Jewellery Appraisers and Experts: Unsung Heroes in Financial Crime Investigations

25 Oct Jewellery Appraisers and Experts: Unsung Heroes in Financial Crime Investigations

By Mehdi Saadian

When people imagine jewellery appraisers, they typically picture us in elegant showrooms or working for insurance companies, meticulously evaluating the worth of diamonds, gemstones, and other high-end pieces. But behind the scenes, our skills are also indispensable in a very different field—uncovering financial crime.

Earlier this year, I had the privilege of leading a team of experts, all members of the Institute of Registered Valuers (IRV) and The Academy of Experts (TAE), in a high-profile £27 million money laundering case. Commissioned by the Crown Prosecution Service’s Serious Economic, Organised Crime and International Directorate (SEOCID), and led by top barristers from 6KBW College Hill, the case resulted in the conviction of two criminals. These individuals manipulated a legitimate business front, using fake invoices to pass off money laundering as diamond trading. On 13 September 2024, they were handed prison sentences of 10 and 7 years.

This case highlights just how crucial our profession is in tackling crime. With diamonds and luxury jewellery often used to disguise illicit transactions, appraisers can shine a light on fraudulent schemes that might otherwise go undetected.

The Role of Appraisers as Expert Witnesses

In some cases, appraisers find themselves in courtrooms, providing expert testimony. As expert witnesses, we bring impartial and highly specialised insight, helping courts discern the truth about transactions involving jewellery. Our job is to evaluate whether declared values align with actual market standards, making sure that nothing is out of place.

Unique Challenges in Financial Crime Investigations

Financial crimes involving jewellery present a unique set of challenges. Diamonds and other high-value items can be easily transported across borders, making them an attractive target for money laundering. But with our expertise, we’re able to identify when these assets are being misused.

This recent case serves as a reminder of the important role we play in safeguarding the jewellery and diamond trades. Staying vigilant to potential fraud is not just a responsibility—it’s essential to protecting the reputation and integrity of the industry.

Protecting the Trade

Whether in court or in a more everyday setting, our role as appraisers is always to ensure that jewellery transactions are transparent, fair, and above board. In this case, our findings were key in exposing the misuse of diamond trading as a front for illegal activity. We provided the court with the evidence it needed to unravel the complex web of deceit, further emphasising the need for transparency in the jewellery market.

Our role doesn’t stop there. The weight of responsibility on expert witnesses is immense. We are tasked with offering unbiased, accurate testimony that courts can rely on to make crucial decisions. Missteps can have serious consequences, which is why institutions like The Academy of Experts and the Institute of Registered Valuers are vital in maintaining high standards of integrity and professionalism.

Conclusion: Appraisers as Guardians of Trust

Jewellery appraisers are not just about valuing beautiful items; our expertise is a critical asset to the legal system, particularly in cases involving financial crime. As members of IRV and TAE, we play a key role in ensuring the jewellery market remains honest and trusted. Our involvement in cases like this not only protects the financial value of gems and luxury items but also helps safeguard the integrity of the entire industry.

September 2024