Jewelry Television Files Suit against Insurer Following Jewelry Scam

Jewelry Television (JTV) has filed a lawsuit against insurance provider Lloyd’s of London, seeking more than $1.6 million to cover the cost of goods stolen by a Brooklyn man in a 13 month-long jewelry buying scam, according to Knoxnews.com, a local news source.

Tracy Ball pleaded guilty to first degree grand larceny and was sentenced in January to four to 12 years in state prison for siphoning money from a city comptroller’s account to buy $3 million worth of diamonds and jewelry.

The jewelry and diamonds were paid for out of an account with JP Morgan, which JTV says Ball claimed was his. JTV lost a total of $2,844,061 in pearls, precious and semi-precious stones, jewels, jewelry, watches and precious metals.

A payment processing company has already reimbursed JTV $1,407,203, and now the company is suing Lloyd’s of London, the insurer of the property, for the remainder, plus costs and interest.

Although over 100 pieces of jewelry were eventually recovered, the city of New York has said it will keep it as restitution.

The lawsuit was filed first in Knox Country Chancery Court February 28 and refilled in the U.S. District Court in Knoxville, Kentucky, where JTV is based.