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Jewellery Authority rubs hands in glee as gem-of-a-land brings record earnings

  • What about the villagers, asks a local Pradeshiya Sabha UNP member
By Aanya Wipulasena

Beware of synthetic gems that are on sale with claims they were found in the recently auctioned gem deposit in Thammennawa, Kataragama, Gem and Jewellery Authority Chairman Prasad Galhena has warned.

Is it all there? Gem and Jewellery Authority officials check the lock of a case carrying the whopping Rs. 271 million
The bidding in progress at Katharagama Pradesheeya Sabah Auditorium. Pix by Krishan Jeewaka Jayaruk

He said the offers were being made just hours after a vein of gem ore illam of blue saphires was auctioned on Friday for Rs. 271 million. Mr. Galhena said the Authority made record earnings from the auction held the Katharagama Pradesheeya Sabah Auditorium, where more than 500 bidders mainly gem merchants from all over the country bid for 49 blocks of 2 ½ acres. The auction, held under tight security, began at 10 a.m. and went on for four hours.

Mr. Galhena said in addition, the Authority has provided laboratory facilities at a nominal fee for gem purchasers to ensure the quality of these gems. “We will also provide valuation facilities for the gems found in these blocks and hold an auction in a few months with local and international gem merchants in attendance,” Mr. Galhena said.

T.S.A Fernando, a gem merchant from Koswatta made the highest bid when he purchased a block of land for Rs. 22 million.Meanwhile, Gem and Jewellery Authority Deputy Director General Ajith Perera told the Sunday Times this was the first time a a gem bearing block was auctioned at such a high price.
“We earned an unprecedented income. We are optimistic and hopeful that the Gem and Jewellery industry will benefit from the gems we find in this area,” he said.

The gem ore was discovered accidentally when the soil was being dug up to construct the Katharagama-Lunugamvehera Road in the Thammannawa village. The area belonged to the Forest Conservation Department.

As soon as it was discovered the National Gem and Jewellery Authority sought permission from the Forest Conservation Department to mine in the area for precious stones for a year.

Meanwhile the accidental discovery resulted in a gem rush with hundreds of people flocking and demanding the rights to mine for gems in the area. This resulted in a court order that restricted access to the area and the closure of the road.

Experts say the majority of the gems found in the land were from the corundum family and it consists of well defined crystals of blue sapphire. Gemmologists of the National Gem and Jewellery Authority said most of these precious stones could be cut and polished without being subjected to heat treatment.
“ There were many problems in this area and the National Gem and Jewellery Authority has now decided to get involved to sort them out,” Mr Galhena explained.

He said as there was provision to give a certain amount to the local authority a certain per centage of the income earned from gem mining these blocks of land will be given accordingly. “We have separated the three blocks that we will give the villagers without auctioning them. We will also sell the gems we get from these blocks at an auction and of the net profit 70 per cent will be given to the local authority and the rest to the Gem and Jewellery Authority,” Mr. Galhena said.

However H.R.K. Roshan an UNP member of the Pradesheeya Sabha charged that in an auction outsiders will come and take away what rightfully belongs to the people. “Innocent villagers don’t get anything. At the auction everything will be taken away. Three blocks have been earmarked for the villagers, that is true but the problem is that this entire valuable block belongs to this village.

The villagers faced a lot of hardship and many were beaten up to protect what belongs to them,” he said.
Police spokesman Ajith Rohana said the security already in place in this area has been doubled, adding that during the recent gem rush the Lunugamvehera-Thammanawa road was closed from February 24-28.

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