It has recently been reported that fraudulent GIA diamond certificate goods were found in the marketplace. What is different is that these diamonds were discovered on an internet diamond trading site. The diamonds matched the certificates specifications for carat weight and measurements but the color and clarity were lower than stated on the report. Other fake certificate diamonds previously found were lab grown or treated diamonds. GIA does not grade lab grown diamonds and will make special indications for any treatment done to the diamond. Those reports had no indications of the treatments. It is assumed that there were more diamonds with fake certificates sold that were not caught. Investigation of fake EGL certificates is also currently under way.
For fraudulent GIA certificates you can confirm its authenticity by contacting GIA. Their database is centrally located so getting confirmation is possible. It is much more difficult to verify EGL certificates because they are a franchised organization that is located in different countries with their own database. It may be really difficult or expensive to call all the branches to get verification.
How does this affect you the consumer? If you had purchased a diamond with a fraudulent certificate you may have paid too much for what you actually bought or at the very least purchased a diamond that is not what is stated on the report. This is an issue of misrepresentation and over-grading, which is not a new problem, but with the advent of the internet marketplace it has just gotten more sophisticated. Over-grading and misrepresentation has existed probably for as long as man has been around. There are always certain people that look to take advantage of others. In the diamond market place sellers have been known to make what looks like an official certificate only to find that it may be as much as six grades off.
The difficulty is there because there is no policing body in our industry to make sure everyone grades with the same standards. The problem is further complicated because the same system or nomenclature is used to describe the quality of the diamond. On paper the diamonds will appear to be the same. Even on an international level, diamonds have been known to have been graded 1-4 grades higher than it was.
What we are trying to say is that not all certificates are accurate in their assessment of the diamond grade and many may not grade the cut of the diamond. Not knowing all the four characteristics of a diamond there may not be enough information or if the information that is not accurate it would make it very difficult for the average consumer to determine its actual worth. It is our opinion that GIA and AGS are the two most accurate laboratories and all other certificates should be viewed with caution.
There are precautions that can be taken. As previously mentioned you can verify GIA certificates by contacting GIA and giving them the certificate information they will confirm or deny its existence. EGL confirmation is more difficult. Keep in mind that internet purchases are still a sight unseen transaction. Even with correct certificate information unless viewed, analyzed and compared you may not be getting the nicest diamond possible. You may want to use professional assistance in your search for peace of mind.
As in any industry there are problems and hazards to avoid. In our industry we would like to help in any extent that we can. If you think you have a problem do not hesitate to ask.
Mahalo,
Russell Oshita
The Diamond Specialists Inc.
Our website: www.thediamondspecialistsinc.com
Email me: russell@thediamondspecialists.com
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