Antwerp diamond police raid

01/30/07 By Marc Goldstein found at diamonds.net

On January 24, the police conducted another raid on the Antwerp diamond square mile. The raid comes one year after a similar raid on the Antwerp offices of Monstrey/Ferrari, a shipping agent. That case is still under investigation. 

In the recent raid, lots of diamond inventories were confiscated, and bank accounts seized. People were apparently taken for interrogation. At least 22 police cars and 90 policemen participated in what some already nicknamed “Krystall Nacht,” although it might be better named “Diamond Nacht.” 

Barely one hour after the first police car entered the Hoveniersstraat, the TV crews were there filming. 

A member of the Antwerp World Diamond Centre (AWDC,) formerly known as the Diamond High Council (HRD,) commented laconically: “Nobody’s above the law, and abuses must be punished. However was it necessary to cause such a turmoil? Wouldn’t it be possible to do things more quietly, without giving the impression that the police raid is a way of conveying a political message?”

If there was any underlying message, what could it be? At this stage, nobody in the administration appears willing to take real responsibility for the collateral damages caused by this unprecedented raid. A diamond manufacturer said that “By 9 o’clock this morning, the street was paved with police cars. It was not possible to work.” 

Another explained that he had a buyer waiting for several brokers who didn’t even show up after the police arrived.

Philip Claes, AWDC spokesman, said that ten searches had been carried out. “The situation is quite delicate, because, in order to avoid any risk of compromising the work in progress, the general prosecutor is not willing to give away too much information or explanation regarding the investigation. 

"However, the general prosecutor confirmed that it’s all about the further development of an old case. After all the efforts we’ve made to bring Antwerp into the age of transparency, we regret we still have to deal with some ghosts of the past,” Claes said.

Shashin Choksi of Indo Belge Diamantaires Association (IBDA) makes the following suggestion: “This is proof that bilateral negotiations are not enough. If peace is to be restored in Antwerp, it can’t be left just in the hands of the diamantaires and the politicians. The fiscal and judicial authorities must join too. Our community and the Belgian authorities should understand that there can’t be a worse signal to send to the rest of the world. We’ve had calls from Hong Kong, Israel, New York and Mumbai inquiring about the consequences of the raid. This is exactly the kind of events that directly benefits Mumbai or Dubai.”

André Gumuchdjian of the Belgian Polished Diamond Dealers Association (BVGD) offered this solution: “The Monstrey/Ferrari case is directly linked to the difficulty of exporting goods from Antwerp to the rest of the world. Such structural problems would be easily solved if the government implemented the free zone it promised at the Zaventem airport, in exchange for our acceptance of the HRD restructuring.”

The free zone has been under discussion for 20 years. Meanwhile, people must find a way of working. It’s been reported that about 200 to 300 companies are liable for a raid; better to say everybody in Antwerp.