-Caveat Lector-

Thieves pull off biggest gem heist in diamond capital
http://www.guardian.co.uk/international/story/0,3604,898531,00.html
123 safes emptied but raid undetected for days

Andrew Osborn in Brussels
Wednesday February 19, 2003
The Guardian

Armed with inside knowledge and a taste for the spectacular, a gang of
thieves has managed to pull off the biggest gem theft that Antwerp - the
diamond-cutting capital of the world - has ever suffered, officials admitted
yesterday.

The operation sounded like a film script, but police said it was conducted
with no melodrama, no shoot-out, no screeching tyres and no blood. A
gang had simply walked into one of the most heavily guarded buildings in
Antwerp's diamond district and walked out again - without meeting a soul.

Although the authorities insist it will take days to provide an accurate
estimate of the value of the stolen stones, the figure is said to run to tens
of millions of pounds. Antwerp's close-knit diamond community can
scarcely believe what has happened.

As the world's largest distribution centre for diamonds, the Belgian city has
gone to extraordinary lengths to keep its lifeblood safely under lock and
key but the audacious and suspiciously well-informed thieves still managed
to slip in and out unnoticed and take exactly what they wanted.

"It is impossible and yet it happened," a stunned diamond merchant,
Marcel Fuehrer, told the daily Het Nieuwsblad yesterday.

Although the theft is thought to have taken place on Sunday night, it was
only on Monday morning that anyone noticed that anything was wrong.
Dazed diamond dealers arrived at work to find 123 of the city diamond
centre's supposedly Fort Knox-like 160 safes empty.

The safes' reinforced metal doors were ajar and documents and even gems
were scattered on the floor in the cavernous cellar vault. The thieves had
been in a hurry to make their exit.

Documents certifying the stones' authenticity, their origin and the fact
that they had not been imported from conflict zones were also lifted.

The vault's main door - which is 20cm thick and bomb-proof - had not been
tampered with, and the thieves had had the courtesy to close it behind
them. "There were no signs of forced entry," an industry source told the
Guardian yesterday.

"There are cameras, sophisticated alarms, 24-hour security guards on every
main entrance and every exit, and even cameras in the vault - so how
these people got in undetected is a mystery.

"They must have had the necessary security passes and known exactly
where the cameras were. Everyone suspects it was an inside job."

Most of the safes were leased by diamond dealers and polishers who work
in the offices above the vault which is situated in the unprepossessing,
modernist Grimbergen building at 9-11 Schupstraat. Only a fraction of them
were rented by "outsiders".

Early estimates suggest that the emptied safes belong to 70 individuals or
organisations. The police confirmed last night that they were questioning
all of the safe owners as well as anyone who works in the diamond centre.
Not just anyone can hire a safe - people who want a secure deposit box
have to undergo a rigorous process of security screening.

The precise value of the gems, like the manner of the break-in itself,
remains a mystery. In the murky and often secretive world of diamond
dealing nobody wants to guess how much the gems are worth although the
"damage" is said to be far greater than a previous heist in 1994.

Only five safes were emptied on that occasion and stones worth about £3m
taken. If the 123 safes in the latest theft were stuffed with a similar
quantity of gems, that would put their value somewhere in the region of
£74m, although experts are cautious.

"We shouldn't extrapolate but it is sure that the total will be much larger
now," said Youri Steverlynck, a spokesman for the city's High Diamond
Council, the body which oversees the diamond trade. "We are certainly
talking about many millions." Other, more pessimistic, industry sources
speak of "tens of millions".

"This is the biggest robbery of diamonds Antwerp has ever seen," said one,
noting that all the Flemish daily newspapers claimed it was the most
audacious and damaging in the city's history.

The authorities said they were working as quickly as possible to quantify
the losses. "We are in the midst of making a full inventory [but] it is far too
early to say something about the total loss," said Leen Nuyts, a
spokeswoman for Antwerp's prosecutor, yesterday.

The diamond industry is shell-shocked and embarrassed by the robbery.
"We will have to see to what extent the security system failed," said Mr
Steverlynck yesterday. "[This] will hurt Antwerp's image as a diamond
centre."

Nor can the authorities believe that the gang managed to make off with so
many diamonds.

"[They must have been in the vault] for hours, or there must have been a
great many of them," said Ms Nuyts.

Diamonds are big business in Antwerp. Last year alone it handled over
£17bn worth of gems.

Indeed it is estimated to process 80% of the world's production of uncut
diamonds - many of which come from industry giant De Beers.

"Things like this happen in the movies but not in real-life," said one dealer.

A cut above the rest

· The earliest written record of diamond cutting comes from Antwerp in
1550, and the city has been at the centre of the world diamond industry
since the 1600s

· Today there are about 1,500 dealers and four bourses, or trading clubs,
employing around 30,000 people concentrated in the diamond centre, an
area of about 2 sq km in the heart of the city

· 80% of the world's uncut diamonds are traded through the Belgian
diamond exchange on Simonszstraat. Twenty-five million carats of diamonds
pass through the city every year

· Last September Vijay Shah, one of the world's wealthiest diamond
dealers, held the double marriage of his son and daughter in the diamond
centre in Antwerp. Seven thousand guests attended and the week-long
celebrations were rumoured to have cost £10m

· In 1994, when thieves broke into five vaults in the world's biggest diamond
raid, the heist was estimated at £3m

· The 203-carat Millennium Star diamond, the target of the bungled
robbery at the Millennium Dome in November 2000, was cut by De Beers
experts in Antwerp

Guardian Unlimited © Guardian Newspapers Limited 2003
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