New York busts $9 million diamond fraud

Ten suspects were arrested Wednesday, accused of orchestrating a multi-million-dollar diamond fraud conspiracy from New York that extended to India and Las Vegas, officials announced.

Based in Manhattan's diamond district, the suspects are accused of swindling wholesalers out of precious jewels by using bad checks and forged documents, and reselling them for more than $9 million.

The conspiracy allegedly defrauded a New York-based victim out of more than $2.4 million, four victims in Mumbai out of more than $7.4 million and conspired to defraud a jewelry merchant at a Las Vegas trade show.

Two other defendants remain at large.

Eleven of the defendants are Americans and one a citizen of Uzbekistan, lawfully entitled to live in the United States, prosecutors said.