PNJ subsidiary director probed as police bust transnational ring smuggling 28,000 diamonds

Vietnamese police have arrested 22 suspects including a director of a leading jewelry company in an operation smuggling diamonds from Hong Kong to Vietnam.

Among those detained is the director of PNJ Laboratory Company Limited (PNJ-LAB), a subsidiary of Vietnam's largest listed jewelry company, Phu Nhuan Jewelry Joint Stock Company (PNJ), authorities announced on Thursday.

Police escort suspects in a diamond smuggling case. Photo by VnExpress/Lam Son

Police in Thanh Hoa Province in central Vientam had coordinated with Ho Chi Minh City colleagues to conduct raids at 20 locations, including jewelry stores and the residences of those involved, last month.

The operation yielded 1,100 seized diamonds, along with transaction records, electronic data, and storage devices. Investigators determined that the ring had smuggled and sold the stones in Vietnam, generating an estimated revenue of VND280 billion (US$10.7 million).

The network was allegedly orchestrated by several Indian nationals based in Hong Kong. Diamonds were initially sourced from India, gathered in Hong Kong, and illicitly transported into Vietnam.

To evade detection, the organization strictly compartmentalized its operations. Each participant was assigned a specific stage of the process, handling either transportation, receiving, distribution, or money management. Police report that the syndicate successfully executed 141 smuggling trips beginning in 2024. By the time the operation was dismantled, they had brought more than 28,000 diamonds into the country.

Police question suspect Trinh Quang Chung in a diamond smuggling ring. Photo by VnExpress/Lam Son

Several key figures were identified by investigators as running the daily operations. Abhishek Deepak Patel, a 32-year-old Indian national, allegedly managed the diamonds and oversaw all sales proceeds within Vietnam. Working with him was Trinh Quang Chung, 42, from Dong Nai that borders HCMC, who collected the diamonds in Hong Kong and transported them across the border.

Once the stones were in Vietnam, 21-year-old Dang Ngoc Son from HCMC received, transported, and distributed them to buyers in the city, Hanoi and An Giang in the Mekong Delta.

Tran Thi Hang, a 41-year-old from HCMC, acted as a major distributor who purchased large quantities for resale to local dealers and jewelry businesses.

The role of the PNJ-LAB director

A central figure in the investigation is Dang Ngoc Thao, 52, the director of PNJ's gemstone certification subsidiary. Police allege Thao colluded with others to purchase smuggled diamonds whose physical specifications did not match their international Gemological Institute of America (GIA) certificates.

Dang Ngoc Thao, director of PNJ Laboratory Company Limited. Photo by VnExpress/Lam Son

Thao is accused of exploiting his gem certification expertise to physically alter the stones. He allegedly removed the laser-inscribed GIA identification numbers from the diamonds and replaced them with PNJ-LAB identification numbers. Following this alteration, Thao issued new, fraudulent certification reports to legitimize the stones before selling them for personal profit.

Authorities emphasized that grading certificates are crucial for determining a diamond's commercial value and maintaining consumer trust. Furthermore, PNJ-LAB operates as an independent certification organization and is strictly prohibited from trading the diamonds it certifies. Police stated that Thao's actions not only generated illegal profits but severely damaged the credibility of the certification body.

Thanh Hoa police are continuing to expand their investigation to determine the roles of other individuals and organizations involved in the sprawling network.

Evidence seized in a diamond smuggling case busted by Vietnamese police. Photo by VnExpress/Lam Son

In the wake of the bust, authorities are advising consumers to exercise extreme caution. Buyers are urged to purchase diamonds only from legitimate businesses capable of providing proper invoices, supporting documents, and genuine certification reports from reputable laboratories.

The public is also warned to be highly suspicious of unusually cheap diamonds. Authorities cautioned against investment, consignment, or capital contribution schemes involving diamonds that are offered through social media or unverified trading platforms.