Industry System of Self Regulation

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Industry System of Self Regulation


The WORLD FEDERATION OF DIAMOND BOURSES and the INTERNATIONAL DIAMOND MANUFACTURERS ASSOCIATION, recognizing that the trade in conflict diamonds is a matter of serious international concern being addressed by governments, industry and civil society in the Kimberley Process, and mindful of the unacceptable suffering of innocent people, unanimously adopted the following resolution at their joint meeting in London on the 29th October, 2002:

a. To meet the challenge of preventing the trade of conflict diamonds, both organizations, and their constituent and affiliated members hereby create the following voluntary system of industry self-regulation in order to comply and support government undertakings of the Kimberley Process.

b. Each member organization undertakes to require its members to:


i. Make the following affirmative statement on all invoices for the sale of rough diamonds, polished diamonds and jewelry containing diamonds. “The diamonds herein invoiced have been purchased from legitimate sources not involved in funding conflict and in compliance with United Nations resolutions. The seller hereby guarantees that these diamonds are conflict free, based on personal knowledge and/or written guarantees provided by the supplier of these diamonds.”


ii. Not to buy any diamonds from firms that do not include the above statement on their invoices.

iii. Not to buy any diamonds from suspect or unknown sources of supply and/or that originate in countries that have not implemented the Kimberley Process International Certification Scheme.

iv. Not to buy diamonds from any source that after a legally binding due process system has been found to have violated government regulations restricting the trade in conflict diamonds.

v. Not to buy diamonds in or from any region that is subject to an advisory by a governmental authority that conflict diamonds are emanating from or available for sale in such region unless such diamonds have been exported from such region in compliance with Kimberley Process requirements.

vi. Not to knowingly buy or sell or assist others to buy or sell conflict diamonds.

vii. Assure that all company employees that buy or sell diamonds within the diamond trade are well-informed regarding trade resolutions and government regulations restricting the trade in conflict diamonds.

c. Each member organization shall expel and publicize the expulsion of any members that after a due process investigation by the member’s trade organization has been found to be in violation of the above resolutions.

d. In coordination with and upon the advice of governmental authorities each member organization shall publicize with in the diamond trade.

i. All government regulations governing the flow of conflict diamonds and all advisories from government regarding the trade of conflict diamonds.

ii. The names of firms and/or individuals that after legally binding due process have been found to be guilty of violating Kimberley Process requirements (including government regulations) applicable to the trade in conflict diamonds.

iii. The names of all regions and locations that governmental authorities advise that conflict diamonds are emanating from or available for sale.

e. Each member organization shall assist and provide technical support regarding government regulations and trade resolutions restricting the trade in conflict diamonds to all legitimate parties in need of such information or expertise.

Done this day in London, October 29, 2002.

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