A pearl farm in Myanmar, jointly run by a company with Canadian directors and a state-owned enterprise linked to the country’s military regime, has been uncovered through records obtained by CBC News. Belpearl, the company in question, operates across various locations including Toronto, Hong Kong, Singapore, Japan, and Myanmar. Within Myanmar, Belpearl Myanmar manages a pearl farm renowned for its prized South Sea golden pearls. These pearls are highly coveted for their unique deep-gold color and substantial size.
Despite the civil war and atrocities in Myanmar since 2021, including sanctions imposed by Canada and other Western nations, Belpearl continued its operations under a production-sharing agreement with the state-owned Myanmar Pearl Enterprise (MPE), which is under military control post-coup. The arrangement dictates that MPE receives 25% of the pearl harvest, while Belpearl Myanmar retains the remaining 75%. The pearls allocated to MPE are subsequently sold at state-run auctions.
The involvement of Canadian nationals, the Hajjar family, as directors and shareholders in Belpearl Myanmar and related entities, has raised concerns. Following pressure from CBC News, the Hajjars reportedly removed themselves as directors due to the escalating crisis. However, questions linger about their compliance with Canadian sanctions laws and the timing of their disassociation from the company.
The RCMP has been urged to investigate the Belpearl arrangement for potential violation of sanctions. Legal experts express differing opinions on the clarity of the case, with some asserting a breach of regulations due to ongoing dealings with a sanctioned entity. The complexity of tracing funds and proving violations presents challenges akin to past issues with blood diamonds prosecutions.
Belpearl denies any wrongdoing, stating that the Canadian shareholders acted within the legal framework and eventually divested their shares. The company emphasizes its adherence to international laws despite the complexities involved in disengaging from Myanmar operations. The Myanmar state-owned MPE remained silent on the matter when approached for comment.
A hidden camera investigation by CBC revealed the potential presence of Myanmar pearls in Canadian markets, raising questions about the integrity of the supply chain. Belpearl Toronto, a major importer of pearls from Hong Kong, denied importing Myanmar pearls post-coup. Subsequent changes to their website disclaimer occurred following CBC’s inquiries regarding the sourcing of Myanmar pearls in Canada.
