NYC Diamond Dealer Accused of Lab-Grown Diamond Swaps
Manashe Sezanayev faces felony charges of fraud and grand larceny for allegedly replacing three natural diamonds with lab-grown ones.

Manhattan DA Alvin Bragg Jr. said 41-year-old Manashe Sezanayev of Queens, New York, was indicted in New York State Supreme Court on two counts of second-degree grand larceny, one count of first-degree scheme to defraud—both felonies—as well as three counts of third-degree criminal possession of a forged instrument, a misdemeanor.
Sezanayev, better known as “Mike,” operates Rachel’s Diamonds (a.k.a. Rachel’s Lab Grown Diamonds) on Manhattan’s 47th Street.
According to court documents and statements made on the record in court, on Feb. 5, a diamond merchant came to Sezanayev’s office with two natural diamonds Sezanayev claimed to be interested in buying.
The stones were valued at approximately $185,000 and $75,000.
When Sezanayev turned his back to the dealer to weigh the stones on the scale, he allegedly swapped them out for two lab-grown diamonds that had been recut to mimic the natural diamonds’ weight and quality.
The lab-grown diamonds, which are worth significantly less than their natural counterparts, also had been fraudulently inscribed with report numbers for natural diamonds graded by the Gemological Institute of America.
Sezanayev allegedly pulled off another switch the following month, according to court records.
On March 27, Sezanayev told another diamond merchant that he had a customer interested in purchasing a diamond valued at about $200,000.
Sezanayev then allegedly purchased a lab-grown diamond that was recut to mimic the $200,000 natural diamond and inscribed with a fraudulent GIA report number.
The following week, on April 2, the merchant met with Sezanayev and his purported customer and Sezanayev examined the diamond.
It was only later that the merchant learned that the diamond Sezanayev returned to him was a lab- grown stone, according to court records.
Sezanayev has pleaded not guilty in the case and his attorney, Queens-based Boris Nektalov, told National Jeweler on Tuesday that his client is “awaiting his day in court.”
In the press release announcing Sezanayev’s indictment, the Manhattan DA’s office thanked both the New York Police Department and GIA for aiding in the investigation.
A GIA spokesman said Tuesday, “We are grateful that we were able to assist the Manhattan District Attorney’s office with the investigation … For many years, GIA has provided training and investigation assistance to law enforcement in the U.S. and around the world. This is part of our mission to protect consumers and our work to meet the industry’s needs.”
He also noted that in addition to the GIA iD100, the lab’s desktop diamond tester, the lab offers four services to match a loose diamond to its GIA report.
They are: GIA Report Check; GIA Report Confirmation Service, which became available at all GIA labs earlier this year; GIA Match iD, an inscription viewing instrument that uses AI; and the lab’s Update Service, in which GIA-graded diamonds can be submitted for re-evaluation.
In 2017, he was one of a dozen men charged with perpetrating a series of frauds that ultimately cheated diamond wholesalers out of more than $9 million in goods.
He pleaded guilty to one count of conspiracy to commit wire fraud in 2018 and was sentenced to 366 days behind bars, court records show.
According to the online database for the Federal Bureau of Prisons, Sezanayev was released from prison in December 2019.
The Latest

Sponsored by the Gemological Institute of America

The 2025 Australian Open champion is the jewelry brand’s first athlete ambassador.

The West Village jewelry boutique’s new shop-in-shop is the cornerstone of Nordstrom’s revamped jewelry hall.

The Seymour & Evelyn Holtzman Bench Scholarship from Jewelers of America returns for a second year.

This past year, the manufacturer said it recorded below-zero emissions per carat of natural diamond.


The brand’s “Golden Strada” statement necklace features round, marquise, and pear diamonds that sparkle like Fourth of July fireworks.

JSA’s Scott Guginsky provided a list of nine security measures jewelers should observe while locking up for the long weekend.

The countdown is on for the JCK Las Vegas Show and JA is pulling out all the stops.

Located on Rodeo Drive, the store’s design was inspired by Hollywood and Los Angeles culture.

The new location continues the brand’s celebration of its 25th anniversary.

The online watch marketplace’s “Time Is Our Thing” campaign highlights the importance of time.

She will oversee strategic planning, fundraising, industry partnerships, and the launch of the Gem Legacy Campus in Tanzania.

Working with Amazon’s Counterfeit Crimes Unit and law enforcement, Pandora helped to shut down a large-scale counterfeit network in China.

The jewelry company has closed its three California brick-and-mortar stores, as well as its online shop, for now.

The company is providing the opportunity for an FIT student to work alongside master diamond cutter Willie Lopez in its workshop.

He is remembered for his successful entrepreneurship, generosity, and dedication to his family.

The jewelry store chain has reportedly been struggling with costs related to tariffs as well as tough retail competition.

Welcome warm summer days with red hot rubies perfectly chosen as July’s birthstone.

Co-founders Afzal Imram and Lin Ruiyin brought their son’s story of a cosmic egg, toadstool, and railroad to life in their new collection.

The best time to prepare for the holiday season is right now, according to columnist Emmanuel Raheb.

This year’s winner is Morgan Keefe, who is currently studying at GIA to be a gemologist.

“The Jewelry Book” comes out this September.

The company is focused on modernizing the custom jewelry buying experience with e-commerce tools like product visualization and 3D styling.

Following its recent acquisition, the storied brand has updated its leadership team and regional managers.

AGS also named the recipient of its “Women in Leadership” scholarship.

The 20-karat yellow gold and diamond wrap ring is modeled after the Monstera plants in the garden of the brand’s Miami villa.

Rocksbox President Allison Vigil shared the retailer’s expansion plans, and her thoughts on opening stores in malls.