Sourcing

Gemfields Agrees to Pay $7.6M to Settle Mozambique Lawsuit

SourcingJan 30, 2019

Gemfields Agrees to Pay $7.6M to Settle Mozambique Lawsuit

The no-admission-of-liability settlement includes the establishment of a system for grievances at Montepuez and creation of community projects.

2018_Gemfields-Mozambique.jpg
A shot of Gemfields’ Montepuez ruby mining site in Mozambique
London—Gemfields has agreed, on a no-admission-of-liability basis, to the settlement of all claims of human rights abuses in Mozambique brought against it by U.K. law firm Leigh Day.

Leigh Day filed suit against the colored gemstone mining company last April, representing a group of Mozambicans living near Montepuez Ruby Mining (MRM) Limitada’s mining concession who alleged they or their relatives were the victims of human rights abuses at or around the mine. Gemfields is a majority stakeholder in the mine.

The claims in the lawsuit included allegations of being “shot, beaten, subjected to humiliating treatment and sexual abuse, unlawfully detained, and/or forced to carry out menial labor.”

Gemfields has maintained throughout that it is not liable for what happened at the site but has recognized that in the past “instances of violence have occurred on the MRM license area, both before and after Gemfields’ arrival in Montepuez.”

It has agreed to pay GBP 5.8 million (about $7.6 million) to settle the case. The money will be distributed among the group and to cover legal costs. (The GBP 5.8 million is split as follows: GBP 4 million will go toward damages for claimants, while the remaining GBP 1.8 million will cover lawyers costs and expenses of the case, which includes paying for medical experts and reports, Mozambican law experts, travel and accommodation, court fees and more.)

Gemfields said in a statement issued Tuesday that the settlement is in the best interest of its stakeholders while it also avoids “tainting” MRM’s relationship with the local community through long and expensive litigation. It also noted that had it succeeded at trial, none of its own, likely substantial, legal costs would have been recoverable from claimants or from Leigh Day.

Gemfields CEO Sean Gilbertson said: “Gemfields and MRM routinely seek ongoing improvement in practices, policies and procedures. We are confident that we have and will continue to set new benchmarks in our sector, particularly in relation to transparency, health and safety, environmental management, training, community affairs, human rights practices, payment of taxes and reporting of production and financial performance.

“We regard this settlement, together with the new community support mechanisms, as a critical step in allowing us to continue to develop our world-class operations at Montepuez in harmony with the local communities.”

In addition to the settlement amount, Gemfields said it would commit at least GBP 500,000 (about $657,000) to provide long-term sustainable benefits, including skills training, to foster growth and employment for the local Ntoro/Namucho community.

The company also has agreed to establish an independent Operational Grievance Mechanism (OGM) to ensure that anyone can bring forward complaints about the mine.

The colored gemstone miner said an independent panel—following the United Nations Guiding Principles on Business and Human Rights—will consider the evidence and determine compensation where applicable.

Leigh Day, which now represents 273 Mozambicans, said in a statement that it acknowledges that Gemfields has taken the claimants’ allegations seriously and has been “proactive and constructive in addressing the wider issues raised by local communities through this case.”

Daniel Leader, partner at Leigh Day, said in the statement: “The settlement announced today provides significant redress to our clients and importantly puts in place a credible and independent mechanism for providing remedy to those we have been unable to represent.

“These incidents should never have happened. However, we commend Gemfields for engaging constructively to resolve this case promptly and for putting in place an independent grievance mechanism.”

Leigh Day attorney Matthew Renshaw told National Jeweler the additional aspects of the settlement—the OGM and community projects—beyond the sum were unusual in such a case and said it is a “credit to Gemfields” that it was open to them.

Under the terms of the settlement and provided Gemfields fulfills its commitment to establish the OGM, Leigh Day will not bring or support any further claims in relation to these Montepuez allegations.

Renshaw said the law firm aims to distribute the funds to the claimants in Mozambique within the next few months.

Editor’s note: This story was updated post-publication to note how the final settlement sum will be divided.
Brecken Branstratoris the senior editor, gemstones at National Jeweler, covering sourcing, pricing and other developments in the colored stone sector.

The Latest

Etsy office Dumbo Brooklyn
MajorsAug 07, 2026
Etsy to Lay Off 12% of Workforce

Etsy CEO Kruti Patel Goyal explained why the company is letting go more than 200 employees as its performance improves.

Syna Star Gazer Pendant
TrendsAug 07, 2026
Look Ahead with Syna’s Binoculars Pendant

The “Star Gazer” pendant, our Piece of the Week, is Syna’s tribute to curiosity and the discovery of something new.

An interior shot of the Musee Lalique in Wingen-sur-Moder, France
CrimeAug 06, 2026
Lalique Museum to Remain Closed Following $5M Heist

Museum officials are looking to the public to help cover the “exceptional” costs involved in recovering from the July 5 smash-and-grab.

1872-x-1052-July-ad (1).png
Brought to you by
Why More Jewelry Retailers Are Hosting Turnkey Estate Buying Events

Retailers are seeking new ways to attract customers, increase traffic, and create revenue – Estate buying events are a popular solution.

1872-x-1052-July-ad (2).png
Supplier BulletinAug 06, 2026
Why More Jewelry Retailers Are Hosting Turnkey Estate Buying Events

Sponsored by Stratus Estate Buyers

Weekly QuizAug 06, 2026
This Week’s Quiz
Test your jewelry news knowledge by answering these questions.
Take the Quiz
Claire’s new piercing experience
MajorsAug 06, 2026
Claire’s Revamps Piercing Services for Second Time in Three Years

The overhaul includes enhanced employee safety training and trendy earring styles, including lab-grown diamond studs.

Brilliant Earth Jane Goodall collection rings
FinancialsAug 06, 2026
Brilliant Earth’s Q2 Sales Up 6%, Driven by High-Income Shoppers

The retailer said it had its biggest Mother’s Day ever, with strong demand for higher-priced jewelry.

Brought-To-By-Article-Top-Image.jpg
Brought to you by
Wedding Band Trends 2026: Personalization Takes Center Stage

Colored gemstones, artisan finishes, mixed metals, and meaningful details are shaping demand in bridal jewelry.

Handwork: Handcrafted Objects that Made America Book Cover
TrendsAug 06, 2026
New Book on Handcrafted American Objects Highlights Jewelry

“Handwork: Handcrafted Objects that Made America” features historic and contemporary works, including a Diné squash blossom necklace.

Ani Khachian
MajorsAug 06, 2026
AJA East Coast Names Ani Khachian as First Female President-Elect

The Armenian Jewelers Association’s East Coast chapter has also elected its 2026–2027 board of directors.

JCPenney storefront
MajorsAug 05, 2026
Private Equity Firm Wants to Buy 100+ JCPenney Stores

Onyx Partners has submitted a second offer to buy the department stores after its first offer fell through last year.

The Roaring Jewel Martini
IndependentsAug 05, 2026
Atlanta Jeweler Introduces $10K Martini

Solomon Brothers Jewelers has partnered with local cocktail bar Roaring Social on a new martini garnished with a tennis necklace.

Benjamin Siegel of Hamilton Jewelers
IndependentsAug 05, 2026
Another Member of the Siegel Family Joins Hamilton Jewelers

Benjamin Siegel, son of President and CEO Hank Siegel, started working for the family business this week.

Bulgari San Diego Store Exterior
MajorsAug 05, 2026
Bulgari Opens Store in San Diego

The new space features a modern design that blends Bulgari’s Roman heritage with San Diego’s coastal spirit.

Mugshots of four men
CrimeAug 04, 2026
Crew of Thieves Break Into Indiana Jeweler’s Home

Four men were charged in connection with the break-in and accused of stealing $365,000 in cash, jewelry, and designer goods.

André Branch
MajorsAug 04, 2026
Pandora Hires Former Signet Board Member to Lead North American Market

André Branch has more than 25 years of experience with various brands, most recently serving as CEO of Ariana Grande’s cosmetics company.

Gemlok earrings
MajorsAug 04, 2026
Sasha Primak Acquires Gemlok

New York-based atelier Gemlok is best known for creating the innovative “bridge” setting that became popular in the bridal market.

Santana Now Unidad Collection Campaign Imagery
CollectionsAug 04, 2026
Musician Carlos Santana Launches Jewelry Brand

Santana Now's debut collection, “Unidad,” features symbolic motifs as well as pieces of wood from the Woodstock stage.

Stock image of a gavel and books
CrimeAug 03, 2026
Florida Man Gets 15 Years in Trio of Jewelry Store Robberies

The 50-year-old man pleaded guilty earlier this year to robbing two jewelry stores and a pawn shop of more than $700,000 in merchandise.

Spider-Man Citizen watch and pin on a web
WatchesAug 03, 2026
Citizen's New Spider-Man Watch Is a Collector’s Dream

The watch’s dial features an original design by Marvel comics illustrator Adam Kubert.

Chatham Men’s Collection Campaign Imagery
CollectionsAug 03, 2026
Chatham Releases First Men’s Collection

The new collection of lab-grown diamond and colored gemstone jewelry provides a “fresh perspective” on the category, Chatham said.

Pomellato Marvelous Griffe earrings
TrendsAug 03, 2026
Amanda’s Style File: Spinel vs. Peridot

While some August babies are team peridot, the month's time-honored birthstone, others are team spinel, the newer alternative.

Edina Kiss Popsicle Pendant and Karina Choudhrie Ice Cream Charm
TrendsJul 31, 2026
These Pieces of the Week Are Sweet

Edina Kiss’ “Popsicle” pendant and Karina Choudhrie’s “Ice Cream” charm satisfy that summer craving for a sweet piece of jewelry.

Macy’s Herald Square store sign
MajorsJul 31, 2026
Macy’s Iconic Red Shopping Bag Sign Torn Down

The massive billboard has been in the same spot on the department store’s Herald Square flagship store for decades.

U.S. Trade Representative Jamieson Greer and Jewelers of America President and CEO David Bonaparte in Washington, D.C.
Policies & IssuesJul 30, 2026
JA Heads Back to Washington as New Wave of Tariffs Takes Effect

David Bonaparte, along with Tim Haake and Ronnie VanderLinden, continue to lobby for tariff exemptions for diamonds, gemstones, and pearls.

Hands pushing shopping cart
SurveysJul 30, 2026
Consumer Confidence Slips in July

Survey respondents were concerned about the rising prices of food and groceries as well as unemployment.

Paola De Luca Presents Trendvision Book
Events & AwardsJul 30, 2026
Vicenzaoro Releases 2026 Education Lineup

The trade show, slated for Sept. 4-8 in Vicenza, Italy, will feature sessions on trends, AI, gemology, and manufacturing.

×

This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy