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JVC Helps Expose Underkarating in New Jersey
By Victoria Gomelsky

AUGUST 07, 2002 - CAMDEN COUNTY, NJ -- Investigators from the Consumer Protection/Weights and Measures Office of Camden County found that nearly two-thirds of the gold jewelry they purchased from local retailers was underkarated, according to an announcement by the Jewelers Vigilance Committee (JVC), which assisted in the four-month-long investigation.

"Once again, our industry monitoring showed underkarating of the gold in jewelry items victimizing buyers at bargain stores," said Cecilia Gardner, JVC's executive director and legal counsel. "This activity damages retailers' reputation for integrity, and constitutes fraud."

The results of the investigation revealed violations of New Jersey State law, the Federal Trade Commission (FTC) Guidelines and the National Gold and Silver Stamping Act.

The Camden County team selected the stores at random. After going on an undercover buying spree, they delivered the jewelry, which was priced between $20 and $149, to the JVC's Precious Metals Testing laboratory, where it was tested using a non-destructive x-ray assay to determine whether it lived up to its quality mark (i.e., 10K, 14K, 18K). Out of 36 items tested, 23 did not meet the standards set by the FTC, according to the announcement.

"We are gratified that Camden County turned to us to conduct complete research," Gardner said. "Because of our equipment and legal expertise, we were able to determine that the majority of the items examined were indeed not as represented-in most instances there was underkarating."

JVC Warns Against Discount Jewelry

The Jewelers Vigilance Committee (JVC) has teamed up with local news channels to warn consumers against buying "underkarated" jewelry, according to a release issued by the JVC.

JVC Executive Director, Cecilia Gardner, warns that "the public is being victimized by bargain stores representing gold jewelry items as 10 karat or 14 karat that were actually seven or eight karat and in some instances less." She adds that even if there are only a few such instances, this deception damages retailers' reputation for integrity and constitutes fraud.

JVC Works With News Channels to Weed Out Underkarating, Advise Consumers
By Barbara Green

NOVEMBER 14, 2002 - NEW YORK -- With the holiday shopping season fast approaching, the Jewelers Vigilance Committee (JVC) has been working with area news channels to protect consumers and make clear that a "bargain" is not always what it seems.

Partnering with the UPN 9 investigative news team, the JVC recently tested a variety of precious metal jewelry items purchased for between $15 and $85 from "discount" jewelry stores across New York and New Jersey.

Out of 11 items tested, nine did not meet the standards set by the Federal Trade Commission. While such deceptive claims may be relatively uncommon in the jewelry industry overall, JVC Executive Director Cecilia Gardner said, even one instance of underkarating can undermine retailers' credibility and tarnish reputations.

"The public is being victimized by bargain stores representing gold jewelry items as 10 karat or 14 karat that were actually seven or eight karat and in some instances less," Gardner said. "This activity damages retailers' reputation for integrity, and constitutes fraud

JVC Helps Florida State AG's Office and CBS Identify Underkarating

NOVEMBER 27, 2002 - FLORIDA -- Eight retailers in four Florida cities have been charged by the attorney general's office with representing underkarated jewelry as 10-karat or 14-karat gold.

Civil complaints are also being filed in Broward, Leon, Miami-Dade and Seminole counties that carry penalties of up to $10,000 per violation under Florida's Deceptive and Unfair Trade Practices Act.

The stores named in complaints include: Golden Bay Jewelers at the Swap Shop in Fort Lauderdale; Golden Way located in Miami's Mall of the Americas; S.B. Jewelry located in Miami's 7th Avenue Flea Market; Watches Plus located in the Tallahassee Mall; and Big Daddy's Gold & Silver Mine, Infinity Trading, Universal Jewelry and YB Jewelry, all located at Flea World in Sanford.

"The pieces that failed to meet minimum gold standards are nothing more than pretty yellow metal and are not gold under the law," said Jewelers Vigilance Committee Executive Director and General Counsel Cecilia Gardner, who helped with the investigation. "Though the law does not require manufacturers to stamp a karat mark on fine jewelry, most do. If a jewelry manufacturer stamps a karat mark, the law does require that its registered trademark also appear next to it. And, even if an item is not stamped, when a jewelry or other outlet sells to a consumer, they must indicate the items' karatage to the buyer in some way."

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