Lazare Kaplan International - Ethical Standards

Ethical Standards

LKI supports (and has helped develop) policies that prohibit the trade in conflict diamonds, prevent money laundering, combat the financing of terrorism, and promote transparency, fair dealing and disclosure throughout the diamond pipeline. It is LKI’s strict policy to clearly identify its prospective suppliers and its customers before entering into any business transaction.

Kimberley Process Certification Scheme – LKI actively participated in the inaugural meeting of diamond industry stakeholders in Kimberley, South Africa, in May 2000, and participated in all subsequent deliberations that led to the January 2003 adoption of the KPCS and its system of controls over rough diamond trading, intended to combat the trade in conflict diamonds. LKI has a zero tolerance policy with regards to conflict diamonds and will not import or export rough diamonds without an accompanying Kimberley Process Certificate of origin.

World Diamond Council Industry Self-Regulation – Established in conjunction with the KPCS, the WDC has established a system of buyer-seller warranties to extend the reach and effectiveness of the KPCS throughout the entire diamond pipeline. LKI trades only with companies that provide such warranties, guaranteeing the conflict-free origin of the diamonds on their invoices. All sales and consignments of LKI diamonds are accompanied by LKI’s own warranty statement. This flow of warranties in and warranties out is audited and reconciled on an annual basis by LKI’s financial auditors.

Zero tolerance for conflict diamonds – LKI follows a policy of zero tolerance for conflict diamonds as defined by United Nations General Assembly Resolution 55/56 of 2000 . The LKI system of controls was instituted before the existence of this UN Resolution, and received special commendation from the UN for its contribution to stemming the flow of conflict diamonds. All of LKI’s rough diamond buyers are required to sign and abide by a written code of ethical diamond trading conduct as a condition of continued employment.

Trade association membership – LKI and its officers are members of a wide variety of diamond and jewelry industry associations including, but not limited to, the American Gem Society, the Jewelers Vigilance Committee, the Jewelers Board of Trade, the Diamond Manufacturers and Importers Association, the Jewelers Credit Interchange Group, the Jewelers Security Alliance, the New York Diamond Dealers Club, and the Council for Responsible Jewelry Practices.

Best Practice Principles Assurance Program (a Diamond Trading Company program ) – LKI subscribes to and is compliant with this program, which was developed to demonstrate to supply chain partners, consumers and other interested stakeholders that the exploration, extraction, sorting, cutting and polishing of diamonds, and the manufacture and sale of diamond jewelry is undertaken in a professionally, ethically, socially and environmentally friendly and accountable way.