Botswana gems seized in Belgium deal gone sour

Lerala Mine, in the Tswapong area, closed at the end of May after its Australian owner, Kimberly Diamonds ran out of operational cash citing weak sales. At least 130 workers lost their jobs, with a few others retained for care and maintenance activities.

According to documents seen by Mmegi, the sale of the 53,000 carats was initiated on May 28, 2017 through a company in which Kimberly’s majority shareholder holds a major stake. The company was to auction the stones in Antwerp, having acquired them from Kimberly at US$22 per carat, an amount creditors believe was purposefully below value as a prior sale at Lerala had fetched prices of US$45 per carat.