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SECRETS of the Diamond Industry-Dateline

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Date: 7/22/2005 10:18:11 PM
Author: kenny
Here is a blurb about it from one of NBC''s Dateline sites:

http://www.nbc4.tv/technology/2862444/detail.html

Was it at the beginning, middle or end?
I''m not going to sit through 2 hours.

BTW.
I bought a hybrid car over a year ago.
I get asonishing mileage, 60 MPG lifetime average, and that is for full tanks not just one lucky trip.
My best tank so far is 66.6 MPG. Amazing.
Of course I creep at 53 MPH on the freeway and accelerate like a snail to get this MPG.
I post my MPGs on a website along with many others throughout America, a little friendly competition.

A few months ago the site announed KNBC in Los Angeles TV News Department is looking to interview hybrid owners.
I called them.
A producer called me back.
I told him even though EPA is 47/48 on my car, the Honda Hybrid Civid, I am getting 60.
He said he was looking for people who are pissed off becuase they get UNDER EPA.
Then he said Good Bye.
The media is a bunch of slimeballs.
RE: Secrets of the Media

Interesting post about the appraisers in Phila ( all of them who I know ).

If there was a carat weight discrepancy, with all three appraiser coming up with different carat weights, the reporters should have given permission and filmed the actual weighing of the stones. Instead it appears they chose not to have the appraisers do what they should have done to render completely accurate carat weights, rather than relying on three calculated estimates of the weights.

But exposes are all driven by RATINGS. Like people selling anything, most investigative reporters are looking for sensationalism. That is what sells.

I''ve been involved in many TV exposes over the years, and on one I refused to do what the producer wanted. It was about a guy who was switching diamonds. They wanted me to stand outside this jeweler''s store, after the consumer had the diamond reset, and make a conclusion as the whether the diamond was switched ONLY USING A 10 X Loupe!

I told them that I would only do this if they supplied a motor home, with all the lab equipment necessary to make this conslusion beyond the shadow of any doubt or question. This was going to be a national expose and I was not about to ruin someone''s reputation, on national TV using a potentially substandard and professionally reckless method. So the producers got someone else who did what they wanted.

In the background research, they attempted to report that when resetting a stone, it was prevalent that it would be switched. The research didn''t bear that out. They went to about a half dozen places and got the same diamond back, but they kept searching for someone who would switch the stone. In the aired expose they did mention that they went to several jewelers, had the stone reset and got the same one back but they certainly made a far larger "beef" over the stone being switched at this one jeweler''s establishment. The jeweler in the expose did have a reputation for switching stones, but they did sort of paint the entire industry with a black paint brush to create sensationalism ( and ratings).

Another little "backstage" fact is the many of the reporters don''t really do the investigations. Much of the legwork is done by others, but the presentations highlight that the reporter did. Also for every minute of air time, there is probably about 5-8 hours of taping, which is then edited to show the most sections of the tapings that drive home the intentions of the producers to make the expose "newsy". Some of this the reporter doesn''t have the decision as to what get''s cut and what doesn''t. In many of these exposes, the real quotes of experts are edited to show only airing the most outrageous or "entertaining" quotes. In some cases, this ends up being very embarrasing to the experts that did participate.

I don''t want to attack all of the reporters. Some are very attentive to reporting all the facts, and exposing with a high level of competency and accuracy. But there are others who aren''t. It also isn''t just with TV, print journalists can report accurately or sensationally.

Just thought you''d all like a little information of the back door stuff.


Rockdoc
 
Date: 7/22/2005 8:35:54 PM
Author: YoungPapa

There is going to be a section about diamonds somewhere during the two hour presentation. I think it''s mostly about inflated insurance appraisals but I''m not sure. How do I know that much?

Well...

We got a phone call in February from a Dateline producer. Turns out they bought a diamond from us last summer. It was an EGL-USA ''I-SI1''. Yes, I said EGL.

Gulp.

They had questions about EGL vs GIA and the subjectivity in grading. We explained that as part of our sales process we educate our clients as to the difference in grading standards from lab to lab. We explain that EGL diamonds are cheaper because EGL isn''t as strict. Not sure if that is going to make it into the story, though.

They were also wondering about appraisals, which I actually think is their focus. The EGL diamond (which we sold for around $3200) had a UGL appraisal for something like 12K. They asked if we thought the diamond was worth that much. We told them ''no'', and also explained that the appraisal came from the lab, not us. We told them that we never mentioned nor provided the appraisal as part of the sales process - it was only something that came with the stone.

So, in short, I THINK it''s about jewelers using inflated appraisals or weak certs to sell diamonds. My PR guy told me to prepare to be made out a like a scumbag, so we''re hoping for the best and expecting the worst.

Let''s see what happens together!

Jim

If you had an item you were selling ror $ 3200.00 and you received an appraisal document (either cause you purchased the appraisal or your source did) where the "valuation" was unreasonably inlfated, would you pass that along to the consumer?

In the situation you describe above, the bogus appraisal document was provided or at least discussed with the purchaser.
I would question why the bogus report wasn''t trashed. Those who knowingly provide such erroneous info, should realize that become part and parcel to the purchase, and becomes an express warranty of value, which the seller is held liable to.

Generally, the EGL is "partnered" with UGS. I have recently seen one by UGL, which appears to be a different entity, but I''m not certain. In that particular instance, the clarity grade was three grades overstated and the valuation was made at roughly 3 times the purchase price.

I know this practice goes on with many of the stores in the mall, but I don''t believe that this relieves the seller,of responsibility by saying "we didn''t do this, the lab did". It seems to me it is just better for the seller to trash the bogus information, so it never becomes and issue, and if a valid valuation is needed, that whatever is presented to the buyer be accurate.

Rockdoc
 
I happened upon this report on Friday as well. What I learned is that if you are not educated you have a good chance of getting taken when making a diamond purchase. Fortunately I found PS, but sadly many others haven''t. Like another post mentioned: where were the solutions????

I did hear "an Internet vendor" mentioned but they did not elaborate on the diamond that was purchased. I just knew it had to be a PS vendor.
2.gif
It would have been great if PS could have gotten a plug.
 
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