HK, Bangkok Diamond Jewelry Company Goes Under
October 11, 15
(IDEX Online News) – A Hong Kong and Bangkok diamond jewelry company has gone bankrupt owing some $54 million (350 crore rupees) to traders in Surat and Mumbai.
According to the Times of India, industry sources have said that the Indian trade could face huge losses due to the unnamed firm defaulting on its payments.
The paper said that the situation is adding to the worries of diamantaires who were hoping that a successful Diwali would ease some of the difficulties that the industry has been facing of late.
“Traders in Hong Kong and our suppliers in Surat are worried over [the] bankruptcy of jewelry companies here,” one Hong Kong diamantaire told the TOI.
“The sum involved is very huge and many suppliers from Surat and Mumbai may suffer huge losses ahead of the Diwali festival. Most of the polished diamonds imported by China are from Hong Kong and the trade is in the hands of Gujarati diamantaires."
Gems and Jewellery Exports Promotion Council (GJEPC) regional chairman Dinesh Navadia summed up the situation to the paper as, “bad news for diamond exporters from Surat and Mumbai.”