Diamond Company Could Soon Enter Bankruptcy

A bankruptcy filing could be on the horizon for Eurostar Diamond Traders, according to media reports.

The Antwerp-based company requested protection from its creditors at the end of February, but the Antwerp Court of Appeal  rejected the request, Rapaport News reports.

Antwerp Corporate Court “will decide by early April whether to force it into bankruptcy,” according to the publication.

The raw-diamond polishing company owes about $500 million and has lost its De Beers sight, according to De Tijd, a Belgian newspaper.

Major creditors include ABN Amro, Bank of India, KBC Bank and Standard Chartered Bank, the Brussels Times reports.

The Court of Appeal wrote that Eurostar “doesn’t have a single marketable diamond” and “can no longer function normally.”