the inclusions look, if your diamond has a laser inscription, if it has been Gemprinted, the exact mm diameter and depth... If you know some or many of the fine details and are prepared to verify them immediately upon getting your diamond back, but before you have taken it out of the shop or store, then you may be better off.




Once you go out of the store with the diamond, or CZ, the store owner can just as easily claim you changed the stone. It is very difficult to prove and expensive to go into court. ALways get a detailed reciept when leaving a diamond, too. Don't be blindly trusting. Right or wrong you might lose. The best thing is to keep a watchful eye on your diamond as much of the time as you can. Sometimes it will have to go out of your sight, but only trust someone who has a great reputation and has earned your trust. Remember, a con man's best talent is to convince you of his honesty. Don't be foolishly trusting. Whenever someone I really don't know makes a special effort to gain my blind trust my antennae go up. If I have no reason to trust someone, I dont. This is not an insult, but just good sense. If the person who was attempting to get you to trust them professes that you have hurth their feelings or insulted them, then you have found them out and this is one of the tools in their arsenal of breaking you down. It is a ploy, not a real emotion on their part. Why in the world would someone you don't know expect you to trust them? Trust is not an immediate thing, is it?




Insurance does not cover a diamond that has been left on consignment that has been switched. Insurance covers loss, but not fraud generally. Be sure about your own coverage, but don't rely on insurance to be careful. Being careful is up to YOU.

 

[denverappraiser]

Most insurance policies offer coverage against theft. This would include theft by a jeweler or some other professional with whom you have entrusted with the piece. The consignment and bailment clauses will exclude coverage if it is stolen by someone else from the jeweler (in which case, his insurance would likely come into play). Most policies will also not cover ‘mysterious disappearances’. Obviously, the insurance company will choose to use the latter description whenever possible. Proving such a case can be difficult. Fortunately they are quite rare. This doesn’t happen nearly as often as people fear. As Dave suggests, your best defense is to learn to recognize your own stone so that you can identify it immediately if there is ever a question and to use jewelers that you trust. Properly done appraisals are also helpful for this as well. These steps will also help you to recognize any damage to the stone both as a result of repair work and ordinary daily wear.

Neil Beaty, GG ISA
Independent Appraisals in Denver