An inspection team inspects a jewellery shop in Hà Nội as part of efforts to strengthen compliance among businesses trading in precious metals, diamonds and gemstones. — VNA/VNS Photo

HCM CITY — The Ministry of Industry and Trade plans to inspect five businesses trading in jewellery, diamonds and gemstones in August as part of efforts to strengthen compliance with anti-money laundering regulations.

Trần Việt Hùng, head of the department's Market Management Operations Division, said the inspections would be conducted by the Domestic Market Management and Development Department under the Ministry of Industry and Trade, with a focus on businesses in Hà Nội.

The inspection plan was issued on July 15 following a request from the State Bank of Vietnam's Anti-Money Laundering Department, which asked relevant agencies to carry out thematic inspections of businesses trading in precious metals and gemstones.

Under the plan, officials will examine compliance with regulations on invoices, documents, product origins and labelling requirements.

The inspections will cover businesses involved in the trading, processing, manufacturing and distribution of jewellery, diamonds and other gemstones.

"The inspections are thematic and conducted according to a plan, rather than surprise inspections targeting businesses suspected of violations," he said.

The market surveillance authority was required to inspect at least three businesses in the sector under a request from the Anti-Money Laundering Department. Based on that requirement, the ministry's department decided to select five businesses for inspection.

The selected companies will be notified in advance so they can prepare relevant legal documents, invoices and records proving the origin of their products. Under inspection procedures, businesses must receive notice at least seven days before inspectors begin their work.

The companies will be selected randomly from businesses currently operating, Hùng said, adding that the inspections aim to identify shortcomings, improve compliance and provide guidance to businesses.

"This is also a form of communication and guidance to ensure businesses operate in accordance with legal regulations. Any violations or shortcomings will be handled appropriately," he added.

The inspections will cover jewellery products containing gemstones, including diamond jewellery. However, the market surveillance authority will not examine gold bars, gold rings or other investment gold products, which fall under the responsibility of specialised agencies.

The move comes as authorities have stepped up scrutiny of the precious stone market following several investigations into diamond smuggling.

The diamond market has also faced rising consumer concerns in recent months after discussions on social media about diamond quality, certification and resale values triggered increased public attention.

Some retailers temporarily suspended operations as customers rushed to sell back diamond jewellery, putting pressure on the secondary market.

The concerns worsened following the prosecution of several jewellery business owners in connection with an alleged cross-border diamond smuggling network.

Police in northern Thanh Hóa Province recently prosecuted four additional suspects in a cross-border diamond smuggling case linked to Saigon Jewelry Company (SJC). Investigators also seized 354 diamonds worth nearly VNĐ69 billion (US$2.6 million).

According to investigators, between 2022 and 2024, the group allegedly smuggled around 3,400 diamonds from Hong Kong, with a total value of more than VNĐ500 billion.

The diamonds were allegedly disguised as purchases from customers, then sent for appraisal before being stored and distributed through SJC's retail network. The investigation is ongoing.

Hùng said inspecting diamond and gemstone businesses presents challenges because these products require specialised equipment and expertise to assess characteristics such as quality, age and carat weight.

"For example, it is difficult to determine the carat weight of a diamond using only visual inspection," he said.

He also noted that changes in the management structure of market surveillance agencies had created challenges in coordinating inspections nationwide.

Previously, the system was managed centrally by the Ministry of Industry and Trade, while local market surveillance units are now managed by provincial authorities and Departments of Industry and Trade.

Following the inspection campaign, the Domestic Market Management and Development Department will submit reports to relevant authorities assessing businesses' compliance, identifying any violations and recommending appropriate measures.

Hùng said inspections of precious metals and gemstones were not a new activity, but part of the ministry’s ongoing market supervision efforts under the national anti-money laundering framework. — VNS