Paramount Jewels To Acquire A. Jaffe Diamond Jewelry Brand
July 18, 18
(IDEX Online) – A. Jaffe, the Nirav Modi-owned company in the United States which filed for bankruptcy earlier this year, has been acquired by Paramount Jewels LLC.
The firm, which is an affiliate of Paramount Gems and Parag Diamonds Inc., will pay $5.2 million.
The sum includes all of A. Jaffe’s main assets, including name, IP, design patents, accounts receivable and inventory.
A. Jaffe employees will remain, with Sumay Bhansali as CEO and Sam Sandberg as chairman, and the company will operate as its own entity independent of Paramount Jewels.
The US Bankruptcy Court in New York City will consider a motion to approve the sale on 25 July.
A. Jaffe has been under Chapter 11 bankruptcy protection since February shortly after reports emerged about Modi’s alleged fraudulent activity involving more than $2 billion from the Punjab National Bank.
Two other American companies affiliated to Modi – Firestar Diamond Inc. and Fantasy Inc. – also applied for Chapter 11 protection. The two companies’ stock has still not been acquired.