Swiss jeweller linked to Dos Santos files for bankruptcy

De Grisogono, a Swiss luxury jeweller with links to Isabel dos Santos, has filed for bankruptcy after failing to failing to find a buyer.

The firm is mainly owned by Angola’s state diamond corporation, Sodiam, and Ms Dos Santos’ husband Sindika Dokolo. 

Recently leaked documents - known as the Luanda Leaks - show how the jeweller is costing the Angolan government millions of dollars. 

Mr Dokolo and Sodiam initially struck a deal to buy the Geneva-based jewellers in 2012, entering a 50-50 partnership. 

However, it later emerged that Sodiam put $79m into the partnership, while Mr Dokolo only had to invest $4m for equal control. Leaked documents further reveal that Sodiam had awarded Dokolo €5m for brokering the deal, meaning he didn’t have to invest any of his own money. 

The documents also show how Sodiam borrowed the capital needed to invest from a private bank in which Ms Dos Santos is the largest shareholder. Sodiam has to pay 9% interest to the bank and the loan was guaranteed by a presidential decree from Ms Dos Santos’ father, José Eduardo dos Santos. 

Sodiam’s chief executive says that by the time the loans are paid off, the firm will have lost more than $200m.

The Angolan government further alleges the diamonds were sold at a knockdown price, with some sources indicating that up to $1 billion may have been lost.

Mr Dokolo’s lawyers deny all wrongdoing, saying their client later invested $115m in De Grisogono and that his company paid above the market rate for the raw diamonds.

Angolan prosecutors are meanwhile attempting to recover $1 billion, which they claim Ms Dos Santos and her associates owe the state from corrupt deals conducted while her father was president. 

Ms Dos Santos also denies all wrongdoing, saying the accusations are part of a politically motivated witch hunt.

If the Swiss authorities accept De Grisogono’s bid for bankruptcy, the firm say 65 employees will lose their jobs. 

Photo credit: Getty Images