Expert Affirms Jeweler’s Claims of Lower Prices

A false-advertising case against diamond merchant George P. Thompson hit a major snag Monday when an expert maintained that Thompson was indeed selling rings at a lower price than Bullock’s--just as the Oxnard jeweler had claimed.

The Ventura County district attorney sued Thompson in civil court last month, accusing the jeweler of false advertising and making untrue claims. A judge Monday ordered Thompson to document all claims he makes in his advertisements while forbidding him from saying that he casts gold in his offices in the Ventura County National Bank Building.

But Thompson may continue to call himself a jewelry manufacturer and say that he sells “factory-direct” jewelry until the case is settled, Ventura County Superior Court Judge Joe D. Hadden said. No trial date has been set.

Even more important than Hadden’s rulings was an appraisal dated Jan. 15 by an independent Maryland gemologist that prosecutors turned over to defense attorneys during Monday’s three-hour hearing.

The appraisal says two diamond rings that undercover agents bought from Thompson during a 10-month investigation last year are worth more than two comparable rings purchased at the Bullock’s department store in Thousand Oaks.

A jubilant Thompson claimed vindication outside the court Monday.

“I guess the district attorney is out to protect people from lower prices,” Thompson said. “I guess he doesn’t want the public to save money.”

The appraisal prepared by James V. Jolliff this month appears to contradict an earlier estimate of value prepared by a Los Angeles-based diamond expert who Thompson maintains is one of his competitors. The first appraisal, prepared by Cosmo Altobelli, stated that Thompson’s rings were of “poor” quality while the comparable Bullock’s rings were “very good” and therefore worth much more.

Thompson had advertised that his rings were of similar quality to those sold at Bullock’s and at least $1,000 cheaper, prompting prosecutors to file their civil action.

“The appraisal of diamonds is not an exact science and opinions will vary,” Deputy Dist. Atty. Mitch Disney said outside court after the ruling. Disney also said that although the two appraisals used the same Thompson rings, they used different Bullock’s rings.

Altobelli appraised the Bullock’s rings at the counter, and the district attorney’s office did not purchase them. Those two rings were sold, so different rings were purchased from Bullock’s for the second appraisal.

Though the later appraisal said Thompson’s rings were each worth only a few hundred dollars more--not $1,000 as advertised--Disney did concede that allegations based on those comparison advertisements had been significantly weakened.

“Weaken the case? This drives a truck through their case,” said defense attorney Glenn Campbell. “We have been telling them all along that they hired the wrong guy.”

But Disney said that Thompson still remains accused of selling diamonds smaller than their advertised size while unfairly stating that he has “prices lower than the L.A.’s Wholesale Jewelry Mart.” He said Thompson is being sued on 17 separate allegations, with only two being affected by the appraisals.

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For instance, Disney said investigators bought a 1.45-karat diamond ring from Thompson that the jeweler purported to be 1.5 karats.

Further, Disney still maintains that Thompson sells inferior-quality diamonds while advertising otherwise.

“The items that he is comparing are not the same quality,” Disney said.

“We’ll shoot down those accusations as well,” countered Campbell.

Thompson advertises extensively with the slogan “Your friend in the diamond business.”