The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-06-06
GAME TO GET CHEAP DIAMONDS
BRING THEM IN AT PORTS WHERE
THERE ARE NO EXPERTS
And Tell Customs Omcers What They Arc
Worth-F1ne Pront in Shaving the
Price and the Duty-Such . Case
Found at Norfolk and Headed on.

A new method OF importing diamonds
into the United States is creating something
OF q distur bance among the New YORK
diamond importers and is causing feeling
OF uneasiness on the part OF the customs
officials and the Treasury Department at
WASHINGTON. This scheme is the importa-
ton OF diamonds through other ports and
cities in the United States than New York.
At this port, 80 the Government says. 10
its only competent appraiser OF precious
stones, and il diamonds are imported
through other ports and cities they fall
into the hands Of appraisers who have
had no experience in determining the value
of diamonds and who from the nature Of
their work are not in touch with diamond
prices abroad and the frequent advances
and changes in the market there. Be-
cause Of this ignorance on their part. 90
the Government says. valuation Of diamond
shpments must be taken on the word OF
the importer, which naturally Ia low. This
differentiation, at 10 per cent duty, greatly
reduces the cost Of stones.
Practically all Of the diamonds imported
through these other ports are owned by
certain New York dealers. who use the
names Of local jewellers In the other cities
as blind.
lneTb Ii COllslucio ohc
Secretary Shaw because OF his stand In the
matter, some importers contending that
he should not discriminate against the
importation of diamonds in smaller cities
in favor of New York. He says that the
proper port for the entry of diamonds il
New York, and that, although the Gov
eminent does not absolutely demand that
Kansas City, Duluth, Minneapolis or any
other city shall not import diamonds, 1t
does ask that the practice shall not lie made
,o1N pcn
the Government would be obliged to have
precious stone experts at these cities,
or require the stones to be sent to New
York for appraisement
The present investigation carried on by the
Government Is based on a case heard yes
terday by United States General Appraiser
Sharratts as to shipment OF diamonds
valued at about 5000, imported by ID, r.
Paul Of Norfolk. Va, These stones were
appraised at 200 and 2l0 forms by the ap-
praiser at Norfolk.
By some means this appralsement was
called to the attention Of the Government,
and Mr. Sharratts went to Norfolk to in
vestigate. He returned with the diamonds
to this city yesterday. and sent for a num-
Der OF the best DIAMOND experts IN th ne
the value OF the stones. AZ result OF
their testimony, the stones were advanced
to 2lO and 225 forms
It developed at the hearing th aa a., the
monds before, and that these, diamonds
had originally been purchased abroad by n
New York firm, which in turn sold them to
Paul, the latter importing them. It is said
that they were to be turned over by Paul
to the New York brokers. The diamonds
are still in the possession OF the Govern
ment awaiting the payment Of duty at the
increased valuation.
A large amount Of evidence came out at
the hearing concerning the practice Of
certain New York dealers in importing
stones through smaller ports. The Gov
eminent Ia said to have unearthed num-
Der Of cases similar to that of the Norfolk
concern,