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Trade news briefs (JewelSiam April-May 1995 P16)

Thailand and the region

Gems trader identifies ex-cop in Saudi testimony

            In emotional testimony March 9, gems trader Santi Sritanakhan told the Criminal Court that Gem Chalor Kerdthet once abducted him and acted as a middleman between him and the people who had abducted his wife and son.

            Darawadee and Seri Sritanakhan were later found dead in one of the most tragic envents of the long running Saudi jewelry scam. Santi told the court of his own ordeal of being constantly shadowed, blackmailed and ultimately kidnapped by Chalor and his men.

            “That man in the white jacket,” Santi told Judge Salid Sinchamnai, identifying the ex-police officer in their first courtroom confrontation, which came nearly two years after the gem trader, first met the reputed crime-buster.

            Recounting the 1993 incident to a packed courtroom, Santi said he was driving near Taling Chan police station when a green Mercedes Benz station wagon cut in front of his car, forcing it to stop at the curbside.

            “I saw Pol Lt Gen Chalor, whom I didn’t know at that time, stepping down from the car in front and getting into my car, taking the front Seat beside me. Two of his men got in into the back seat of my car,” Santi said.

            At the time, Santi said, Chalor asked him “How did Khunying Aree obtain the Raya diamond studded necklace?”

            A picture of Khunying Aree [wife of former national police chief Sawaeng Thirasawasdi wearing a distinguished-looking diamond-studded necklace had appeared in Thai-language newspapers several days before with news articles suggesting that she had gotten it from gem traders. Some newspapers implied that the necklace in question was part of the stolen Saudi jewelry collection. The ex-police chief and his wife strongly denied any involvement and insisted the necklace was a cheap item made locally.

            Following is Santi’s accounts of what happened after his first meeting with Chalor.

            Chalor on several occasions contacted him and extorted large amounts of money from him.

            Chalor’s men followed Santi, who asked an army officer to find him bodyguards.

            Santi’s wife and son disappeared mysteriously on July 1, 1994. He contacted Chalor a week later and found out that they had been abducted by the officer and his men.

            Santi was in constant contact with Chalor and his men throughout the one-month period during which his wife and son were in captivity and gave the officer and his men vast sums of money.

            At what was supposed to be his last contact with Chalor, Santi was assured by the officer that his wife and son were well and would be sent home within a few days.

            Santi was told on Aug 1, 1994 that the bodies of his wife and son were found in their car along a road in Saraburi.

            During the testimony, Santi appeared both nervous and sad. At times, his voice became choked with emotion and tears ran down his cheeks when he mentioned his wife and son.

            He said his kidnapped wife had told a family friend on the phone: “Get us out of here. The kid’s very scared. Don’t tell the police. Don’t look for revenge.”

            Chalor managed to keep his composure throughout the full-day hearing. He was overheard complaining to a Corrections Department official who sat behind him: “Damn. He [Santi] can only recognize me, but not the other guys.”

            In other Saudi jewel scam news, the police department’s Saudi jewelry Recovery Center was likely to be disbanded after they returned a total of 605 pieces worth an estimated Bt10 million ($400,000) on the Thai market.

 

           

Anant Sawala honored for contribution to education

            Veteran gem industrialist Anant Sawala was recently awarded an honorary Bachelor of Science degree from Srinakarin University for his involvement in educating Thailand’s youth in the gem and jewelry industry.

            In 1991, Srinakarin University started a Bachelor’s degree course for jewelry in which Anant was instrumental. The program range from jewelry design and production to management skills enabling graduates to enter the trade on the management level.

            The first class of nearly 30 graduated this March and became employed at a number of firms in Bangkok.

            Parinya Tumwattana of Gold Master said with the Education Ministry and the government’s push to elevate the trade industry, the gem and jewelry sector could rise to an estimated $4 billion-a-year business.

            Rachamongala Institute of Technology, a vocational school, also started a program last year to train technicians for making molds and working in the factories.

            A third program promoted by both the Education Ministry and the local jewelry manufacturers involves jewelry firms taking high school graduates under their wings. Students on the work-study system will work on a five-day-per-week internship at a factory learning the skills of the trade and in class study on day a week. Along with working toward a degree, the students will be earning a small wage and valued experience. After graduation, the students are nearly guaranteed employment.

            The program is modeled after a similar work-study system in Germany, Parinya said, encompassing schools, students and the private sector. “We are happy to employ them,” he said.

            Companies already involved in the program include some of Thailand’s most noteworthy firms: Gold Master, Pranda Jewelry and Beauty Gems.

            Gold Master will begin the program this year with 40 students at its new factory at Gemopolis, Parinya said.

 

Visa rule changes to make business easier

            Thailand’s immigration regulations have been amended to create a better atmosphere for trade, investment and tourism, Immigration Police commissioner Pol Lt-Gen Kiatisak Phrabhavat told the Bangkok Post.

            One amendment allows citizens of 56 countries including Australia, France, Japan, South Korea, the United States, England, Canada, and Malaysia to enter the country without a visa for up to 30 days instead of the previous 15.

            Another amended regulation allows foreigners to extend visas in Thailand. Previously, foreigners had been required to leave the country when their visas expired in order to get an extension. This change is also aimed at providing convenience for businessmen.

            The Immigration Police Bureau is in the process of amending a ministerial regulation to enable holders of multiple visas to travel in and out of the country at any time.

            The bureau is also seeking to revoke a Cabinet resolution requiring a 20,000 baht guarantee to issue an entry visa for Chinese people.

 

Traders join to pursue business in Madagascar

            Thai gem and jewelry traders have formed an alliance to pursue gemstone mining and trading ventures in Madagascar, according to a report in the Gemopolis News.

            The Thai Gems and Jewelry Traders Association is establishing Gem Industry Corp with an initial registered capital of Bt100 million in the former French colony to develop gem trading between the two countries.

            The creation of GIC followed an official visit by TGJTA representatives to Madagascar last August in an effort to find new overseas sources of gemstone supplies and protect against shortages in the local industry.

            A 12-man board of directors has been appointed to GIC, which is chaired by Suthat Assarasakorn of the Shiang Heng group. Amorn Amornpongchai of Amorn Gems is the company’s managing director and Dr. Wisanu Waranyoo is general manager.

 

Sapphire fever strikes in central Vietnam

            Almost 10,000 people have rushed to the highlands of central Darlac province since the beginning of February in search of sapphires, the Vietnam News Agency reported.

            The illegal invasion has unleashed gangland killings, prostitution, gambling and corruption in the area, together with the destruction of hundreds of acres of forest, the report said. The treasure hunters have been digging into caves for the precious stones. Three people have already been killed when one mine collapsed, it was reported.

            The sapphire fever grew after rumors that gems were discovered in Dac Nong province, an area well known to diggers.

            About a hundred speculators pour daily into Truong Xuan, about 100 kilometers from the county town of Buon Ma Thout.

 

Thai investigating gold found on plane

            Thai  Airways International set up a committee to investigate the 22.3 kilograms of gold bars found in a THAI plane in February, it said in a statement.

            The Bangkok Post reported that in a routine plane search, customs officials at Kathmandu International Airport found the gold, valued at $300,00 (Bt7.5 million), wrapped in black tape behind a toilet of flight TG311 which originated in Bangkok.

            THAI quoted the Thai Embassy in Nepal as reporting that another 2.77 kilograms of gold was recovered from three Nepalis who were travelling on the same fight.

 

Mouawad showcases exceptional pieces

            Arare, six carat, internally flawless blue diamond ring, valued at US$3 million, was the centerpiece of a major jewelry exhibition held by Mouawad jewelers in January.

            The exhibition, held at the Oriental Hotel, featured some of the most valuable and important pieces in the vast Mouawad collection, flown in from Mouawad’s Geneva headquarters.

            More than 400 jewelry items were on display, the most noteworthy of which were a heart-shaped purse completely embellished in yellow, pink and white diamonds, Burmese rubies, Kashmir sapphires and Colombian emeralds.

            A lavish cocktail party with more than 200 guests opened the three-day exhibition.

            Mouawad Regional Manager Antoine Bakhache said, “The success of this exhibition shows that there is a good deal of interest in such jewelry. We have had people coming from as far as Chiang Mai and Rayong to attend.”

            The exhibition will travel to other parts of South East Asia, including Kuala Lumpur, Jakarta and possibly Singapore.

 

AIGS honors graduating classes of 1993-94

            The Asian Institute of Gemological Sciences held a graduation ceremony for its 1993-94 graduates on January 21, 1995 at the Holiday Inn Crowne Plaza Hotel. Dr. Sarit Santimathaneedol, Deputy Minister of Education, Presided over the ceremony. A total of 111 students graduated during this period, with students coming from Austria, Belgium, Burma, Canada, France, Germany, Italy, Japan, Korea, Malaysia, Singapore, Sweden, Switzerland. Taiwan, Thailand and the United States.

 

Golden tribute to famous Buddhist

            On the 108th anniversary of the birth of  Luang Pu toh, Gold Mater has honored the famous monk by a special anniversary set of 99.99 percent gold sculptures.

            The company has manufactured a total of 108 statues of the monk, with each piece specially marked by number. The first piece was presented to His Majesty the King, the second piece to Her Majesty the Queen, the third to Her Royal Highness Princess Maha Chakri Sirindhorn, and the fourth to the Supreme Patriarch.

            The statues were also sold to the public for Bt180,000 ($7,200). Another 509 plaques featuring a golden image of Luang Pu Toh were made for sale at Bt5,000 apiece. Proceeds from the sale will be used to support observation of the 50th anniversary of the reign of His Majesty the King, as well as to buy medical equipment for the Sirikit Medical Center and Ramithibodee Hospital.

 

Daring jewel robbery at world trade center

            A robber held the owner of a jewelry store at gunpoint, then shot down the store’s locked front door before fleeing through a fire exit past security guards reluctant to block his way.

            The next day, a suspect, Manit Amtranont, 29, was arrested by police in Nakhon Sawan province. Three diamond rings, a diamond studded gold bracelet and Bt55,320 ($2,200) was found in his possession.

            Police said Manit conned staff at Nol Jewellery Shop in the fourth floor of the World Trade Center into believing he was interested in buying jewels before making off with Bt400,000 ($16,000) in valuables.

            Police quoted Manit as saying the robbery was simply an improvisation as he walked around the World Trade Center and noticed the jewelry shop was in an isolated position. He decided to rob the shop to offset gambling debts, police said.

 

            Pranda jewelry recently signed a contract with Siam Sat Network to develop a satellite communication service. Seen in the picture is Pramote Teasuwan (third from right), vice president of Pranda Jewelry, and Sanguan Treejaroenwiwat (third from left), general manager of Siam Sat Network. The new service will be part of the information system development plan for the Pranda Jewelry Group.

 

           

International

ICA to created first gem enhancement code

            The International Colored Gemstone Association (ICA) will create the first international enhancement information system at the 1995 ICA Congress. The debate and vote on the enhancement system will be a highlight of the agenda for the congress, which will be held from June 18 to 23, 1995 in Tokyo.

            “It is very important that ICA make a decision now to establish one worldwide system to makes sure that all our customers, in every country around the world, are provided with all the information they need in a clear, easy-to-understand manner,” said ICA President Sadaharu Fujita. “We must take this step to protect consumers and to protect our industry. Full information will benefit us all.”

            All ICA members around the world will be required to use the ICA enhancement information system on all invoices and other commercial documents. With ICA members located in more than 38 countries, the association believes that enhancement and treatment information will be included on most gemstone invoices at every level of the gemstone industry around the world. The ICA system will also include a detailed manual of how the coding system applies to specific enhancements and treatments for each gemstone variety.

            Because of its importance to the industry, the debate and decision on the new enhancement information system will occupy a full day of the ICA Congress agenda on June 22, the longest scheduled session in the history of the Congress.

 

SSEF laboratory relocates to Basel

            After 20 years in Zurich, the Swiss Gemological Institute SSEF has moved to Basel, Switzerland. Situated at the Swiss, French and German borders and with its own major airports, Basel is convenient for both local and overseas clients.

            SSEF services include diamond grading with diamond reports, authenticity determination of colors in diamonds and of colored gemstones and pearls and origin reports, In addition to the usual gemological equipment, the SSEF laboratory is equipped with a wide range of scientific instruments including the UV-VIS and IR spectrometers, an X-ray fluorescence unit for the determination of the chemical composition of gemstones and an X-ray unit for authenticity determinations of pearls.

            According to Lore Kiefert, the laboratory specializes in the determination of gemstone origin and can state origin “with the highest degree of gemstone origin and can state origin “with the highest degree of security.”

            Among the international clientele of the institute are gemstone dealers, jewelers, auction houses and private customers who seek the expertise of the school to determine color and quality enhancement of natural gemstones.

            As of January, please contact SSEF Director Dr. H A Hanni at:

            SSEF Swiss Gemological

            Institute

            Falknerstrasse 9

            CH – 4001 Basel, Switzerland

            Tel: (41-61) 262-0640

            Fax: (41-61) 262-0641

 

Italian author examines eroticism in jewelry

            A jewel can play any number of roles, but its main purpose is to enhance the beauty and nobility of the body. As its form and light accentuated the voluptuousness of the body. As its form and light accentuate the voluptuousness of the body’s limbs, the jewel becomes a mirror of desire. This is according to Claude Mazloum. who is working on his latest publication which promises to reveal the world of modern erotic jewelry.

            The publication, to be available in French, Italian, German and English, is scheduled for completion in October. Mazloum invites designers to submit their best works for possible publication to:

            Gremese International

            Att: Claude Mazloum

            Via Virginia Agnelli 88

            00151 Rome, Italy

            Mazloum has already published two volumes in his series on the trade including Jewellery and Gemstones, an investor’s and connoisseur’s guide, and Designer Jewellery, on the world’s top artists.

 

China cuts consumption tax

            China reduced its consumption tax on gold jewelry from 10 percent to five percent retroactively to January 1994 when the tax was first introduced. The tax is now levied on final sales and not on manufacturers as was previously the case, according to a World Gold Council press release. And manufacturers are entitled to a 50 percent refund of tax payments made since January 1994.

            The government’s decision to slash the tax in half came after almost a year of lobbying efforts from trade members and the WGC and is regarded as a positive step toward further market deregulation, said the press release.

            In 1994, China consumed an estimated 224 tons of gold. With the lower tax, gold traders anticipate an sharp upturn in demand.

 

Indian association elects new members

            After being re-elected as president of the Gem and Jewellery Exporters’ Association at its 36th annual meeting in February, President Pravin M Nanavati praised the country’s increase in exports and addressed growing concerns of the trade.

            In his opening address, Nanavati said that despite a turbulent year of floods and the plague in India, continuing global recession and company bankruptcies in the international market, India’s export of diamonds, colored stones and jewelry increased in 1994.

            In the first three quarters of 1994 diamond exports were up 9.2 percent, colored stones 27.6 percent and jewelry 19.56 percent.

            With large quantities of Russian diamond rough appearing in the market and new deposits in Canada, Nanavati said the Indian dealers were deeply concerned about the stability of the industry.

            “De Beers Consolidated Mines and De Beers Centenary AG have also showed concern about their decline in profits, Their first-half results have declined by three percent from last year’s earnings,” said Nanavati.

            He also stressed lifting the Indian color stone industry to a more competitive level in the market.

            “The colored stone industry is suffering a major setback in the hands of quality,” setback he said. Nanavati cites specifically a need to adopt the latest means of calibration and color enhancements.

            The newly elected managing committee of the association includes President Kirtilal K Doshi, Vice-President Pravin M Nanavati, Honorary Secretary Rajendrakumar A shah, Joint Honorary Secretary Arvind H Javeri, Treasurer Vinod K Zaveri and Committee Members Bhagavati V Patel, Bharat R Jhaveri, Himmatbhai C Jhaveri, Nitin K Pachchigar, Vinod C Bhansali, and Vinod K Parekh.

 

Laboratory reports more chrysoberyl and alexandrite

            The Gem Testing Laboratory in Jaipur reports a sharp increase in the number of chrysoberyl and alexandrite cat’s-eyes brought in for testing, presumably from the chrysoberyl deposits of Orissa, India.

            The ICA Gazette reports that the size of the cut stones range from one carat to 10 carats. The chrysoberyl cat’s-eye is yellow, green and bluish green in color, with typical gemological characteristics.

            The alexandrite cat’s eye seen in the lab has a bluish-green color with a fine cat’s eye. The color change in lamp light is a distinct brownish red to red color.

 

Pearl traders board seeks more international scope

            The International Pearl Association held a special meeting of the Board of Directors at the American Gem Traders Association show in Tucson, Arizona and resoled to expand its board to be Larger and more international. The Board of Directors currently has representatives from Japan, India, Spain, Australia, China, Cook Islands, Switzerland and the United States.

            Directors Eve Alfille and Alex Edwards have agreed to continue as treasurer and secretary respectively. Filling the vacant position of president, the board elected He Nai Hua.Johnny Lu was elected chairman and will serve as managing director.

            According to Lu, the board’s first goal will be to set up a statement of standards of conduct in the industry. Other goals include establishing global standards in labeling and grading, and to assume a leadership role in retailer education.

            Soon to be announced will be the date and location of an IPA Conference and Auction in Asia later this year or early ’96.

 

Fair organizers team up in shanghai

            Messe Basel of Switzerland and Promo Service of Hong Kong Have recently signed a five-year contract for the organization and promotion of the Shanghai International Watch and Jewellery Fair.

            “This contract underlines our belief that Shanghai is the most important business gate to China for watch and jewelry manufacturers. There is no better location for a watch and jewelry fair in China than Shanghai since this city alone not only has a business potential equal to that of a medium sized country, but also attracts trade buyers from all over China,” said Michel Mamie, director of Messe Basel.

            Promo Services, which specializes in organizing shows of luxury products, launched a watch and jewelry show in Shanghai in 1992. Messe Basel will support the fair by contracting more European exhibitors.

            The upcoming Shanghai International Watch & Jewellery Fair is scheduled for Nov 30-Dec 3.

            (For a review of the 1994 Shanghai show, please see JewelSiam, Feb-Mar 1994.)

 


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