Jeweler victimized in Brink’s heist: ‘I was torn apart’

The jewellery business isn’t as glitzy because it appears, particularly for these on the commerce present circuit.

These jewelers journey from metropolis to metropolis, promoting their wares to wholesalers and buyers at conference facilities crowded with cubicles below harsh gentle.

It was after one such expo in San Mateo, Calif., when 14 of those firms had been victimized within the heist of a Brink’s huge rig at a Grapevine truck cease on July 11. The high-profile crime on the Flying J Journey Middle — which could possibly be among the many largest jewellery thefts ever — has spotlighted their close-knit world.

In interviews with The Instances, jewelers described a enterprise constructed on handshake offers, beneficiant favors and well-earned belief. It’s work that hinges on suave salesmanship and requires lengthy days competing for patrons — but additionally fosters a way of camaraderie amongst jewelers who’ve made it a lifestyle. Now, nonetheless, the heist has upended this tightknit group, decimating the 14 firms whose merchandise was stolen in Lebec whereas en path to the L.A. space for an additional commerce present. The scale of the haul is in dispute, with estimates starting from lower than $10 million to greater than $100 million.

One of many victims, Jean Malki of Forty-Seventh & Fifth Inc., mentioned that telling his youngsters in regards to the theft was the hardest factor he’s ever performed.

“They at all times checked out me — I’m their hero, I’m the robust man,” he mentioned. “I didn’t need to break that picture for them. So I informed them: All the pieces’s gonna be OK, however for now we’re going to have some modifications. Inside I used to be torn aside and devastated.”

Evidence photo provided by the FBI shows a sampling of the stolen items.

An proof {photograph} offered by the FBI reveals a sampling of knickknack taken within the Flying J heist in July.


The alleged circumstances of the heist have upset a number of the jewelers, who questioned Brink’s efforts to safe their gems, gold, jewellery and watches. Shortly after 2 a.m., thieves “lower away” the rear lock of the armored huge rig and stole 22 massive luggage of booty throughout a 27-minute interval by which one of many drivers snoozed contained in the car’s sleeping berth and the opposite was getting meals on the Flying J, the corporate has mentioned.

“How might this factor occur with Brink’s?” questioned Kenny Lee, one of many affected jewelers and one in all no less than eight victims based mostly in Los Angeles County. “They weren’t caring for our items.”

Earlier than the Brink’s tractor-trailer departed for its doomed journey to the Southland, jewelers on the San Mateo County Occasion Middle had been alerted to a possible safety concern. Whereas jewelers had been packing up their cubicles on the conclusion of the honest July 10, a consultant of the Worldwide Gem and Jewellery Present warned them over the loudspeakers that there have been “suspicious” individuals exterior the occasion middle and to be conscious of that whereas departing, in keeping with three individuals who had been there.

Such warnings are frequent on the jewellery present, having elevated lately, in keeping with an worker of the group, who requested anonymity over security issues.

Arnold Duke, president of the jewellery present, didn’t reply to interview requests.

The Los Angeles County Sheriff’s Division, which is engaged on the case with the FBI, up to now has mentioned little in regards to the inquiry. Investigators consider that the heist was the work of refined criminals, given the shortage of violence and the velocity of the thieves’ work, amongst different components.

Jerry Kroll, legal professional for the 14 jewellery firms, mentioned that his shoppers are cooperating with the FBI and have offered investigators with pictures of their stolen merchandise and, in a single case, handed on a tip {that a} jeweler obtained by way of voicemail. He declined to debate particulars of the data shared within the voicemail message.

The overall worth of the loot is the topic of two lawsuits filed in August: one lodged by Brink’s in opposition to the affected jewellery firms, and one other introduced by the jewelers in opposition to the Richmond, Va., safety and logistics big.

Brink’s alleged in its lawsuit that the stolen objects had a declared complete worth of $8.7 million — a determine it mentioned was drawn from agreements signed by its jewellery enterprise clients. The grievance seeks to restrict any payout Brink’s might should make to the jewelers to that quantity, alleging they “considerably under-declared the worth of their shipments.” (Some jewelers have mentioned they assigned their merchandise decrease values than their fair-market prices to scale back delivery charges.)

The jewellery companies alleged of their grievance in opposition to Brink’s and different events that the unnamed tractor-trailer drivers’ conduct was “grossly negligent” — and that “lax safety” by the corporate allowed the theft to happen. The lawsuit for alleged breach of contract and extra claims mentioned the jewellery firms’ merchandise was price about $100 million. It seeks no less than $200 million in restitution and damages.

Kroll mentioned that Brink’s ought to supply a reward for the return of the stolen merchandise. His shoppers, he mentioned, “will not be in a monetary place” to take action.

“Brink’s snoozed and their clients lose — they need to be those placing up the reward, not the victims, who’ve been worn out,” he mentioned. “My shoppers thought their items had been in protected palms with Brink’s.”

Connelia Savage, Brink’s common counsel for North America, mentioned in a press release to The Instances that “loss incidents are uncommon,” and it’s the firm’s follow “to reimburse our clients for correctly submitted claims as much as the total declared worth of their property.”

“We do it promptly, in order that our clients can get again to enterprise with minimal disruption,” mentioned Savage, additionally a senior vp at Brink’s. “We instantly contacted the Brink’s clients impacted by this incident to start the reimbursement course of.”

Contained in the enterprise

The Flying J heist has uncovered a quirk of the jewellery commerce that’s additional complicating issues for these whose priceless wares had been stolen.

The Flying J Travel Center, just west of the 5 Freeway in Lebec.

The Flying J Journey Middle, simply west of the 5 Freeway in Lebec, was the location of a Brink’s truck jewellery heist in July.

(Myung J. Chun / Los Angeles Instances)

It’s common follow, jewelers mentioned, to acquire stock with out paying for it upfront. The strategy, which is akin to consignment, is named shopping for “on memo,” and it permits jewellery firms to tackle expensive objects with out paying for the merchandise till it has bought.

The lack of the jewelers’ stock has been compounded by the truth that in no less than 4 of the circumstances, the stolen objects included these held “on memo.” Lee, who owns Supreme Gems Corp., is one such sufferer. Past the monetary points, he worries about his standing within the business.

“With my popularity — constructed for therefore lengthy — individuals belief me,” mentioned Lee, who based Supreme Gems’ predecessor firm in 1992. “Distributors don’t even ask me for cash instantly: They provide me objects on consignment. Now, I’ve to pay them. I don’t really feel good. This isn’t my regular life. I can’t convey my face downtown and let individuals see me.”

Lee mentioned that the price of his stolen stock — 1,300-plus objects his firm amassed over roughly 30 years — was no less than $12 million. He’s nonetheless calculating what he believes to be their fair-market worth, however by his estimation, Supreme Gems’ misplaced merchandise alone dwarfs the $8.7-million valuation that Brink’s has attributed to the entire stolen shipments mixed.

However, like a number of the different victims, Lee gave the objects he shipped with Brink’s a declared worth of $400,000. “We by no means thought to insure it for extra as a result of it was so pricey, so costly,” he mentioned.

With the lack of their merchandise, a number of the jewelers are forgoing upcoming commerce reveals. They’re lacking out not solely on the enterprise alternatives but additionally the fellowship that comes with their line of labor. A few of the commerce reveals cater to most people, and others are open solely to wholesale buyers. The reveals, Malki mentioned, appeal to an eclectic milieu: “You see the $5 individuals there, and also you see the $500,000 individuals there.”

“There may be at all times pleasure,” he mentioned.

For jewelers who’ve grown accustomed to touring for work, being homebound is a precarious flip of occasions.

“I solely work arduous, and if I’m not working I will probably be at dwelling — and so lonely,” mentioned sufferer jeweler Amy Package Tsing Leung, who operates Hawaiian Designs Jewellery Inc. together with her husband. “I need to run my enterprise and work usually. However now … all the pieces is gone.”

Leung mentioned that the price of her stolen merchandise was no less than $700,000, and she or he continues to be calculating its fair-market worth. Like Lee, she assigned her items a declared worth of $400,000 as a result of a better sum would make it “too costly to ship.”

At 83, Leung, whose enterprise relies within the San Francisco Bay Space, is among the many oldest jewelers to journey from metropolis to metropolis to showcase wares at jewellery and gem expositions. Now, the roughly 40-year veteran of the business isn’t positive what she’ll do.

Her dismay stems partly from the truth that she had been serving to different veteran jewelers who now not might journey for the reveals — in some circumstances because of the COVID-19 pandemic — by promoting their merchandise for them. And their objects had been a part of Hawaiian Designs Jewellery’s stolen cache.

“They trusted me,” she mentioned. “Many, many days, I can not sleep…. Once I shut my eyes, I give it some thought an excessive amount of.”

Soldiering on

Shifting ahead hasn’t been simple, a number of jewelers mentioned. Those that have determined to maintain their jewellery firms open now are tasked with rebuilding their inventories at a time when their funds could also be restricted and the difficulty of misplaced “on memo” objects looms.

And whether or not it’s relating the episode to kinfolk or tallying misplaced stock, disagreeable reminders of the heist abound.

Malki, co-owner of Forty-Seventh & Fifth since 2012, mentioned that his firm misplaced greater than 650 items of knickknack, watches and different objects. Amongst them had been a trove of high-value timepieces, together with about 30 Rolex watches and others made by Patek Philippe, Vacheron Constantin, Cartier, Bulgari, Franck Muller and Corum.

The declared worth of his stolen wares was $100,000, Malki mentioned. He declined to reveal the fair-market worth of these objects however mentioned it was “far more” than the declared worth.

Malki gave The Instances an interview over lunch in Pasadena and stored his composure all through the assembly — till he detailed the dialog he’d had in regards to the theft along with his youngsters. Malki struggled to include his feelings as he shared his 7-year-old daughter’s try and cheer him up after his disclosure of the crime.

“She mentioned, ‘Dad, don’t fear, I’m gonna have a lemonade stand,’” Malki mentioned. “She gave me the most important hug.”

Part of a jeweler's inventory.

The stock of a jeweler whose wares had been photographed on the Worldwide Gem and Jewellery Present this 12 months. Almost the entire merchandise was later stolen within the Flying J heist.


For Lee, the Flying J heist introduced again darkish reminiscences of one other lack of his stock: In 1996, he was adopted dwelling from work and robbed at gunpoint.

It was, Lee mentioned, a “complete loss.”

On the time, Lee didn’t have insurance coverage — he mentioned he couldn’t afford it — and likewise misplaced merchandise he had held on memo. “I owed cash within the market,” he mentioned. “I needed to construct my popularity and enterprise once more.”

However Lee mentioned that elder statesmen of the L.A. jewellery commerce — amongst them individuals who’d given him merchandise on memo — got here to his help. “They had been good,” he recalled. “They mentioned, ‘Kenny, you don’t have merchandise, you’re younger. Though you misplaced all the pieces, you pay me no matter you misplaced in a while, however I’ll nonetheless offer you merchandise.’”

This time, although, the Flying J heist is a a lot bigger loss. And the theft of Supreme Gems’ stock has compelled Lee to forgo taking part within the Worldwide Gem and Jewellery Present, which returns to the San Mateo County Occasion Middle on Friday.

“How can I [attend] the present proper now?” he requested.

Malki mentioned he will probably be there, explaining that he must “put meals on the desk,” and likewise log face time along with his clients. “If there’s a giant hole between you and your clients,” he mentioned, “you simply lose them.”

However returning to San Mateo will probably be troublesome.

“It makes me really feel like I’ve been violated,” he mentioned. “To return to that scene — I don’t know the way I’m going to cope with it.”

He paused earlier than including: “I don’t suppose I’ve a alternative.”

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