FILE PHOTO: A trader inspects a diamond during a show at the trading floor of Israel’s Diamond Exchange (IDE) in Ramat Gan near Tel Aviv, Israel August 29, 2013. REUTERS/Nir Elias/File Photo
November 6, 2018
JERUSALEM (Reuters) – The son and brother of Israeli billionaire diamond magnate Lev Leviev are among suspects arrested in Israel in connection with a diamond smuggling scheme, according to court documents released on Tuesday.
The case focuses on Leviev’s company, LLD Diamonds, a leading global manufacturer and marketer of polished diamonds, Police have said they expect to make more arrests, both in Israel and abroad.
Leviev’s son Zevulun and brother Moshe are accused of involvement in a smuggling operation that has brought about 300 million shekels’ ($80 million) worth of diamonds illegally into Israel since 2010, according to a transcript of a custody hearing held on Monday.
Israel is a world center for diamond cutting and polishing, with one of the biggest exchanges in the world, at Ramat Gan.
Lawyers representing Zevulun Leviev in a statement said the allegations against him were “baseless” and his arrest appeared to be a tactic to “illegitimately pressure his father”.
Moshe Leviev’s lawyer denied in court that his client had any connection to the allegations against him.
Lev Leviev, who was born in Uzbekistan and according to the court documents is currently believed to be in Russia, built his fortune in diamonds and property.
LLD said in a statement it had no knowledge of the alleged smuggling.
“Mr. Leviev and the companies in his control operate in accordance with the proper norms while adhering to the law. We hope that the matter will be clarified soon and the suspicions will be proven baseless,” it said.
Leviev also owns 48 percent of the real estate firm Africa Israel Investments , once one of Israel’s biggest conglomerates, whose business has struggled since a downturn in the Russian real estate market.
(Reporting by Ari Rabinovitch; Editing by Kevin Liffey)
