S.A. Peck & Co. New Keeper of Diamonds Seized During Frankel Investigation

Chicago-based S.A. Peck & Co. has purchased diamonds from the United States Department of the Treasury that had been seized in 2001 from reclusive financier and criminal genius Martin Frankel, otherwise known as the “Fugitive Financier.”

Frankel hastily fled the United States in 1999 after federal and local law enforcement agencies discovered that he masterminded a scheme that siphoned more than $200 million from seven insurance companies. Because diamonds are exchangeable for cash anywhere in the world, Frankel fled with 814 loose diamonds that were worth millions of dollars.

After a worldwide manhunt, Frankel was captured in Hamburg, Germany in 2001. The diamonds were seized by the U.S. Government, and Frankel was extradited to the United States. He is currently awaiting sentencing, which is tentatively scheduled for Dec. 10.

S.A. Peck & Co. Executive Vice President and Diamond Buyer, Steve Slesinger, purchased a quantity of diamonds at the government auction in New York City for sale at S.A. Peck’s store in Chicago.

“When we were advised of the availability of these diamonds, we thought it was a great opportunity to offer the merchandise to our longstanding customers at attractive prices,” Slesinger commented.