Police Arrest 21 People Over Long-Running BKK Gem Scam

[gemguy]

When they bought the stones they were happy with their purchase so why did they go back for a refund?

They develop a sense of being either cheated or sold way over priced merchandise while having been more or less sweet talked into buying the loose stones or usually jewelry items and convinced they can make money reselling the goods they purchased back in their home country.

After the purchase, many people use the internet to find out they are a victim of the scam.

Also they worry the items are not genuine so they seek the advice of others and often enough learn about the numerous Gem Identification laboratories here in Bangkok that service the very large and legitimate gem and jewelry trade here in Thailand.

The gem identification laboratories can easily enough confirm the gemstones are genuine and or the jewelry is made using genuine gold or silver.

When asked what the fair price should be or could be the laboratories will not involve themselves in that aspect rather they ask how much did you pay for the items purchased.

Upon hearing the prices paid for the items in question they will inform the clients that they have paid: Far, far, far, far too much relative to what those sort of items can be obtained for relative to all the suppliers and wholesalers and retailers and what they can sell such items for with reasonable profits...not 5 times to 10 times more than the known prices relative to wholesale suppliers selling such items leading up to a fair value price.......like that...relative to what a fair retail price ( or competitive price ) should or could be in the existing market.

If the victims return home with the goods and have them appraised back in their home country, 9 times out of 10 the known and understood ( retail ) prices in their home country or their home town area is less and sometimes much less than what they paid in Thailand...for "supposedly" whole sale priced items...from a retail shop in Bangkok....as that is what they are told and convinced of.

Many of the scam gem and jewelry operators buy and sell loose stones and make their own jewelry items in house and have an existing wholesale trading operation, as Thailand is a hub for gem trading and gemstone cutting and polishing and jewelry manufacturing and that is their main business anyhow...while many of them are far from honorable legitimate traders to begin with amongst the thousands of legitimate and honest honorable gem trading companies or individuals that make up Thailand's well known and well established gem and jewelry manufacturing sector of the Thai export based economy

However many of them become involved in working with the many tourist touts that BRING the cliental to them for a fixed commission arrangement based on a bringing the foreigners for a "delivery fee" per person and or a percentage of the sales amount........or they will bring the clients to another pre arranged store who will gladly except foreigners and sell them items at very inflated prices...relative to their wholesale costs for the loose stones and the costs involved to make any jewelry items they have on hand and to be sold to a another wholesaler ( that is if you know gemstones and jewelry and what the real wholesale prices are, while that is your business to know while you bargain hard and make offers on the goods relative to knowing the wholesale prices you could buy the times for from many loose gemstone wholesalers and other jewelry suppliers )

The truth is: They are not sold fake items rather way over priced genuine items.

They are clever enough to sell you genuine items.....or they will include a description of the item stating it is Cubic Zirconia or Synthetic gems or man made gemstones....but still way over priced....after the huge discount they give to you telling you it is the last day of a special marketing campaign organized by the government with huge discounts for foreigners.....and it is your lucky day....yada, yada, yada.

They have several angles and a degree of coercion also that more or less intimidates the victims making them reluctantly buy something so "you" have not wasted ( their time ) being so generous to you and so "Thai people" friendly and all.

If you resist their sales efforts to get you to purchase something then they step up the routine by introducing you to the friendly Thai owner who will then work on you to convince you to buy the over priced goods and give you a further discount ..straight from the owners heart...lol....or what ever it takes to get you to buy something

In most cases the victims will go to the nearest tourist police or nearest regular police station ....but no matter which police station they contact near guaranteed the police have seen and heard of it before and unfortunately are in on the scam by way of letting it continue in their jurisdiction .

Sometimes the police help the people who are scammed get back part of their money if the victims really insist and do not back down and make a major issue out of getting back their money.

Occasionally some people get back their full refund but they go to great lengths to do so while they are continually thwarted and their time is continually wasted while most people do not have the time or patience to follow up and or confront the people relentlessly until they get back a refund.

Cheers

Excellent description of the scam,...All the guide books warn us about !!!

Regards.

Too much information. Too verbose. No need for all the red emphasis.

Only the greedy and the stupid would buy into this gem game.

They deserve what they get.

If you have attention deficit disorder (ADD ) I am certain some of the TV members here can recommend a good doctor....lol.

Meantime, your opinion about only the stupid and greedy would buy into this gem game is a dumb comment.

You deserve the criticism you get.

There you go...short and simple

Cheers and have yourself a grumpy old day.

Edited July 6, 2015 by gemguy

[spidermike007]

Amazing how many criminals have been arrested since the coup. It seems that the Thaksin days (do whatever you want as long as I get my billions) are finally coming to an end.

The most important question is, are they being convicted, and are they serving the sentences they deserve? Because if this is not the case, then it would appear to be a charade. Does anyone have any knowledge about conviction rates, of these hooligans who are getting arrested? Especially the ones who have enough money to buy off the prosecutors and judges? That is the real question. And the answer to that question goes right to the heart of how serious the current regime is about cleaning this place up.

[spidermike007]

The amount of skill required to know the quality of a precious gemstone, is huge. Unless one has a GIA certification, or has training in this area, my guess is that most people worldwide, are getting a lot less than they are paying for. Especially with brands like Cartier. A friend of mine bought an engagement ring at Cartier in Los Angeles. He spent $10,000 for it. He brought it to a gem expert, who said the diamond was worth no more than $700. It was very low quality. So, worldwide, unless you know for a fact you are dealing with someone who is not only honest and reliable, but also has motivation to give you a good deal, gemstones are one of the hardest commodities in the world, to get a good deal on. Thailand is the last place in the world I would buy a precious, or even a semi-precious gemstone. Lastly, have you ever tried getting a refund on a high priced item in Thailand? Good luck on that one! You would have to file a report with the Better Business Bureau of Bangkok. LOL.

Edited July 6, 2015 by spidermike007

[SiSePuede419]

"A friend of mine bought an engagement ring at Cartier in Los Angeles. He spent $10,000 for it. He brought it to a gem expert, who said the diamond was worth no more than $700. It was very low quality..."

It's the thought that counts, 555.

Seriously, your friend was brainwashed. Diamonds have no intrinsic value. It's whatever "the syndicate" wants to shake you down for.

http://m.huffpost.com/us/entry/1720870

Education is expensive (if you're unwilling to learn from other people's mistakes)

[mike324]

Gem scam has been going on for over 2 decades...better late than never

[gemguy]

The amount of skill required to know the quality of a precious gemstone, is huge. Unless one has a GIA certification, or has training in this area, my guess is that most people worldwide, are getting a lot less than they are paying for. Especially with brands like Cartier. A friend of mine bought an engagement ring at Cartier in Los Angeles. He spent $10,000 for it. He brought it to a gem expert, who said the diamond was worth no more than $700. It was very low quality. So, worldwide, unless you know for a fact you are dealing with someone who is not only honest and reliable, but also has motivation to give you a good deal, gemstones are one of the hardest commodities in the world, to get a good deal on. Thailand is the last place in the world I would buy a precious, or even a semi-precious gemstone. Lastly, have you ever tried getting a refund on a high priced item in Thailand? Good luck on that one! You would have to file a report with the Better Business Bureau of Bangkok. LOL.

Actually spidermike007.....Thailand is amongst the best places in the world to buy a gemstone for far less than you can buy any gemstone for in near any other place.

Thailand happens to be a major international wholesale gemstone and jewelry trading hub for the last 40 years, approximately.

There are literally huge amounts of rough gemstones ( sometimes tons of certain materials ) and or cut and polished gemstones ranging anywhere from 1 dollar per stone to 1 million dollars per stone...wholesale prices...depending on the type and size and clarity and other qualities and the rarity of the gemstones, amongst other factors, while people buy them everyday.

As for a refund on the Gemstone or Jewelry item you buy.......actually, most legitimate and honest gem traders would give you a refund.... up to a certain time limit of course.......say 30 days...but not say, 1 year, as that would be rather unreasonable for nearly any product purchased.

When the next Bangkok Gemstone and Jewelry trade fair is held, this coming September, take the time to go out there and learn about gemstones and jewelry ...or if you have the time make it over to the JTC building ( Jewelry Trade Center Building ) right beside the Holiday Inn on Silom Road down nearer to the river end of the Silom Road.

There you can look at 20 or more different kinds of gemstones all you want and learn as you look... while learning about gemstones and jewelry is not like rocket science.

Cheers

Edited July 6, 2015 by gemguy

[arunsakda]

Nothing at all to do with "friendly strangers" who approach foreigners on the street to scam.

Sent from my iPhone using Tapatalk

[spidermike007]

The amount of skill required to know the quality of a precious gemstone, is huge. Unless one has a GIA certification, or has training in this area, my guess is that most people worldwide, are getting a lot less than they are paying for. Especially with brands like Cartier. A friend of mine bought an engagement ring at Cartier in Los Angeles. He spent $10,000 for it. He brought it to a gem expert, who said the diamond was worth no more than $700. It was very low quality. So, worldwide, unless you know for a fact you are dealing with someone who is not only honest and reliable, but also has motivation to give you a good deal, gemstones are one of the hardest commodities in the world, to get a good deal on. Thailand is the last place in the world I would buy a precious, or even a semi-precious gemstone. Lastly, have you ever tried getting a refund on a high priced item in Thailand? Good luck on that one! You would have to file a report with the Better Business Bureau of Bangkok. LOL.

Actually spidermike007.....Thailand is amongst the best places in the world to buy a gemstone for far less than you can buy any gemstone for in near any other place.

Thailand happens to be a major international wholesale gemstone and jewelry trading hub for the last 40 years, approximately.

There are literally huge amounts of rough gemstones ( sometimes tons of certain materials ) and or cut and polished gemstones ranging anywhere from 1 dollar per stone to 1 million dollars per stone...wholesale prices...depending on the type and size and clarity and other qualities and the rarity of the gemstones, amongst other factors, while people buy them everyday.

As for a refund on the Gemstone or Jewelry item you buy.......actually, most legitimate and honest gem traders would give you a refund.... up to a certain time limit of course.......say 30 days...but not say, 1 year, as that would be rather unreasonable for nearly any product purchased.

When the next Bangkok Gemstone and Jewelry trade fair is held, this coming September, take the time to go out there and learn about gemstones and jewelry ...or if you have the time make it over to the JTC building ( Jewelry Trade Center Building ) right beside the Holiday Inn on Silom Road down nearer to the river end of the Silom Road.

There you can look at 20 or more different kinds of gemstones all you want and learn as you look... while learning about gemstones and jewelry is not like rocket science.

Cheers

Yes, but you are talking about the wholesale market, where the crowd is educated about gemstones. The article was about the rackets run by the kinds of shops that do not sell high quality gemstones, and take advantage of unsuspecting tourists with extra cash. Very different animal indeed.

[gemguy]

The amount of skill required to know the quality of a precious gemstone, is huge. Unless one has a GIA certification, or has training in this area, my guess is that most people worldwide, are getting a lot less than they are paying for. Especially with brands like Cartier. A friend of mine bought an engagement ring at Cartier in Los Angeles. He spent $10,000 for it. He brought it to a gem expert, who said the diamond was worth no more than $700. It was very low quality. So, worldwide, unless you know for a fact you are dealing with someone who is not only honest and reliable, but also has motivation to give you a good deal, gemstones are one of the hardest commodities in the world, to get a good deal on. Thailand is the last place in the world I would buy a precious, or even a semi-precious gemstone. Lastly, have you ever tried getting a refund on a high priced item in Thailand? Good luck on that one! You would have to file a report with the Better Business Bureau of Bangkok. LOL.

Actually spidermike007.....Thailand is amongst the best places in the world to buy a gemstone for far less than you can buy any gemstone for in near any other place.

Thailand happens to be a major international wholesale gemstone and jewelry trading hub for the last 40 years, approximately.

There are literally huge amounts of rough gemstones ( sometimes tons of certain materials ) and or cut and polished gemstones ranging anywhere from 1 dollar per stone to 1 million dollars per stone...wholesale prices...depending on the type and size and clarity and other qualities and the rarity of the gemstones, amongst other factors, while people buy them everyday.

As for a refund on the Gemstone or Jewelry item you buy.......actually, most legitimate and honest gem traders would give you a refund.... up to a certain time limit of course.......say 30 days...but not say, 1 year, as that would be rather unreasonable for nearly any product purchased.

When the next Bangkok Gemstone and Jewelry trade fair is held, this coming September, take the time to go out there and learn about gemstones and jewelry ...or if you have the time make it over to the JTC building ( Jewelry Trade Center Building ) right beside the Holiday Inn on Silom Road down nearer to the river end of the Silom Road.

There you can look at 20 or more different kinds of gemstones all you want and learn as you look... while learning about gemstones and jewelry is not like rocket science.

Cheers

Yes, but you are talking about the wholesale market, where the crowd is educated about gemstones. The article was about the rackets run by the kinds of shops that do not sell high quality gemstones, and take advantage of unsuspecting tourists with extra cash. Very different animal indeed.

Yes ....to that aspect of the thread.

I was addressing your mistaken assumption that Thailand would be a bad place to buy a gemstone or jewelry when you said:

Thailand is the last place in the world I would buy a precious, or even a semi-precious gemstone. Lastly, have you ever tried getting a refund on a high priced item in Thailand? Good luck on that one! You would have to file a report with the Better Business Bureau of Bangkok. LOL.

Like any product you have to shop around and learn and ask and ask some more and make an informed decision.

However if you are not looking for gemstones or jewelry and a confidence man or confidence men catch you off guard and you end up in a gemstone / jewelry shop and not of your own decision making and they put the pressure on you to buy Gemstones and Jewelry then you would not know the difference between real gemstones and fake gemstones and good quality verses high quality.

But the same could be said about the high pressure clothing shops and the antique shops and souvenir shops relative to all the people that end up in those shops and pay far more than they should.

Meantime, I hope the people perpetrating the fraudulent gemstone and jewelry operations are shut down or reprimanded somehow some way....but I am certain they will not and be back doing what they have done for the last 30 years.

Cheers

[spidermike007]

The amount of skill required to know the quality of a precious gemstone, is huge. Unless one has a GIA certification, or has training in this area, my guess is that most people worldwide, are getting a lot less than they are paying for. Especially with brands like Cartier. A friend of mine bought an engagement ring at Cartier in Los Angeles. He spent $10,000 for it. He brought it to a gem expert, who said the diamond was worth no more than $700. It was very low quality. So, worldwide, unless you know for a fact you are dealing with someone who is not only honest and reliable, but also has motivation to give you a good deal, gemstones are one of the hardest commodities in the world, to get a good deal on. Thailand is the last place in the world I would buy a precious, or even a semi-precious gemstone. Lastly, have you ever tried getting a refund on a high priced item in Thailand? Good luck on that one! You would have to file a report with the Better Business Bureau of Bangkok. LOL.

Actually spidermike007.....Thailand is amongst the best places in the world to buy a gemstone for far less than you can buy any gemstone for in near any other place.

Thailand happens to be a major international wholesale gemstone and jewelry trading hub for the last 40 years, approximately.

There are literally huge amounts of rough gemstones ( sometimes tons of certain materials ) and or cut and polished gemstones ranging anywhere from 1 dollar per stone to 1 million dollars per stone...wholesale prices...depending on the type and size and clarity and other qualities and the rarity of the gemstones, amongst other factors, while people buy them everyday.

As for a refund on the Gemstone or Jewelry item you buy.......actually, most legitimate and honest gem traders would give you a refund.... up to a certain time limit of course.......say 30 days...but not say, 1 year, as that would be rather unreasonable for nearly any product purchased.

When the next Bangkok Gemstone and Jewelry trade fair is held, this coming September, take the time to go out there and learn about gemstones and jewelry ...or if you have the time make it over to the JTC building ( Jewelry Trade Center Building ) right beside the Holiday Inn on Silom Road down nearer to the river end of the Silom Road.

There you can look at 20 or more different kinds of gemstones all you want and learn as you look... while learning about gemstones and jewelry is not like rocket science.

Cheers

Yes, but you are talking about the wholesale market, where the crowd is educated about gemstones. The article was about the rackets run by the kinds of shops that do not sell high quality gemstones, and take advantage of unsuspecting tourists with extra cash. Very different animal indeed.

Yes ....to that aspect of the thread.

I was addressing your mistaken assumption that Thailand would be a bad place to buy a gemstone or jewelry when you said:

Thailand is the last place in the world I would buy a precious, or even a semi-precious gemstone. Lastly, have you ever tried getting a refund on a high priced item in Thailand? Good luck on that one! You would have to file a report with the Better Business Bureau of Bangkok. LOL.

Like any product you have to shop around and learn and ask and ask some more and make an informed decision.

However if you are not looking for gemstones or jewelry and a confidence man or confidence men catch you off guard and you end up in a gemstone / jewelry shop and not of your own decision making and they put the pressure on you to buy Gemstones and Jewelry then you would not know the difference between real gemstones and fake gemstones and good quality verses high quality.

But the same could be said about the high pressure clothing shops and the antique shops and souvenir shops relative to all the people that end up in those shops and pay far more than they should.

Meantime, I hope the people perpetrating the fraudulent gemstone and jewelry operations are shut down or reprimanded somehow some way....but I am certain they will not and be back doing what they have done for the last 30 years.

Cheers

I appreciate your clarification and expertise on this subject. I have heard about the gemstone industry here. And have been to the JTC. Very impressive indeed. Unfortunately I lack the expertise to know what I am looking at. But, gorgeous stuff no doubt. I was really just referring to the confidence men and tuk tuk and taxi guys who bring tourists to these places, that then snooker unsuspecting tourists out of a lot of money. They might as well wander into a Cartier store, in terms of value for dollar.

Edited July 7, 2015 by spidermike007