The families of Surat-based diamond merchants, who were acquitted in a case of alleged smuggling of diamonds by a Chinese court in Shenzhen, were relieved as 12 of the 22 arrested diamond merchants arrived at Mumbai airport on Friday after being deported from China.
The 12 diamond merchants, most of whom are residents of Mumbai, were released on Thursday after they were acquitted in a case of alleged smuggling of diamonds from a Special Economic Zone (SEZ) in Hong Kong to China's domestic market.
The Shenzhen customs had detained these merchants, along with 10 others, on January 8, 2010, for allegedly smuggling diamonds worth $7.3 million (approx Rs 38.65 crore).
"It is a big relief for the families of these diamond merchants. According to the available details, two of the 12 released are residents of Surat, while the others are residents of Mumbai," said Dinesh Navadia, president of Surat Diamond Association (SDA). According to sources, the two Surat-based traders are likely to spend a few days in Mumbai before returning to their homes in Surat.
The merchants operate offices in diamond hubs of Mumbai and Surat. Hong Kong being a major trading hub for diamond and jewellery businesses in Southeast Asia, most of the Indian diamond merchants have operations there.
"While most of the arrested merchants are executives of diamond trading companies based in Mumbai and Surat, some among them are owners of diamond trading companies," said Chandrakant Sanghvi, chairman of Sanghvi Exports, one of the leading diamond trading companies in India. Sanghvi is also chairman of Gujarat region’s Gems and Jewellery Export Promotion Council (GJEPC). Family members of the released traders could not be contacted.
Also Read
Industry players termed the issue as a “lesson learnt” and said it would make diamond traders across the world alert with respect to legal compliance. "This is a lesson learnt for the Indian diamond merchants. Our diamantaires operate across the world and it is their duty to obey the law of the land. They better be more alert and respect the law," said CP Vanani, former president, SDA.
Over the past several months uncertainty loomed over the fate of these diamond traders. The families of the arrested traders had tensed days as they had to visit China often.
"For the past few months, the family members of those diamond traders detained in China had been frequently visiting the dragon land and they were tensed. They are now relieved," said a leading diamond merchant and jewellery company owner based in Surat.
Of the total 22 diamond merchants, nine were found guilty of the charges and sentenced to serve jail terms by a Chinese court. Subsequently, 13 of them were set free. The Chinese authorities later appealed against one of the 13 acquitted Indian traders.
Industry sources informed that it would take a couple of months more for the appeal to get disposed of, and till then the one who is charged will be held back in China. Those who were convicted have been sentenced to jail terms ranging from three to six years.