Court Awards Forest Diamonds $750,000

A federal court has awarded Forest Diamonds $750,000 to be paid by the nephew of the diamond manufacturer’s former co-owner, and to cease doing business under a similar name and contact information.

Forest Diamonds said in a statement Monday that the U.S. District Court for the Southern District of New York ordered Aminov Diamonds, LLC. to transfer its phone and fax numbers, which were one digit different from Forest’s phone and fax numbers, to Forest Diamonds. Aminov Diamonds will also cease to do business under the name “Aminov Diamonds,” which is a Forest d/b/a, and will stop using the plaintiff’s customer database.

The court entered the confession of judgment against Aminov Diamonds approximately one month after Forest filed a motion for sanctions against both Aminov Diamonds LLC., and its principal, Yehuda Aminov—the nephew of Isaac Aminov, former co-owner of Forest Diamonds—for intentionally destroying evidence.

Shortly after Forest filed this motion, Yehuda Aminov filed for personal bankruptcy, thereby staying Forest’s action against him, Forest Diamonds said in the statement.

“This lawsuit was filed with a hope to accomplish three goals: protect our good name, protect our assets, and, of course, to receive compensation for the damages caused to our business,” Isaac Aminov said. “Considering the circumstances, I sincerely believe that the consent judgment we received is a big step toward accomplishing those goals. On a personal level, I get no satisfaction in knowing that my nephew (Yehuda Aminov), whom I have helped and trusted, had to be sued. With all that being said, I am happy to know that this chapter has ended.”

Joseph Totayev, president and owner of Forest Diamonds, added: “Of course I am pleased about the judgment; I think it speaks for itself. I thank all our customers and colleagues who supported us over the past thirty years and especially during these past two years. It is also very important to me to thank my wonderful staff at Forest, who was very patient facing some unjust situations due to the lawsuit.  Now we will be able to focus on moving our business towards even greater success. 

Stephen Wagner and Sari E. Kolatch, partners in of the New York law firm of Cohen Tauber Spievack & Wagner represented Forest in this action.