Moissanite jewelry manufacturer K&G Creations has filed a $50 million countersuit against moissanite manufacturer Charles & Colvard, according to a report in the Triangle Business Journal.

The lawsuit is in response to a $2.8 million suit filed by Charles & Colvard on June 16, claiming that K&G owes the Morrisville, N.C.-based company for purchases made under a manufacturing agreement that ended Dec. 31, 2007.

K&G claims that Charles & Colvard ruined K&G’s reputation and forced the company out of the moissanite business, the newspaper reports.

K&G was one of Charles & Colvard’s accounted for 11 percent of Charles & Colvard 2007 sales, the newspaper reports.

JCK