Leviev’s Gemcanton Mine – Where is Government Intervention?

Government should review Levieve’s partnership at Gemcanton mine

 

The continued diamond smuggling investigation of the Israeli-Russian Diamond Baron Lev Leviev by the Israeli authorities should make the Government of the Republic of Zambia also institute serious investigation and review his investment at Gemcanton emerald mine formerly Grizzly Mining Ltd on the copperbelt.

Mr El Nefussy a representative of Levi Levieve was deported by the Government of the Republic of Zambia in 2017 for purportedly engaging in serious human rights abuses at Gemcanton mine. Unfortunately, no serious arrests were made to make him unwearable to the law for subjecting the poor Zambians to inhuman torture at Gemcanton before a deportation decision could be arrived at. Government opted to deport him, and that decision has not set any disciplinary precedence to would be offenders.

To date,the issue of torture and human rights abuses at Gemcanton by Levi Levieve’s team has not been adequately addressed.

Many of the victims complain that government has not punished the offenders and feel such a precedence would escalate related acts in future. Zambia is among the African countries where the world diamond baron Leviev has massively invested in emerald mining with very little corporate social responsibility (CSO) going to the poor people of Chief Nkana and Lumpuma area where the emerald mine sits as was the case when the investment was wholly owned by Abdoulaye Ndyaye.

Apart from a lack of CSR, Zambia has been a victim of dishonest by many of the foreign investors who come in and ignore the plight of the local people.
The question of Zambians benefiting from some of the investors coming in the country is becoming a thorny one, as locals seem not to benefit. Whether or not some investors are worth hosting in Zambia has become a National debate. People are wondering whether some companies are genuinely investors or coming in to exploit the country’s resources.

Very serious government’s like Israel have investigated some diamond tycoons like Leviev with very little to leave unturned. The Zambian government , like Israeli government should consider thoroughly investigating Levi Levieve’s investment in Zambia.

What is worrying is a lack CSR at Gemcanton from the time Leveiev came on board as a share holder yet the company is making millions of dollars.
Additionally, the restrictions of the local people to the Gemcanton dumpsite has adversely affected the poor Zambians who were known to survive on such dumpsites at the time Gemcanton was called Grizzly Mines under Abdalaye Ndyaye .

It is the local people’s considered view that the speed at which government has let go of the black mountain in Kitwe for the benefits of the local people is the same speed at which government should influence Gemcanton mines management to allow the local people who are currently receiving nothing from Gemcanton under Leviev .

When Honorable Bowman Lusambo was Copperbelt Minister, Gemcanton was restrained and started making headways towards restoring CSR, but upon his transfer to Lusaka, many of the strides made at Gemcanton were buried to the disadvantage of the locals.

There is fear that if government does review Leviev’s investments at Gemcanton, the people of Zambia will benefit nothing from the emerald mine investment.

While government is seriously looking at the empowerment of the local people in mining industries , it is the people’s considered view that the shares of Leviev at Gemcanton are reviewed to benefit the lower people .

Lack of regard for the local people in the area of Corporate Social Responsibility and unfair trading habits have made different stakeholders wonder whether there is serious scrutiny of some foreign investors’ investment record before they can be allowed to invest in Zambia by the powers that be.

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Does Leviev Diminish the Reputation of the Diamond Industry?

Leviev Case Another Blow To Diamond Industry’s Reputation

November 08, 18 by Albert Robinson

For the diamond industry in general – and the heads of the bourses and the trade organizations in particular – the news this week regarding six of diamond tycoon Lev Leviev’s relatives and employees being arrested in connection with diamond smuggling allegations is exactly the kind of report that keeps them up at night.

The industry endlessly discusses the importance of showing that it is clean and operating transparently which, in the vast majority of cases, it is. But the idea that diamonds are being moved around undeclared and sold without passing through the correct channels and without customs duties and other taxes being paid is, unfortunately, one that appears to be fairly widely held by the general public.

In a very unscientific survey, my neighbors, family and friends seemed completely unsurprised, as if to say, that’s what we assumed the business was all about. My responses were greeted with knowing smiles as if to say: nice try but we’re not buying it.

Needless to say, the news was all over the Israeli media, with Reuters in Israel also reporting the case for their clients all around the world.

For anyone who hasn’t been following the reports, Leviev’s son Zevulun and brother Moshe are accused of being involved in a smuggling operation that led to about 300 million shekels ($80 million) worth of diamonds being illegally brought into Israel since 2010.

Lawyers for Zevulun Leviev said the allegations against him were “baseless” and his arrest appeared to be a tactic to “illegitimately pressure his father”. Meanwhile, Moshe Leviev’s lawyer denied in court that his client had any connection to the allegations.

Meanwhile, Lev Leviev himself is wanted for questioning on suspicion of involvement in the diamond smuggling, but he currently lives in Russia and reportedly does not intend to come to Israel any time soon for questioning. Reports say that investigators believe Leviev fled to Russia from London, where he has lived in recent years, after learning of the investigation against him. Lev Leviev denies the accusations and suspicions against him.

The reports are all the more astonishing given Leviev’s meteoric career He started out at the age of 15 as a diamond polisher and built an extraordinary empire built on the diamond business and real estate. The global financial crisis of 2008 struck a heavy blow to his businesses, however.

It seems this story has a way to go yet. As Israeli daily Ha’aretz wrote: “Why his [Leviev’s] group might be involved in smuggling diamonds in the first place is unclear. A diamond company’s tax is based on sales turnover, not profit. Therefore, there is no tax advertising [advantage] in smuggling diamonds into Israel unless they were then smuggled back out, and the sale was registered in some third country with lower tax rates (such as Belgium or Dubai).

“One reason to smuggle could be that the stones were of dubious origin; either their seller had no license to market them; or they were mined illegally, for instance. In any case, bringing them into Israel without declaring them is illegal.

“Another unclear aspect is how this case will affect Israel’s diamond industry. On the one hand, Leviev is one of the biggest rough diamond importers in the country; his businesses supply work to dozens of other companies that polish and market the stones through the Ramat Gan Diamond Exchange. These companies employ hundreds of people. If his business hurts, so may dozens more. And this is not a good time for the Israeli diamond business: demand has been tanking and profits are down.”

Indeed, one can imagine there was a great deal of anger at the Israel Diamond Exchange at the reports which, in one fell swoop, might have caused inestimable damage to the country’s diamond business. And all the more unfair given the IDE’s serious work over the past few years to rehabilitate its image after the discovery of the operation of a so-called pirate bank from offices in the bourse half a dozen years ago.

Among the genuine and sincere efforts it has made to show that the diamond trade is composed of honest, hard-working diamantaires was the creation of a Code of Ethics signed just last year which seeks to place the Israeli exchange at the forefront of global practices in terms of proper administration and transparency.

The Code of Ethics outlines the principles by which members of the exchange operate, including responsibility, trust, fairness, integrity, expertise, tradition, business pragmatism and more, all in the framework of human dignity and the rule of law.

But, as the Indian diamond industry discovered at the start of this year, the work of thousands of companies and the livelihoods of tens of thousands of people, or more, can be affected by the selfish and egocentric actions of a few individuals.

LLD DIAMOND USA, 580 Fifth Avenue, New York, LEVIEV’S “Sources of Rough Goods”

OUR HERITAGE.

LLD Diamonds has been supplying high quality diamonds to polishers, cutters and jewelers over the past three decades. Founded by renowned diamantaire, businessman and philanthropist Lev Leviev, LLD Diamonds USA is a member of the prestigious Leviev Group of Companies (LGC) and – uniquely among manufacturers – operates at every level of the diamond pipeline. With more than 30 years of experience in the diamond industry, is the world’s largest privately held diamond manufacturer. The firm is also the world’s largest diamond and cutting group and is entirely independent of external suppliers since the company has its own widespread sources of rough goods.

OUR EXPERTISE

LLD diamond’s source of rough straight from the mines, provides access to top quality rough. Our industry largest in-house cutting and polishing capabilities empower us to distribute finest diamonds and produce exquisite jewelry to the high-end jewelry manufacturers and retailers. We are passionate about diamonds, and this passion is at the heart of everything we do. We are not here simply to sell polished diamonds as just another product. Many outstanding diamonds pass through our offices on a daily basis, but we still see one as an exquisite gemstone on its way to bringing years of pleasure to its ultimate owner both of its exceptional physical beauty and for the love and commitment of a long-term relationship that it represents. LLD Diamonds, recognized as an international diamond industry leader, has been awarded multiple industry achievements and accolades, including Israel’s “Outstanding Exporter” government award.

OUR OPERATIONS

At LLD diamonds, we manufacture superior quality polished diamonds and are a source of high-level polished stones for clients worldwide. Our diamond industry knowledge together with our widespread market intelligence enables us to identify changing trends in different countries regarding cut, color and clarity and enabling us to provide customers with a range of goods. Our highly skilled and experienced craftsmen know how to bring out a diamond’s clarity and show the maximum fire and brilliance that a diamond possesses. We aim to consistently supply high-quality polished diamonds on time and precisely as requested. With our main sales office in the heart of the Diamond District at 580 Fifth Avenue, New York among other strategic locations worldwide, LLD is your “Natural Choice” of partner, no matter your size or needs.

A [BLOOD] Diamond of a Jewel Connection to Jared Kushner and Putin – Repeat and Rewind….

 

The highlighted portions in red, we covered a while back….. Now, if only someone will look at China Sonongol, the Queensbury Group, Africa Israel and Platinum Partners… and the closure of the Lincoln Tunnel. 

LM

 

HAARETZ JULY 25, 2017

Billionaire With Ties to Jared Kushner and Putin

Leviev is best known for having cracked the world diamond market monopoly of the De Beers cartel in the 1980s, and for real estate holdings and construction deals from Wall Street to the West Bank

If the name of Lev Leviev, which has come up in recent reports about the investigations of Jared Kushner’s Russian connections, rings familiar, it’s not without good reason. Leviev, who was born in the Soviet Uzbek Republic, and immigrated to Israel at age 14, has been one of the world’s most successful and diversified businessmen for years. He is best known for having cracked the monopoly over the world’s diamond market held by the De Beers cartel back in the 1980s, and for real estate holdings and construction deals in locations ranging from Wall Street to the West Bank. With the encouragement of the Lubavitcher Rebbe, Menachem Mendel Schneersohn, in the late 1980s, Leviev had the impeccable timing to begin doing business in the Soviet Union shortly before it crumbled, and he took advantage of that political watershed to become a major player in the Wild West that was the Russian economy in the succeeding decades. At the same time, he became a close friend of Vladimir Putin and also a Jewish philanthropist unequaled since the legendary Moses Montefiore.

Unlike Kushner and his father-in-law, President Donald Trump, Leviev was not born to wealth, but apparently from a young age, he possessed a strong urge to attain it. Born on July 30, 1956, in the Uzbeki capital of Tashkent, Leviev grew up in a traditional Bukharian-Jewish family that immigrated to Israel in 1971. Clever rather than studious, Leviev left his Kiryat Malachi yeshiva after just two months, and got a job in a diamond-polishing shop, where, through persistence, he had his senior colleagues teach him all 11 stages of diamond cutting, something a single individual does not generally have the opportunity to master. He was supposedly aided in the delicate art of diamond cutting by early training from his father in ritual circumcision.

Highly ambitious, Leviev began making his way up quickly in the De Beers hierarchy, but that wasn’t good enough. What he really wanted was to break the cartel’s stranglehold on the world’s diamond market. This he did by cutting deals at strategic moments with the governments of both Angola and Russia, both with vast unmined diamond reserves.

Having grown up in the Soviet Union, Leviev was trepidatious about returning to its successor states to do business, but he was encouraged to do just that during a late 1980s visit with the Lubavitcher Rebbe, who also warned him not to forget to help his fellow Jews. Long drawn to Chabad, Leviev then proceeded to become one of its most generous supporters; in a 2007 interview with The New York Times, he did not dispute that he had contributed some $50 million to Chabad educational and welfare institutions across the former Soviet Union.

At the same time, Leviev became the world’s biggest cutter and polisher of diamonds. He accomplished this as successfully as he did, wrote Zev Chafets in that 2007 Times article, in part because of his businesses’ “vertical integration. He mines the diamonds in Angola, Namibia and Russia, cuts and polishes them, ships them and sells them, wholesale and retail.” 

In 1996, Leviev picked up the Africa-Israel holding company, whose fields included real estate and construction, from Bank Leumi when the bank was ordered by a court to divest of its non-financial businesses. The price: $400 million. By 2007, its estimated value was $7 billion. The following year, however, Africa-Israel Investments’ debt was estimated at some $5.5 billion, and it began to shed properties.

Suffice it to say that Leviev has retained control of Africa-Israel, whose holdings today include energy, steel production, hotels, and a number of fashion designers. Along the way, he has been criticized, and his businesses boycotted, attacked for massive construction projects in several different West Bank settlements; his bid a decade ago to become the operator of Israel’s first privately owned prison was stymied by the Supreme Court; and he has been dogged by accusations of the worst types of abuse at his mines in Angola.

This week’s news stories don’t link Leviev with specific accusations; rather, they indicate a number of business and social relationships that connect him to Vladimir Putin and Kremlin-related businesses, as well as to the Trump Organization. Leviev was a business partner of Prevezon Holdings, the Russian firm that was accused of money-laundering, and that, after it was represented by Natalia Veselnitskaya, got off with a $6 million slap on the wrist. The Prevezon scam had been exposed in 2009 by Russian whistleblower accountant Sergei Magnitsky, who a short time later died in a Moscow prison under suspicious conditions. It was his death that led to the American passage of the sanctions – in the form of the Magnitsky Act – that Veselnitskaya said she was lobbying to have cancelled when she met with Donald Trump, Jr., Jared Kushner and others at Trump Tower last summer. It was to avenge the Magnitsky sanctions that Putin in 2012 abruptly prohibited American citizens from adopting any more children from Russia; readers will remember that Trump has said that “adoptions” was the subject of his off-the-record second conversation with Putin at the G-20 meeting in Hamburg two weeks ago. Now, the Justice Department’s decision to settle with Prevezon last May is likely to come under renewed scrutiny by investigators in the U.S.

The Guardian this week reported on several joint business ventures that Prevezon undertook with Leviev’s Africa-Israel Investments, both in the U.S. and Europe, and which were latr alleged to be vehicles for money-laundering by Prevezon.

In 2015, the Kushner real-estate company purchased four floors of the old New York Times building, on West 43rd St., for $295 million. The seller was Lev Leviev’s U.S. branch of Africa-Israel Investments, in partnership with Five Mile Capital. According to the Washington Post, Kushner took a loan from Deutsche Bank in October 2016 – a month before Election Day – to refinance the Manhattan property, which was now valued at $74 million above what he paid for it a year earlier.

Deutsche Bank has been of interest to a variety of different federal investigators for its involvement in a Russian money-laundering scheme, and it settled at least one related case with the U.S. Federal Reserve two months ago.

 

Massive Diamond Smuggling Scheme, Leviev and the Mishpacha…. How Long Ago Did We Publish this Information?

 

A No-Brainer Following Dots..

To Our Readers:

This was a no-brainer. The above pictures have been included because, as we see it, the entire diamond smuggling scheme is connected to Leviev’s activities in the US, whether quietly as an investor in Africa Israel or through his notorious ride through the closed tunnels of NYC.

We have presented you with our theories numerous times over the last several years, including the Congo connection, Leviev’s recent portfolio of assets changes, the China Sonongol connection. This was about connecting dots.

Leviev is the confidante of Berel Lazar, the chief Chabad Rabbi in Russia, the same Berel Lazar who defrauded Arkady Gaydamak out of hundreds of thousands, if not millions of dollars, which Mr. Gaydamak was never able to substantiate after years of trials. We think the courts had it wrong back then. Suffice it to say, Lazar and Putin are quite close in their relationship, including the revelation that Putin enjoys eating Matzoh.

Friends, we are suggesting that there is far more here than meets the eye. If you have followed our analysis of Leviev, Platinum Partners, 23 Wall, China Sonongol, the Queensway Group, the DRC, the notorious drive through the NYC tunnels without authorization to close those tunnels, you know that we have been largely spot-on.

Please reread our articles from way back, some of which we have linked above. We are spot on here too.

LM

 

 

Family of Lev Leviev, famous businessman, tied to massive diamond smuggling scheme

 

Son and brother of the well-known businessman among the suspects accused of multi-million dollar smuggling operation.

Israeli billionaire Lev Leviev was identified as the businessman whose relatives were arrested Monday morning over a massive diamond smuggling scheme.

Leviev’s son and brother were two out of six suspects arrested in early morning on suspicions of smuggling diamonds to Israel worth hundreds of millions of shekels. Also among the six was a a veteran employee of one of Leviev’s factories in Russia, who returned to Israel six years ago and took advantage of his status as a returning resident to smuggle diamonds in his many suitcases he took with him, according to The Jerusalem Post’s Hebrew language sister publication Maariv.

News site Mako reported that the police will ask to investigate Leviev himself. His diamond company LLD said in a statement: “Mr. Leviev and the companies under his control act in accordance with the proper norms, while adhering to the law. We hope that the matter will soon be clarified and the suspicions will prove to be baseless.”

The arrests came following an undercover operation conducted by the Israel Police’s Lahav 443 National Crime Unit and the Tax Authority in collaboration with the State Attorney Office’s taxation and economics department.

The suspects are suspected of money laundering, customs offenses, offenses under the Income Tax Ordinance, conspiring to commit a crime, false registration of corporate documents, fraud, and other offenses.

Police suspect that the suspects each played a part in planning and smuggling diamonds into Israel over the course of several years, without reporting it to the relevant authorities.

The investigative units intend to carry out additional arrests both in Israel and abroad.

“The Israel Police will continue to focus enforcement against severe economic crime, while operating intelligence systems and conducting joint investigations with other enforcement authorities in order to expose the perpetrators of the offenses,” the police said.

Attorney Eyal Bessarglick, who represents one of the suspects together with attorney Keren Berkowitz, said “these are preliminary suspicions which we are certain will be refuted later on. Our client has nothing to do with the affair. He worked with the businessman more than six years ago and there is no evidence linking him to a criminal suspicion. We hope that the investigation will be concluded quickly so that our client can prove that he has nothing to do with the affair and the suspicions. ”

 

A Diamond of A Smuggler – Arrests and Ummmm… the Putin Connection?

lev leviev

Report Links Leviev to Diamond-Smuggling Arrests

Nov 5, 2018 10:03 AM   By Rapaport News

 

RAPAPORT… Israeli authorities suspect an employee at a Lev Leviev company of smuggling hundreds of millions of shekels worth of diamonds into the country, according to local news website Ynet.

A staff member at one of the diamond mogul’s businesses in Russia is suspected of smuggling large quantities of the stones in suitcases when he moved to Israel six years ago, the Ynet report said. Police also arrested Leviev’s son and brother, according to Israeli media.

Six people were arrested in total on Monday following an undercover investigation, a police spokesperson said. Police suspect them of money laundering, customs and income-tax violations, conspiring to commit a crime, fraud, and making false assertions in company documents, adding that authorities planned to apprehend further suspects in Israel and elsewhere.

The spokesperson did not respond to a request for comment on Leviev’s connection to the case. Leviev’s company was not immediately available for comment.

Dan Gertler – One of the 13 Most Serious Human Rights Abusers –

Israeli billionaire Dan Gertler

Israeli Diamond Billionaire Sanctioned By U.S. Anti-Corruption Law

WASHINGTON (JTA) — Dan Gertler, an Israeli with extensive investments in the Democratic Republic of the Congo, is among the first people targeted for sanctions under a new U.S. anti-international corruption law.

Dan Gertler is among “13 serious human rights abusers and corrupt actors,” the Treasury Department said in a release Thursday, who would be sanctioned under the Global Magnitsky Act passed in 2016. It is the first time the law is being applied.

Gertler “is an international businessman and billionaire who has amassed his fortune through hundreds of millions of dollars’ worth of opaque and corrupt mining and oil deals in the Democratic Republic of the Congo,” the release said. “Gertler has used his close friendship with DRC President Joseph Kabila to act as a middleman for mining asset sales in the DRC, requiring some multinational companies to go through Gertler to do business with the Congolese state.”

As a result, mining assets are consistently underpriced upon sale to Gertler or his fronts, and then resold at real value, Treasury said, with the resultant kickbacks to Gertler and Kabila costing the Congo upward of $1 billion.

Read more: https://forward.com/fast-forward/390710/israeli-diamond-billionaire-sanctioned-by-us-anti-corruption-law/

 

 

 

Read more: https://forward.com/fast-forward/390710/israeli-diamond-billionaire-sanctioned-by-us-anti-corruption-law/