Jewelry Merchants to Take Cover During Convention

Fearing hordes of protesters gathering in nearby Pershing Square, and having little faith in the LAPD to protect them, most merchants in Los Angeles’ sprawling jewelry district plan to shut down for convention week at a cost of millions of dollars a day in lost sales.

“We’re not taking any chances,” said Sam Chamsi of the Diamond Center at 631 S. Hill St. in the heart of the nation’s second-largest jewelry and diamond district. “We haven’t gotten a solid commitment that the district will be protected. So we are boarding up and shutting down.”

All across the district Tuesday, others echoed Chamsi’s lament.

“What else can we do? We are vulnerable,” said Moez Nazarian of Royal Crown Jewelry and Son, pointing to his glass counters full of sparkling diamond rings, bracelets and other valuables just inside the big windows fronting Hill Street.

“If the riots happen, with the merchandise out like this, they can come in and rob us clean,” Nazarian said, polishing a ring. “We don’t like it. One week of being shut--it’s going to kill us.”

Many merchants cited the damage caused to downtown after the Lakers’ championship victory at Staples Center, and the protests at the World Trade Organization meetings in Seattle last fall.

Those protesters and many others (estimates range from 5,000 to 25,000) have promised to make their presence known in Los Angeles starting this weekend.

In preparation, some merchants will board up their vast glass storefronts. Others will slam down their metal gates Friday evening, they say, and not reopen until at least Aug. 18, the day after the convention ends.

There are an estimated 2,000 retailers in the jewelry district, which fills several mammoth complexes near 6th and Hill streets, as well as myriad storefronts spread out for several blocks from there.

It is a teeming, insular world full of mom-and-pop shops peddling diamonds and a host of other jewels, watches, religious ornaments and pricey knickknacks.

Nearly all of the merchants are immigrants--from Iran, Armenia, Hong Kong, the Philippines, Israel and elsewhere.

Based on his meetings with other business community leaders, Peklar Pilavjian estimates that 95% or more of the merchants will board up and shut down--especially the “marts” that house merchants with tables full of expensive wares in plain sight.

Pilavjian is a diamond merchant himself, part owner of the St. Vincent Jewelry Center and an officer of the Armenian Jewelers’ Assn.

“The irony is that this was supposed to be like Christmas in the summer for us,” said Pilavjian, citing city officials’ promises that the convention would be a boon for local businesses.

“But it’s not,” he said. “This is like tax season.”

An immigrant from Lebanon, Pilavjian said he plans to keep one of the many entries to the jewelry center open, in case some merchants want to show their wares.

But a sampling of more than a dozen merchants at the St. Vincent mart showed that none plan to open. Nor will any jewels be sold at the Los Angeles Jewelry Center, where office manager Tess Mathews said the building will be closed for four days, as will the businesses of its 162 tenants.

“For security reasons, [we] have no choice,” Mathews said. “And besides, who will be coming, with all of the parking problems, the traffic congestion, the protesters?”

Pilavjian and the owners of some of the other huge complexes estimate that the losses will top $30 million for the week. That’s a conservative estimate, based on $1,000 a day in losses per merchant, or the cost of one relatively cheap diamond ring.

Pilavjian said merchants also are being hit by freeway ramp closures that make it hard for customers to get to the district.

Some merchants accused the police of not doing enough to guarantee their safety.

Others blamed city officials, particularly Councilwoman Jackie Goldberg, who used her political influence two months ago to persuade the council to establish Pershing Square as an official gathering site for potentially thousands of protesters.

That drew vehement protests from merchants and Los Angeles police officials, who said concentrating protesters in the tiny park near the jewelry district and the Biltmore Hotel, site of many convention activities, would create a security nightmare.

Last month the council rescinded its decision. But activists have warned that they plan to assemble at the historic park anyway, and a federal judge ordered the city to issue more protest and parade permits for the park and surrounding areas.

Police said publicly Tuesday that they expect to be able to protect all merchants and their businesses.

“The Police Department is absolutely committed to maintaining public safety and public order,” said Cmdr. David Kalish, an LAPD spokesman. “Obviously, these events have created some anxiety, but we are not encouraging businesses to close.”

Privately, some police conceded that they are bracing for trouble, at least from some professional agitators.

Goldberg said it is unfortunate that merchants plan to close. She has met several times with protesters and has been assured that no violence is planned, she said.

Even if protesters do become destructive, she said, they will probably attack “the large multinationals like Gap and so forth that were the targets” in Seattle.

“Certainly, the local jewelers aren’t going to be the target of anybody,” she said. “I’m sorry that they’re frightened. I wish it weren’t so. But I don’t think they’re in any danger.”

A few hardy merchants, in fact, said they plan to remain open.

“No, we’re not [closing],” said Bracy Luna of the Diamond Bazaar. “Why would we be worried? God is with us.”