Be Careful Of Buying Diamonds

In the past few months, the diamond bourse in Mumbai and several dealers of the stone have installed a small, black machine in their offices. The little device, which can be mistaken for a laser printer linked to a computer, is one that separates the natural rough diamonds from the much cheaper synthetic stones.

The timing is interesting and unmistakable. At the time, the Winsome group, India’s largest bank defaulter (with loan outstanding bigger than Kingfisher’s),emerged as the world’s largest maker of synthetic diamonds. While in India, banks have directed forensic audit on Winsome and government agencies are probing the money trail following the Rs 6,500 crore credit default, Winsome has consolidated its position as a leading player in man-made diamonds by operating from its bases in Singapore, Malaysia and the US. Read more of this post