Diamond dealer defrauded KBC of €63 million

An Antwerp diamond dealer defrauded KBC bank of €63 million, the bank has alleged. The man, Erez D, is now thought to be living in Israel. KBC made the complaint in a sworn statement delivered to the Israeli authorities. 

Starting in 1986, the statement alleged, Erez D built up debts worth €30 million with the KBC subsidiary Diamantbank, based on what appeared to be a thriving diamond dealing business in Antwerp. In 2005, he spent €41 million on a private jet.

However, the business wasn’t as healthy as it appeared, and when the global economic crisis struck in 2008 the holes started to show. Nevertheless, in 2011, Diamantbank, now dismantled by KBC, allowed him access to the diamonds that had been handed over as security for his loans. He fled to South Africa with the diamonds, and from there to Israel.

KBC is now trying to get the stones back. The bank declined to comment on the case.

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