A London High Court ruling has dismissed a legal claim by Sheikh Hamad bin Abdullah Al Thani, the chief executive of Qatar Investment & Projects Development Holding (QIPCO), to enforce the purchase of the 70.21-carat Idol’s Eye diamond.
The case was brought against Elanus Holdings, a company representing the heirs of the late Sheikh Saud bin Mohammed Al Thani, a former Qatari culture minister and art collector.
Legal Dispute Over Ownership
The Idol’s Eye diamond, thought to have come from the Golconda mines in India, was purchased by Sheikh Saud in the early 2000s. Before his death in 2014, he lent it to QIPCO under an agreement that required Elanus Holdings’ approval for any sale.
The dispute arose over a 2020 letter sent by Elanus’ legal representatives, which QIPCO argued constituted an agreement to sell the diamond for $10 million. Elanus, however, maintained that the letter had been sent in error and that no binding agreement existed.
Court Ruling and Valuation
Judge Simon Birt ruled in favour of Elanus Holdings, stating that while Sheikh Saud’s family had explored a potential sale, there was no firm decision. “He had no more than a generalised intention to sell if the price was right,” Birt noted, adding that valuations alone did not establish a binding agreement.
The diamond’s valuation was disputed. QIPCO claimed a $10 million purchase price, while an expert in court valued it at around $27 million. Christie’s estimated it could reach $35 million at auction, depending on potential recutting.
Industry Context
The case illustrates the complexities of ownership disputes over historical diamonds, especially when multiple parties are involved. It also reinforces the importance of legally binding agreements in high-value transactions. Provenance continues to be a key factor in valuation, as shown by the differing appraisals of the Idol’s Eye.
With the case concluded, it remains to be seen whether Sheikh Saud’s family will offer the diamond for sale.
