Jack Hasson sold, cleaned,
cut, appraised and consigned diamonds and other jewellery for the rich and famous
of Palm Beach County for years. Among his clients were golf greats Jack Nicklaus
and Greg Norman.
But prosecutors say Hasson
substituted fakes at most every turn. Norman and Nicklaus claim they were scammed,
and federal prosecutors want to call Norman as one of their first witnesses Tuesday,
Jan. 11.
Hasson was accused in a
nine-count fraud and money-laundering indictment of fleecing customers out of
$80 million and sweet-talking his customers with lies about doing business with
Elizabeth Taylor, Bill Gates, Steven Spielberg and the Sultan of Brunei.
A panel of 12 jurors and
one of four alternates was chosen today in the trial of the North Palm Beach
jeweller and longtime employee Clifford Sloan. Norman was to be called following
final jury selection and opening statements.
Attorneys offered a preview
of Norman's testimony today, saying he obtained an appraisal from the Harry Winston
jewellery store in New York on $358,000 in jewellery bought from Hasson. Confronted
by Norman, Hasson agreed to make restitution, said Assistant U.S. Attorney James
Hopkins.
In one instance, Norman
paid $48,875 for a brooch shaped like his shark trademark that was supposed to
be made of rare blue, orange, green, black and pink diamonds from South Africa,
according to court records. Hasson allegedly sold him cheap painted stones.
Nicklaus charged he complained
to Hasson about getting a fake stone in a $35,000 diamond and ruby ring, and
Hasson replaced it with another fake. US District Judge James Lawrence King has
not decided whether to allow Nicklaus as a witness.
The biggest loser among
Hasson's customers was Aben Johnson, former owner of WXON-TV in Detroit, who
bought jewel after jewel on Hasson's word that they were famous gems known as
"notable diamonds of the world." Johnson claims $60 million in losses on $80
million in purchases.
Johnson thought he bought
actress Loni Anderson's engagement ring, jewels from the Getty estate and the
collections of Dior and Carol Lombard, diamonds with names like the "Star of
Asia" and "China Red."
In many cases, prosecutors
say customers bought imitations. A 24-karat cubic zirconium that cost $141 was
dubbed Lombard's "Howeson Blue" and bought by Johnson for $1.5 million.
When sued by customers,
Hasson countersued for defamation and often settled for less than the customers'
losses on condition of confidentiality, which meant complaints about him never
spread, prosecutors said.
He also was accused of
replacing valuable stones with fake gems when jewellery was brought in for cleaning,
cutting, appraisal or consignment.
If convicted, Hasson could
face up to 65 years in prison and $162 million in fines, and Sloan faces up to
30 years in prison and $160 million in fines.