Elections at Antwerps Rough Diamond Association$$Two opposing groups stood for elections at the Rough Diamond Association (VHRD) today to determine who will represent the organisation on the board of Antwerps High Diamond Council (HRD).%% At stake is who will represent the VHRD on HRD’s board, giving them a say in its decision making process for the future of Antwerp and also its relationship with De Beers.%%VHRD’s delegates for the election, which is the first since three years, include Dilip Mehta, Mr Einhorn and Mr Pluzenik, who are the only three DTC sightholders on the 20 seat HRD board. They stand against VHRD board members that claim they were elected on May 31st during a controversial board meeting.%%The May election was suspended and a formal notary was appointed to organise today’s election.%%The conflict came to a head earlier this month, when the position of Mr Mehta, Mr Einhorn and Mr Pluzenik was challenged in court by the Belgian Polished Association (BVGD).%%BVGD accuses Mr Einhorn and Mr Pluzenik of not organizing elections annually as per HRD by-laws.%%“It is clear that the actual delegates to the board of the HRD have no mandate from their organization as they were never elected by their own body,” BVGD’s Andre Gumuchdjian said.%%“Just like in a coalition government, that collectively elects its representatives we have a stake in the goings of the VHRD. It is a matter of principle,” said Gumuchdjian. “We are living in a feudal system and now Antwerp is finally going through to a transition into an elective system.”%%Dilip Mehta, CEO of Rosy Blue and one of De Beers’ largest sightholders, said he was appointed to the HRD board through the Rough Diamond Association based on a gentleman’s agreement that secured three seats on the board of HRD for Indians.%%But the BVGD argues that whilst it has no issue with Mr Mehta or his Indian representation it is not aware of any gentleman’s agreement and opposes individual nominations.%%The rough, polished, coloured stone and industrial trade associations collectively elect their five representatives on the 20 member HRD board by majority.%%The BVGD currently has two of these seats, while Mr Mehta and his colleagues occupy the other three.%%According to the notary the election will give back the voice to Antwerp’s diamond dealers.%%An HRD official said: “This is a fight for seats and for policy. Sightholders are not popular on the streets of Antwerp today. If the Pluzenik, Mehta line continues than the HRD can continue its initiatives to make Antwerp a leading distribution centre.”%%“The outcome of this democratic election will be an important milestone for the continuous success of Antwerp as major rough diamond centre,” said Dilip Mehta.%%Separately, Bharat Shah of Diampex has been endorsed by the Indo Belgian Diamantaire Association which is seeking greater Indian representation. Indian companies control by far the largest share of Antwerp’s rough and polished market

“I am delighted that Dilip Mehta is standing and a democratic election is taking place, but I believe that the IBDA should itself become a member association of the HRD. We believe the HRD is not representative of Antwerp’s economic forces,” Gumuchdjian said.