American and European citizens that travel to South Korea who intend to buy a ruby or a diamond as gift should be aware that they might pay too much for these items.

During research that took place during October 2007 to November 2007, it was discovered that rubies that are in fact worth not more than 400 USD per ct are sold in the major department stores for as much as 1800 USD per ct and in some shops for as much as 2800 USD per ct.

Tourists who visit are often the victims. They have certificates, however it is not clearly indicated on the certificates or, the customer is not made aware that they are in fact lead filled rubies. Americans are the biggest victims.

Our sources confirmed during an interview that as much as 12000 ct a month is sold like this in the South Korean market and it accounts for the largest sales besides the diamond sales. The certificates state that they are natural but are in fact treated stones, and this does not comply with ISO rules. Laboratories issue certificates that state “Natural Ruby” or “Natural Corundum” both in English. Under comments are written either impregnated or lead filled in Korean. The question is, are these rubies natural or are they in fact treated stones with a natural base, and if so, why is the consumer mislead? Since the comments are not written in English as well, the customer is unaware of what they are buying. The information to the consumer is thus withheld. This should raise serious alarms in our industry.

The stones often are of very poor quality. Once treated they are no longer natural. What makes matters worse it that they claim that they are DTC and ISO approved laboratories. Once the customer is back in the states he would realized he was fooled when visiting a gemological association for their evaluation. Most stones are sold already set in jewelry and that makes it almost impossible to tell the difference, even for an expert.

By Prof. Baretzky Diamondologist (Diamond and Gem Specialist)