LONDON (Reuters) - Two branches of Qatar's royal family began their fight over a diamond worth millions of dollars at London's High Court on Monday (NASDAQ:MNDY), with a company run by a cousin of Qatar's Emir trying to enforce his alleged right to buy the 70-carat gemstone.
The dispute over the "Idol's Eye" diamond pits art collector Sheikh Hamad bin Abdullah Al Thani, cousin of Qatar's ruler Sheikh Tamim bin Hamad Al Thani, against the relatives of former culture minister Sheikh Saud bin Mohammed Al Thani.
Sheikh Saud, who was Qatar's minister of culture between 1997 and 2005, was one of the world's most prolific art collectors and bought the Idol's Eye diamond in the early 2000s.
He lent the diamond to QIPCO, whose chief executive is Sheikh Hamad bin Abdullah, shortly before his death in 2014.
The agreement gave QIPCO the option to buy the diamond with the consent of Elanus Holdings, a company ultimately linked to Sheikh Saud's relatives.
Elanus is ultimately owned by the Liechtenstein-based Al Thani Foundation, whose beneficiaries are Sheikh Saud's widow and three children.
The two sides disagree over how much the gem is worth.
QIPCO's lawyers say that a 2020 letter sent by the Al Thani Foundation's lawyer amounted to an agreement to sell the Idol's Eye diamond for $10 million and is asking the High Court to order Elanus to sell the gem to QIPCO.
Elanus, however, argues the letter was sent by mistake.
Elanus' lawyer Sa'ad Hossain said in court filings that Sheikh Saud's son Sheikh Hamad bin Saud Al Thani had "only sought to explore the possibility of a sale at the right price", but had not consulted with the foundation's other beneficiaries.
Hossain added that Elanus' diamond expert valued the gemstone at around $27 million, which QIPCO's lawyers said was an attempt to achieve a higher purchase price.