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<P align="right"><FONT size="2">As filed with the Securities and Exchange Commission on January&nbsp;8, 2004<BR>
Registration No.&nbsp;333-______</FONT>
<P>
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<P align="center"><FONT size="4"><B>SECURITIES AND EXCHANGE
COMMISSION</B></FONT>

<DIV align="center"><FONT size="3"><B>Washington, D.C. 20549</B></FONT></DIV>
<P align="center"><HR align="center" size="1" width="20%" noshade>
<P align="center"><FONT size="5"><B>FORM S-8</B>
</FONT>

<DIV align="center"><FONT size="3"><B>REGISTRATION STATEMENT<BR>
UNDER<BR>
THE SECURITIES ACT OF 1933</B>
</FONT></DIV>
<P align="center"><HR align="center" size="1" width="20%" noshade>
<P align="center"><FONT size="6"><B>LJ INTERNATIONAL INC.</B>
</FONT>

<DIV align="center"><HR align="center" size="1" width="70%" noshade></DIV>
<DIV align="center"><FONT size="2">(Exact name of Registrant as specified in its charter)
</FONT></DIV>
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    <TD width="50%">&nbsp;</TD>
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    <TD width="45%">&nbsp;</TD>
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    <TD align="center" valign="top"><FONT size="2"><B>British Virgin Islands</B></FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="center" valign="top"><FONT size="2">
<B>Not Applicable</B></FONT></TD>
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    <TD align="center" valign="top"><FONT size="2">(State or other jurisdiction of<BR>incorporation or organization)</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="center" valign="top"><FONT size="2">
(I.R.S. Employer Identification No.)</FONT></TD>
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<P align="center"><FONT size="2"><B>
Unit #12, 12/F, Block A<BR>
Focal Industrial Centre<BR>
21 Man Lok Street<BR>
Hung Hom, Kowloon, Hong Kong</B>
</FONT>


<DIV align="center"><HR align="center" size="1" width="42%" noshade></DIV>
<DIV align="center"><FONT size="2">(Address of principal executive offices) (zip code)
</FONT></DIV>
<P align="center"><FONT size="2"><B>LJ International Inc.<BR>
2003 Stock Compensation Plan</B>
</FONT>

<DIV align="center"><HR align="center" size="1" width="30%" noshade></DIV>
<DIV align="center"><FONT size="2">(Full title of the plan)
</FONT></DIV>
<P align="center"><FONT size="2"><B>Andrew N. Bernstein, Esq.<BR>
Andrew N. Bernstein, P.C.<BR>
5445 DTC Parkway, Suite&nbsp;520<BR>
Greenwood Village, Colorado 80111</B>
</FONT>

<DIV align="center"><HR align="center" size="1" width="38%" noshade></DIV>
<DIV align="center"><FONT size="2">(Name and address of agent for service)
</FONT></DIV>
<P align="center"><FONT size="2"><B>(303)&nbsp;770-7131</B>
</FONT>

<DIV align="center"><HR align="center" size="1" width="40%" noshade></DIV>
<DIV align="center"><FONT size="2">(Telephone number, including area code, of agent for service)
</FONT></DIV>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Approximate date of commencement of proposed sale to the public: </B>From
time to time after the Registration Statement becomes effective.
</FONT>
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<P align="center"><FONT size="2">Exhibit&nbsp;Index Begins at Page 17
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<P align="center"><FONT size="2"><B>CALCULATION OF REGISTRATION FEE</B>
</FONT>

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    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>Proposed</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>Proposed</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
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    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>maximum</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>maximum</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
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<TR valign="bottom">
    <TD nowrap align="center"><FONT size="1"><B>Title of</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>offering</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>aggregate</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>Amount of</B></FONT></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><FONT size="1"><B>securities to be</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>Amount to be</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>price per</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>offering</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>registration</B></FONT></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><FONT size="1"><B>registered</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>registered (1)</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>share</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>price</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="3"><FONT size="1"><B>fee</B></FONT></TD>
</TR>
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    <TD nowrap align="center"><HR size="1" noshade></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD colspan="3"><HR size="1" noshade></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD colspan="3"><HR size="1" noshade></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD colspan="3"><HR size="1" noshade></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD colspan="3"><HR size="1" noshade></TD>
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    <TD><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">Common Stock,
$0.01 par value</FONT></DIV></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD colspan="3" align="center"><FONT size="2">4,000,000 shares</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD nowrap align="right"><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right"><FONT size="2">(2</FONT></TD>
    <TD nowrap><FONT size="2">)</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD nowrap align="right"><FONT size="2">$</FONT></TD>
    <TD align="right"><FONT size="2">13,026,000</FONT></TD>
    <TD nowrap><FONT size="2">(2)</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD nowrap align="right"><FONT size="2">$</FONT></TD>
    <TD align="right"><FONT size="2">287.06</FONT></TD>
    <TD nowrap><FONT size="2">(3)</FONT></TD>
</TR>
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<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to Rule&nbsp;416, this Registration Statement covers any
additional shares of Common Stock (&#147;shares&#148;) which become issuable under the
Plan set forth herein by reason of any stock dividend, stock split,
recapitalization or any other similar transaction without receipt of
consideration which results in an increase in the number of shares outstanding.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to Rule&nbsp;457(h) and 457(c), the offering price per share, the
aggregate offering price and the amount of the filing fee were computed upon
the bases of:
</FONT>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
    <TD width="1%" align="left" nowrap><FONT size="2">&#149;</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="96%"><FONT size="2">the price at which 1,128,000 outstanding options may be exercised (an
exercise price of $2.00 per share, resulting in an aggregate offering
price of $2,256,000); and</FONT></TD>
</TR>
<TR>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
    <TD width="1%" align="left" nowrap><FONT size="2">&#149;</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="96%"><FONT size="2">the closing price of the Common Stock within five business days prior
to the date of filing of the Registration Statement, with respect to
the authorized but unissued remaining options (2,872,000 shares at
$3.75 per share, aggregating $10,770,000).</FONT></TD>
</TR>
</TABLE>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Registrant initially filed a Registration Statement on Form&nbsp;F-1
(Registration No.&nbsp;333-90016) on June&nbsp;7, 2002 (the &#147;Form&nbsp;F-1&#148;), to register
certain offers and sales of its common stock as set forth in that Registration
Statement. Subsequently, the Registrant withdrew the Form&nbsp;F-1 on August&nbsp;18,
2003. The Registrant is filing this Registration Statement on Form&nbsp;S-8 to
register the securities indicated on this cover page. A registration fee of
$969.38 was paid in connection with the filing of the Form&nbsp;F-1. Pursuant to
Rule&nbsp;457(p), the aggregate total dollar amount of the filing fee associated
with the unsold common stock under the Form&nbsp;F-1 has been offset by the filing
fee in the amount of $202.63 for the Registration Statement on Form&nbsp;F-3, No.
333-110323, filed on November&nbsp;7, 2003. The remaining balance of $766.75 is
being further offset by the $1,053.81 filing fee due for this Registration
Statement, resulting in a current registration fee payable of $287.06.
</FONT>
<P align="center"><FONT size="2">ii</FONT>
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<P align="center"><FONT size="2"><B>PART I</B>
</FONT>

<P align="center"><FONT size="2"><B>INFORMATION REQUIRED IN THE SECTION 10(a) PROSPECTUS</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Note to Part I of Form&nbsp;S-8 and Rule
428(b)(1) of the Rules under the Securities Act of 1933, as amended, the
information required by Part I of Form&nbsp;S-8 is incorporated by reference in the
Reoffer Prospectus which follows. The Reoffer Prospectus, together with the
documents incorporated by reference pursuant to Item&nbsp;3 of Part II of this
Registration Statement, constitutes the Section&nbsp;10(a) Prospectus.
</FONT>
<P align="center"><FONT size="2"><B>REOFFER PROSPECTUS</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The material which follows, up to but not including the pages beginning
Part II of this Registration Statement, constitutes a prospectus prepared in
accordance with the applicable requirements of Part I of Form&nbsp;S-3 and General
Instruction C to Form&nbsp;S-8, to be used in connection with resales of securities
acquired under the Registrant&#146;s 2003 Stock Compensation Plan by affiliates of
the Registrant, as defined in Rule&nbsp;405 under the Securities Act of 1933, as
amended.
</FONT>
<P align="center"><FONT size="2">iii</FONT>
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<P align="right"><FONT size="2"><B>REOFFER PROSPECTUS</B></FONT>

<P align="center"><FONT size="2"><B>4,000,000 SHARES<BR>
COMMON STOCK</B>
</FONT>

<P align="center"><FONT size="2"><B>LJ INTERNATIONAL INC.</B>
</FONT>

<P align="center"><FONT size="2"><B>2003 STOCK COMPENSATION PLAN</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We are registering on behalf of our employees, officers, directors and
consultants up to 4,000,000 shares of our common stock purchasable by them
pursuant to common stock options granted under our 2003 Stock Compensation
Plan. As of this date, 1,128,000 options were issued under the Plan and are
currently outstanding.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This prospectus will be used by persons who are our &#147;affiliates&#148; to resell
shares purchased by them under the Plan. We will receive no part of the
proceeds of any such sales, although we will receive the exercise price for the
stock options.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>NEITHER THE SECURITIES AND EXCHANGE COMMISSION NOR ANY STATE SECURITIES
COMMISSION HAS APPROVED OR DISAPPROVED OF THE SECURITIES OR PASSED UPON THE
ACCURACY OR ADEQUACY OF THIS PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS
A CRIMINAL OFFENSE.</B>
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No person is authorized to give any information or to make any
representation regarding the securities we are offering and investors should
not rely on any such information. The information provided in the prospectus
is as of this date only.
</FONT>
<P align="center"><FONT size="2">The date of this prospectus is January&nbsp;8, 2004.
</FONT>

<P align="center"><FONT size="2">&nbsp;</FONT>
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<A name="toc"><DIV align="CENTER" style="page-break-before:always"><U><B>TABLE OF CONTENTS</B></U></DIV></A>

<P><CENTER>
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<TR><TD colspan="9"><A HREF="#000">INTRODUCTION</A></TD></TR>
<TR><TD colspan="9"><A HREF="#001">SELLING STOCKHOLDERS</A></TD></TR>
<TR><TD colspan="9"><A HREF="#002">METHOD OF SALE</A></TD></TR>
<TR><TD colspan="9"><A HREF="#003">SEC POSITION REGARDING INDEMNIFICATION</A></TD></TR>
<TR><TD colspan="9"><A HREF="#004">DESCRIPTION OF THE PLAN</A></TD></TR>
<TR><TD colspan="9"><A HREF="#005">APPLICABLE SECURITIES LAW RESTRICTIONS</A></TD></TR>
<TR><TD colspan="9"><A HREF="#006">TAX CONSEQUENCES</A></TD></TR>
<TR><TD colspan="9"><A HREF="#007">LEGAL MATTERS</A></TD></TR>
<TR><TD colspan="9"><A HREF="#008">EXPERTS</A></TD></TR>
<TR><TD colspan="9"><A HREF="#009">SIGNATURES</A></TD></TR>
<TR><TD colspan="9"><A HREF="#010">EXHIBIT INDEX</A></TD></TR>
<TR><TD colspan="9"><A HREF="d11676exv4w1.htm">EX-4.1 2003 Stock Compensation Plan</A></TD></TR>
<TR><TD colspan="9"><A HREF="d11676exv5w1.htm">EX-5.1 Opinion/Consent of Andrew N. Bernstein P.C.</A></TD></TR>
<TR><TD colspan="9"><A HREF="d11676exv23w1.htm">EX-23.1 Consent of Moores Rowland Mazars</A></TD></TR>
</TABLE>
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<P align="center"><FONT size="2"><B>AVAILABLE INFORMATION</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We are subject to the informational requirements of the Securities
Exchange Act of 1934, as amended, as they apply to a foreign private issuer,
and we file reports and other information with the Securities and Exchange
Commission. Copies of such material can be obtained from the Public Reference
Section of the Commission, 450 Fifth Street, N.W., Washington, D.C. 20549 at
prescribed rates. The SEC maintains an Internet site that contains reports,
proxy and information statements, and other information regarding issuers that
file electronically with the SEC. The address of that site is
http://www.sec.gov. Our internet address is http://www.ljintl.com. Our common
stock is traded on the Nasdaq National Market under the symbol &#147;JADE.&#148;
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We furnish annual reports to our shareholders which include audited
financial statements. We may furnish such other reports as may be authorized,
from time to time, by our board of directors.
</FONT>
<P align="center"><FONT size="2"><B>INCORPORATION BY REFERENCE</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certain documents have been incorporated by reference into this
prospectus, either in whole or in part. We will provide without charge to each
person to whom a prospectus is delivered, upon written or oral request, (i)&nbsp;a
copy of the information that has been incorporated by reference (not including
exhibits to the information unless such exhibits are specifically incorporated
by reference into the information), and (ii)&nbsp;a copy of all documents and
information required to be delivered to our employees pursuant to Rule&nbsp;428(b).
Requests for such information shall be addressed to us at LJ International
Inc., Unit #12, 12/F, Block A, Focal Industrial Centre, 21 Man Lok Street, Hung
Hom, Kowloon, Hong Kong, telephone: (011)&nbsp;852-2764-3622.
</FONT>
<P align="center"><FONT size="2"><B>TABLE OF CONTENTS</B>
</FONT>

<CENTER>
<TABLE cellspacing="0" border="0" cellpadding="0" width="55%">
<TR valign="bottom">
    <TD width="92%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR valign="bottom" bgcolor="#eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">Introduction</FONT></DIV></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right"><FONT size="2">3</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">Selling Stockholders</FONT></DIV></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right"><FONT size="2">3</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom" bgcolor="#eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">Method of Sale</FONT></DIV></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right"><FONT size="2">4</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">SEC Position Regarding Indemnification</FONT></DIV></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right"><FONT size="2">4</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom" bgcolor="#eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">Description of the Plan</FONT></DIV></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right"><FONT size="2">4</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">Applicable Securities Law Restrictions</FONT></DIV></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right"><FONT size="2">6</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom" bgcolor="#eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">Tax Consequences</FONT></DIV></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right"><FONT size="2">6</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>


<TR valign="bottom">
    <TD><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">Legal Matters</FONT></DIV></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right"><FONT size="2">7</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom" bgcolor="#eeeeee">
    <TD><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">Experts</FONT></DIV></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right"><FONT size="2">7</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
</TABLE>
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<P align="center"><FONT size="2">2</FONT>
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<DIV align="left"><A NAME="000"></A></DIV>
<P align="center"><FONT size="2"><B>INTRODUCTION</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We are a totally vertically integrated company that designs, brands,
markets and distributes a complete range of fine jewelry. While we specialize
in the semi-precious jewelry segment, we also offer high-end pieces set in
yellow gold, white gold, platinum or sterling silver and adorned with
semi-precious stones, diamonds, pearls and precious stones. We distribute
mainly to fine jewelers, department stores, national jewelry chains and
electronic and specialty retailers throughout North America and Western Europe.
Our product lines incorporate all major categories sought by major retailers,
including earrings, necklaces, pendants, rings and bracelets.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We believe that our vertically integrated structure provides significant
advantages over our competitors. All profits from value added processes are
captured internally, rather than shared with third party manufacturers. This
results in very competitive pricing for the retailer and enhanced profits for
us. Innovative processes in stone cutting and production further enhance our
competitive position.
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We employ an international design team and all of our designs and
merchandising strategies are proprietary. The exclusive and innovative
concepts that we create offer brand potential. Our primary marketing focus has
been in North America where we have sold directly to certain high volume
customers that need specialized product development services, and through a
marketing relationship with International Jewelry Connection (IJC)&nbsp;for those
customers that need higher levels of service and training.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We are located at Unit #12, 12/F, Block A, Focal Industrial Centre, 21 Man
Lok Street, Hung Hom, Kowloon, Hong Kong, telephone: 011-852-2764-3622.
</FONT>
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<DIV align="left"><A NAME="001"></A></DIV>
<P align="center"><FONT size="2"><B>SELLING STOCKHOLDERS</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This prospectus covers possible sales by our executive officers,
directors, consultants and employees of shares they acquire through exercise of
options granted under our 2003 Stock Compensation Plan. The names of our
affiliates who may be Selling Stockholders from time to time are listed below,
along with the number of shares of common stock to be offered for sale. The
names of other affiliates who may offer shares for resale in the future, along
with the number of shares which may be sold by each affiliate from time to
time, will be updated in supplements to this prospectus, which will be filed
with the Commission in accordance with Rule&nbsp;424(b) under the Securities Act.
All Selling Stockholders are executive officers and/or directors. The address
of each Selling Stockholder is the same as our address. All shares listed
below for sale represent shares issuable upon exercise of options granted under
the Plan.
</FONT>
<P align="center"><FONT size="2">3</FONT>
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<CENTER>
<TABLE cellspacing="0" border="0" cellpadding="0" width="55%">
<TR valign="bottom">
    <TD width="65%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="12%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><FONT size="1"><B>Name of Selling Stockholder</B></FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD nowrap align="center" colspan="5"><FONT size="1"><B>Maximum Number of Shares Which May<BR>Be Sold Upon Exercise of Options</B></FONT></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><HR size="1" noshade></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>

    <TD colspan="4"><HR size="1" noshade></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><FONT size="2">AU Ka Man</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD nowrap align="right" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right" valign="top"><FONT size="2">
150,000</FONT></TD>
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">NG Hon Tak Ringo</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD nowrap align="right" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right" valign="top"><FONT size="2">
150,000</FONT></TD>
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">YUE Po Yee Elsa</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD nowrap align="right" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD align="right" valign="top"><FONT size="2">
16,000</FONT></TD>
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>
</TABLE>
</CENTER>
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<DIV align="left"><A NAME="002"></A></DIV>
<P align="center"><FONT size="2"><B>METHOD OF SALE</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Sales of the shares offered by this prospectus will be made on The Nasdaq
National Market, where our common stock is listed for trading, in other markets
where our common stock may be traded, or in negotiated transactions. Sales
will generally involve payment of customary brokers&#146; commissions by the Selling
Stockholders. There is no present plan of distribution.
</FONT>
<!-- link1 "SEC POSITION REGARDING INDEMNIFICATION" -->
<DIV align="left"><A NAME="003"></A></DIV>
<P align="center"><FONT size="2"><B>SEC POSITION REGARDING INDEMNIFICATION</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our Memorandum of Association and Articles of Association provide for
indemnification of officers and directors, among other things, in instances in
which they acted in good faith and in a manner they reasonably believed to be
in, or not opposed to, our best interests and in which, with respect to
criminal proceedings, they had no reasonable cause to believe their conduct was
unlawful.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Insofar as indemnification for liabilities arising under the Securities
Act may be permitted to our directors, officers or persons controlling us under
the provisions described above, we have been informed that, in the opinion of
the Commission, indemnification is against public policy as expressed in that
Act and is therefore unenforceable.
</FONT>
<!-- link1 "DESCRIPTION OF THE PLAN" -->
<DIV align="left"><A NAME="004"></A></DIV>
<P align="center"><FONT size="2"><B>DESCRIPTION OF THE PLAN</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our board of directors and our shareholders have adopted and approved the
Plan. Options granted pursuant to the Plan constitute either incentive stock
options within the meaning of Section&nbsp;422 of the Internal Revenue Code of 1986,
as amended (the Code), or options which constitute nonqualified options at the
time of issuance of such options. The Plan provides that incentive stock
options and/or non-qualified stock options may be granted to our officers,
directors, employees and advisors selected by our Compensation Committee. A
total of 4,000,000 shares of common stock are authorized and reserved for
issuance under the Plan, subject to adjustment to reflect changes in our
capitalization in the case of a stock split, stock dividend or similar event.
</FONT>
<P align="center"><FONT size="2">4</FONT>
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<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Plan is administered by our Compensation Committee which has the sole
authority to interpret the Plan and to make all determinations necessary or
advisable for administering the Plan, including but not limited to:
</FONT>
<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
    <TD width="1%" align="left" nowrap><FONT size="2">&#149;</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="96%"><FONT size="2">who shall be granted options under the Plan;</FONT></TD>
</TR>
<TR>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
    <TD width="1%" align="left" nowrap><FONT size="2">&#149;</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="96%"><FONT size="2">the term of each option;</FONT></TD>
</TR>
<TR>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
    <TD width="1%" align="left" nowrap><FONT size="2">&#149;</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="96%"><FONT size="2">the number of shares covered by such option;</FONT></TD>
</TR>
<TR>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
    <TD width="1%" align="left" nowrap><FONT size="2">&#149;</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="96%"><FONT size="2">whether the option shall constitute an incentive option or a nonqualified option;</FONT></TD>
</TR>
<TR>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
    <TD width="1%" align="left" nowrap><FONT size="2">&#149;</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="96%"><FONT size="2">the exercise price for the purchase of the shares covered by the option;</FONT></TD>
</TR>
<TR>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
    <TD width="1%" align="left" nowrap><FONT size="2">&#149;</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="96%"><FONT size="2">the period during which the option may be exercised;</FONT></TD>
</TR>
<TR>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
    <TD width="1%" align="left" nowrap><FONT size="2">&#149;</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="96%"><FONT size="2">whether the right to purchase the number of shares covered by the option shall be fully vested on issuance of the option so
that such shares may be purchased in full at one time or whether the right to purchase such shares shall become vested over
a period of time so that such shares may only be purchased in installments; and</FONT></TD>
</TR>
<TR>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
    <TD width="1%" align="left" nowrap><FONT size="2">&#149;</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="96%"><FONT size="2">the time or times at which the options shall be granted.</FONT></TD>
</TR>
</TABLE>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except in the case of disability or death, no option shall be exercisable
after an optionee who is an employee ceases to be employed by the Company;
provided, however, the Compensation Committee has the right to extend the
exercise period following the date of termination of such optionee&#146;s
employment. If an optionee&#146;s employment is terminated by reason of death or
disability, the Compensation Committee may extend the option term following the
date of termination of the optionee&#146;s employment. Upon the exercise of the
option, the exercise price must be paid in full either in cash, shares of our
common stock or a combination.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If any option to purchase reserved shares shall not be exercised for any
reason or if such option to purchase shall terminate as provided by the Plan,
such shares which have not been so purchased shall again become available for
the purposes of the Plan unless the Plan shall have been terminated.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The provisions of the Federal Employee Retirement Income Security Act of
1974 do not apply to the Plan. Shares issuable upon exercise of options will
not be purchased in open market transactions but will be issued by us from
authorized shares. Shares issuable under the Plan may be sold in the open
market, without restrictions, as free trading securities. There are no assets
administered under the Plan and, accordingly, no investment information is
furnished.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No options may be assigned, transferred, hypothecated or pledged by the
option holder except by will, the laws of intestate succession or as permitted
by the Commission. No person may create a lien on any securities under the
Plan, except by operation of law. However, there are no restrictions on the
resale of the shares underlying the options.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Plan will remain in effect until June&nbsp;30, 2013. Additional
information concerning the Plan may be obtained from us at our address and
telephone number.
</FONT>
<P align="center"><FONT size="2">5</FONT>
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<!-- link1 "APPLICABLE SECURITIES LAW RESTRICTIONS" -->
<DIV align="left"><A NAME="005"></A></DIV>
<P align="center"><FONT size="2"><B>APPLICABLE SECURITIES LAW RESTRICTIONS</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the optionee is deemed to be an &#147;affiliate&#148; (as that term is defined
under the Securities Act), the resale of the shares purchased upon exercise of
options covered hereby may be subject to certain restrictions and requirements,
including compliance with the provisions of Rule&nbsp;144 promulgated under the
Securities Act.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the requirements imposed by the Securities Act, the
antifraud provisions of the Exchange Act and the rules thereunder (including
Rule&nbsp;10b-5) are applicable to any sale of shares acquired pursuant to the Plan.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Up to 4,000,000 shares may be issued under the Plan. We have authorized
100,000,000 shares of common stock, of which 9,408,006 shares are outstanding
as of October&nbsp;17, 2003. Shares of common stock outstanding are, and those to
be issued upon exercise of options will be, fully paid and nonassessable, and
each share of common stock is entitled to one vote at all shareholders&#146;
meetings. All shares are equal to each other with respect to lien rights,
liquidation rights and dividend rights. There are no preemptive rights to
purchase additional shares by virtue of the fact that a person is one of our
shareholders. Shareholders do not have the right to cumulate their votes for
the election of directors.
</FONT>
<!-- link1 "TAX CONSEQUENCES" -->
<DIV align="left"><A NAME="006"></A></DIV>
<P align="center"><FONT size="2"><B>TAX CONSEQUENCES</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have been advised that the United States federal income tax
consequences of the Plan to us and the optionees, and possible exercise of
options granted under the Plan, will depend upon future circumstances and
possible changes in the tax laws. <B>The following summary discussion addresses
certain United States federal income tax consequences of the Plan. This
discussion does not address all of the tax consequences that may be applicable
to any particular optionee or to us. In addition, this discussion does not
address foreign, state, or local taxes, nor does it address federal taxes other
than federal income tax. This discussion is based upon applicable statutes,
regulations, case law, administrative interpretations and judicial decisions in
effect as of the date of this prospectus.</B>
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The income tax treatment of nonstatutory options is governed by &#167;83 of the
Code. This section basically provides that if an option has a readily
ascertainable fair market value when granted, then the optionee must recognize
ordinary income at the time of grant but not at the time of exercise or
disposal; if an option does not have a readily ascertainable fair market value
when granted, the optionee must recognize ordinary income at the time of its
exercise or disposal of the option but not at the time of its grant. We will
receive a corresponding compensation deduction for the amount included by the
optionee as income in the same year that the optionee includes such amount as
income. Consequently, whether a nonstatutory option has a readily
ascertainable fair market value at grant will determine whether the grant or
the exercise of the nonstatutory
</FONT>
<P align="center"><FONT size="2">6</FONT>
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<P align="left"><FONT size="2">option is the taxable event for the optionee who rendered the services for
which the option was granted.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No tax consequences result from the granting of an incentive stock option
or from the exercise of an incentive stock option by the employee. In
addition, the employer generally will not be allowed a business expense
deduction with respect to an incentive stock option unless the employee
disposes of the stock prior to the required holding period. The employee will
be taxed at capital gain rates when he sells stock acquired under an incentive
stock option plan, provided he has not disposed of the stock for at least two
years from the date the option was granted to him and he has held the stock
itself at least one year after the stock was transferred to him. If the
foregoing holding period rules are not satisfied, the gain that would have been
realized at the time the option was exercised is included as ordinary income in
the year of the disqualifying sale. For this purpose, the gain is equal to the
lesser of (i)&nbsp;the fair market value of the stock on the date of exercise over
the option price of the stock, or (ii)&nbsp;the amount realized on disposition over
the adjusted basis of the stock. The employer is allowed to deduct a
corresponding amount as a business deduction at the same time the employee is
required to recognize the ordinary income arising from the early disposition.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding the preceding, when calculating income for alternative
minimum tax purposes, the favorable tax treatment of &#167;421(a) is disregarded and
the bargain purchase element (that is, the spread between the option price and
the fair market value of the option stock at exercise) of the incentive stock
option will be considered as part of the taxpayer&#146;s alternative minimum taxable
income.
</FONT>
<!-- link1 "LEGAL MATTERS" -->
<DIV align="left"><A NAME="007"></A></DIV>
<P align="center"><FONT size="2"><B>LEGAL MATTERS</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The validity of the shares offered hereby will be passed on for us by
Andrew N. Bernstein, P.C., 5445 DTC Parkway, Suite&nbsp;520, Greenwood Village,
Colorado 80111. Andrew N. Bernstein, Esq., the sole shareholder of Andrew N.
Bernstein, P.C., owns options to purchase 100,000 shares under our 1998 Plan.
</FONT>
<!-- link1 "EXPERTS" -->
<DIV align="left"><A NAME="008"></A></DIV>
<P align="center"><FONT size="2"><B>EXPERTS</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our audited consolidated financial statements as of April&nbsp;30, 2001 and
2002 and December&nbsp;31, 2002 and for each of the three years ended April&nbsp;30, 2002
and the eight months ended December&nbsp;31, 2002, have been incorporated by
reference in this prospectus in reliance upon the report of Moores Rowland,
Hong Kong, independent auditors, incorporated by reference herein, and upon the
authority of said firm as experts in accounting and auditing. Moores Rowland,
Hong Kong merged with Mazars, Hong Kong on October&nbsp;1, 2003 and are now
practicing under the name of Moores Rowland Mazars.
</FONT>
<P align="center"><FONT size="2">7</FONT>
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<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our future financial statements and reports thereon of Moores Rowland
Mazars, also will be incorporated by reference in this prospectus in reliance
upon the authority of that firm as experts in giving those reports to the
extent said firm has audited those financial statements and consented to the
use of their reports thereon.
</FONT>
<P align="center"><FONT size="2">8</FONT>
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<P align="center"><FONT size="2"><B>PART II</B>
</FONT>

<P align="center"><FONT size="2"><B>INFORMATION NOT REQUIRED IN PROSPECTUS</B>
</FONT>

<P align="left"><FONT size="2"><B>Item&nbsp;3. Incorporation of Documents by Reference</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Registrant hereby incorporates by reference in this Registration
Statement the following documents previously filed with the Commission:
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp; The Registrant&#146;s Annual Report on Form&nbsp;20-F for the fiscal year ended
December&nbsp;31, 2002 (including its audited financial statements for the years
ended April&nbsp;30, 2001 and 2002 and December&nbsp;31, 2002, together with the report
of independent public accountants) filed pursuant to the Exchange Act;
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp; Each of the Registrant&#146;s Reports on Form&nbsp;6-K filed since the date of
filing of our Annual Report on Form&nbsp;20-F for the fiscal year ended December&nbsp;31,
2002;
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp; The Registrant&#146;s definitive Proxy Statement for the Annual Meeting of
Shareholders of the Company held December&nbsp;5, 2003;
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp; The description of the common stock that is contained in the
Registrant&#146;s Registration Statement on Form&nbsp;8-A under the Exchange Act (File
No.&nbsp;0-29620) and its Registration Statement on Form&nbsp;F-1 under the Securities
Act (Registration No.&nbsp;333-7912), including any amendments or reports filed for
the purpose of updating such descriptions; and
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp; All subsequent reports filed pursuant to Section&nbsp;13(a) or 15(d) of the
Exchange Act.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All reports and definitive proxy or information statements filed by the
Registrant pursuant to Section&nbsp;13(a), 13(c), 14 or 15(d) of the Exchange Act
after the date of this Registration Statement and prior to the filing of a
post-effective amendment which indicates that all securities offered hereby
have been sold or which deregisters all securities then remaining unsold at the
time of such amendment will be deemed to be incorporated by reference into this
Registration Statement and to be a part hereof from the date of filing of such
documents. Any statement contained in a document incorporated or deemed to be
incorporated by reference herein shall be deemed to be modified or superseded
for purposes of this Registration Statement to the extent that a statement
contained herein or in any other subsequently filed document which also is or
is deemed to be incorporated by reference herein modifies or supersedes such
statement. Any such statement so modified or superseded shall not be deemed,
except as so modified or superseded, to constitute a part of this Registration
Statement.
</FONT>
<P align="left"><FONT size="2"><B>Item&nbsp;4. Description of Securities</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not applicable.
</FONT>
<P align="center"><FONT size="2">II-1</FONT>
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<P align="left"><FONT size="2"><B>Item&nbsp;5. Interests of Named Experts and Counsel</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Andrew N. Bernstein, Esq., the sole shareholder of Andrew N. Bernstein,
P.C. owns 100,000 options issued under the 1998 Plan. He received the options
in consideration for legal services previously rendered and to be rendered in
the future, excluding any services which have been, or may in the future be,
rendered relating to capital raising efforts of the Company. Andrew N.
Bernstein, P.C. has rendered an opinion in connection with the shares being
registered hereunder.
</FONT>
<P align="left"><FONT size="2"><B>Item&nbsp;6. Indemnification of Directors and Officers</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As in most United States jurisdictions, the board of directors of a
British Virgin Islands company is charged with the management and affairs of
the company, and subject to any limitations to the contrary in the Memorandum
of Association of the Company, the Board of Directors is entrusted with the
power to manage the business and affairs of the Company. In most United States
jurisdictions, directors owe a fiduciary duty to the company and its
shareholders, including a duty of care, pursuant to which directors must
properly apprise themselves of all reasonably available information, and a duty
of loyalty, pursuant to which they must protect the interests of the company
and refrain from conduct that injures the company or its shareholders or that
deprives the company or its shareholders of any profit or advantage. Many
United States jurisdictions have enacted various statutory provisions which
permit the monetary liability of directors to be eliminated or limited. Under
British Virgin Islands law, liability of a director to the company is basically
limited to cases of wilful malfeasance in the performance of his duties or to
cases where the director has not acted honestly and in good faith and with a
view to the best interests of the company. However, under its Memorandum of
Association, the Company is authorized to indemnify any person who is made or
threatened to be made a party to a legal or administrative proceeding by virtue
of being a director, officer or liquidator of the Company, provided such person
acted honestly and in good faith and with a view to the best interests of the
Company and, in the case of a criminal proceeding, such person had no
reasonable cause to believe that his conduct was unlawful. The Company&#146;s
Memorandum of Association also permits the Company to indemnify any director,
officer or liquidator of the Company who was successful in any proceeding
against expenses and judgments, fines and amounts paid in settlement and
reasonably incurred in connection with the proceeding, where such person met
the standard of conduct described in the preceding sentence.
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company has provisions in its Memorandum of Association that insure or
indemnify, to the full extent allowed by the laws of the Territory of the
British Virgin Islands, directors, officers, employees, agents or persons
serving in similar capacities in other enterprises at the request of the
Company.
</FONT>
<P align="left"><FONT size="2"><B>Item&nbsp;7. Exemption from Registration Claimed</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not applicable.
</FONT>
<P align="center"><FONT size="2">II-2</FONT>
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<P align="left"><FONT size="2"><B>Item&nbsp;8. Exhibits</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following documents are filed as exhibits to this Registration
Statement.
</FONT>
<CENTER>
<TABLE cellspacing="0" border="0" cellpadding="0" width="97%">
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="77%">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><FONT size="1"><B>Exhibit</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><FONT size="1"><B>Number</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center"><FONT size="1"><B>Description of Exhibit</B></FONT></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><HR size="1" noshade></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center"><HR size="1" noshade></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;&nbsp;4.1</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
&#151;
</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">2003 Stock Compensation Plan of LJ International Inc.</FONT></TD>
</TR>


<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;&nbsp;5.1</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
&#151;
</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">Opinion of Andrew N. Bernstein, P.C.</FONT></TD>
</TR>


<TR valign="bottom">
    <TD valign="top"><FONT size="2">23.1</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
&#151;
</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">Consent of Moores Rowland Mazars, independent auditors</FONT></TD>
</TR>


<TR valign="bottom">
    <TD valign="top"><FONT size="2">23.2</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
&#151;
</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">Consent of Andrew N. Bernstein, P.C. (included in its
opinion filed as Exhibit&nbsp;5.1)</FONT></TD>
</TR>
</TABLE>
</CENTER>
<P align="left"><FONT size="2"><B>Item&nbsp;9. Undertakings</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp; <B>Rule&nbsp;415 Offerings.</B>
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The undersigned registrant hereby undertakes that it will:
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;File, during any period in which it offers or sells securities, a
post-effective amendment to this Registration Statement to:
</FONT>

<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
    <TD width="6%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="1%" align="left" nowrap><FONT size="2">(i)</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="90%"><FONT size="2">Include any prospectus required by
Section&nbsp;10(a)(3) of the Securities Act of 1933;</FONT></TD>
</TR>
<TR>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="1%" align="left" nowrap><FONT size="2">(ii)</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="93%"><FONT size="2">Reflect in the prospectus any facts
or events arising after the effective date of the
Registration Statement which, individually or in the
aggregate, represent a fundamental change in the
information set forth in the Registration Statement; and</FONT></TD>
</TR>
<TR>
    <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="1%" align="left" nowrap><FONT size="2">(iii)</FONT></TD>
    <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
    <TD width="93%"><FONT size="2">Include any material information
with respect to the plan of distribution not previously
disclosed in the Registration Statement or any material
change to such information in the Registration
Statement;</FONT></TD>
</TR>
</TABLE>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;For the purpose of determining any liability under the Securities Act
of 1933, treat each such post-effective amendment as a new registration
statement relating to the securities offered therein, and the offering of such
securities at that time to be the initial bona fide offering thereof; and
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)&nbsp;Remove from registration by means of a post-effective amendment any of
the securities being registered which remain unsold at the termination of the
offering.
</FONT>


<P align="center"><FONT size="2">II-3</FONT>
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<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp; <B>Filings Incorporating Subsequent Exchange Act documents by reference.</B>
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The undersigned registrant hereby undertakes that, for purposes of
determining any liability under the Securities Act of 1933, each filing of the
registrant&#146;s annual report pursuant to section 13(a) or section 15(d) of the
Securities Exchange Act of 1934 (and, where applicable, each filing of an
employee benefit plan&#146;s annual report pursuant to section 15(d) of the
Securities Exchange Act of 1934) that is incorporated by reference in the
registration statement shall be deemed to be a new registration statement
relating to the securities offered therein, and the offering of such securities
at that time shall be deemed to be the initial bona fide offering thereof.
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp; <B>Request for acceleration of effective date or filing of registration
statement on Form&nbsp;S-8.</B>
</FONT>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Insofar as indemnification for liabilities arising under the Securities
Act of 1933, as amended (the &#147;Act&#148;), may be permitted to directors, officers
and controlling persons of the registrant pursuant to the foregoing provisions,
or otherwise, the registrant has been advised that in the opinion of the
Securities and Exchange Commission such indemnification is against public
policy as expressed in the Act and is, therefore, unenforceable. In the event
that a claim for indemnification against such liabilities (other than the
payment by the registrant of expenses incurred or paid by a director, officer
or controlling person of the registrant in the successful defense of any
action, suit or proceeding) is asserted by such director, officer or
controlling person in connection with the securities being registered, the
registrant will, unless in the opinion of its counsel the matter has been
settled by controlling precedent, submit to a court of appropriate jurisdiction
the question whether such indemnification by it is against public policy as
expressed in the Act and will be governed by the final adjudication of such
issue.
</FONT>


<P align="center"><FONT size="2">II-4</FONT>
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<DIV align="left"><A NAME="009"></A></DIV>


<P align="center"><FONT size="2"><B>SIGNATURES</B>
</FONT>

<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Act of 1933, the Registrant
certifies that it has reasonable grounds to believe that it meets all of the
requirements for filing on Form&nbsp;S-8 and has duly caused this Registration
Statement or amendment thereto to be signed on its behalf by the undersigned,
thereunto duly authorized, in Hong Kong on January&nbsp;8, 2004.
</FONT>
<CENTER>
<TABLE cellspacing="0" border="0" cellpadding="0" width="100%">
<TR valign="bottom">
    <TD width="45%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="48%">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD colspan="3" valign="top" align="left"><FONT size="2"><B>LJ INTERNATIONAL INC.</B></FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top" nowrap><FONT size="2">
By:
</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">/s/ YU CHUAN YIH</FONT></TD>
</TR>
<TR>
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><HR size="1" noshade></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">Yu Chuan Yih</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">Chairman and President</FONT></TD>
</TR>
</TABLE>
</CENTER>
<P align="left"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Act of 1933, this
Registration Statement or amendment thereto has been signed by the following
persons in the capacities and on the dates indicated.
</FONT>
<CENTER>
<TABLE cellspacing="0" border="0" cellpadding="0" width="100%">
<TR valign="bottom">
    <TD width="34%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="31%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><FONT size="1"><B>Signature</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center"><FONT size="1"><B>Title</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center"><FONT size="1"><B>Date</B></FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><FONT size="2">/s/ YU CHUAN YIH</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
President, Chief Executive Officer
</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="center" valign="top"><FONT size="2">1/8/04</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><HR size="1" noshade></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
and Chairman of the Board of</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">Yu Chuan Yih</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
Directors (Principal Executive</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
Officer)</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">/s/ KA MAN AU</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
Executive Vice President and
</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="center" valign="top"><FONT size="2">1/8/04</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><HR size="1" noshade></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
Director</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">Ka Man Au</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">/s/ HON TAK RINGO NG</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
Chief Financial Officer
</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="center" valign="top"><FONT size="2">1/8/04</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><HR size="1" noshade></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
(Principal Financial and Accounting</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">Hon Tak Ringo Ng</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
Officer)</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">/s/ LIONEL C. WANG</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
Director
</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="center" valign="top"><FONT size="2">1/8/04</FONT></TD>
</TR>
<TR>
    <TD valign="top"><HR size="1" noshade></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><FONT size="2">Lionel C. Wang</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">/s/ PO YEE ELSA YUE</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
Director
</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="center" valign="top"><FONT size="2">1/8/04</FONT></TD>
</TR>
<TR>
    <TD valign="top"><HR size="1" noshade></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><FONT size="2">Po Yee Elsa Yue</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">/s/ ANDREW N. BERNSTEIN</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
Authorized Representative in the
</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="center" valign="top"><FONT size="2">1/8/04</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><HR size="1" noshade></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
United States</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><FONT size="2">Andrew N. Bernstein</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>
</TABLE>
</CENTER>
<P align="center"><FONT size="2">&nbsp;</FONT>
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<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>
<!-- link1 "EXHIBIT INDEX" -->
<DIV align="left"><A NAME="010"></A></DIV>
<P align="center"><FONT size="2"><B>EXHIBIT INDEX</B>
</FONT>

<CENTER>
<TABLE cellspacing="0" border="0" cellpadding="0" width="100%">
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="69%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><FONT size="1"><B>Exhibit</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><FONT size="1"><B>Number</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center"><FONT size="1"><B>Description of Exhibit</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center"><FONT size="1"><B>Page Number</B></FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD nowrap align="center"><HR size="1" noshade></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center"><HR size="1" noshade></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD nowrap align="center"><HR size="1" noshade></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
    <TD><FONT size="1">&nbsp;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;&nbsp;4.1</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
2003 Stock Compensation Plan of LJ International Inc.</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>


<TR valign="bottom">
    <TD valign="top"><FONT size="2">&nbsp;&nbsp;5.1</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
Opinion of Andrew N. Bernstein, P.C.</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
</TR>


<TR valign="bottom">
    <TD valign="top"><FONT size="2">23.1</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">
Consent of Moores Rowland Mazars, independent auditors</FONT></TD>
    <TD><FONT size="2">&nbsp;</FONT></TD>
    <TD align="left" valign="top"><FONT size="2">&nbsp;</FONT></TD>
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Consent of Andrew N. Bernstein, P.C. (included in its
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sv8
Table of Contents
As filed with the Securities and Exchange Commission on January 8, 2004
Registration No. 333-______
SECURITIES AND EXCHANGE
COMMISSION
Washington, D.C. 20549
FORM S-8
REGISTRATION STATEMENT
UNDER
THE SECURITIES ACT OF 1933
LJ INTERNATIONAL INC.
(Exact name of Registrant as specified in its charter)
British Virgin Islands
Not Applicable
(State or other jurisdiction of
incorporation or organization)
(I.R.S. Employer Identification No.)
Unit #12, 12/F, Block A
Focal Industrial Centre
21 Man Lok Street
Hung Hom, Kowloon, Hong Kong
(Address of principal executive offices) (zip code)
LJ International Inc.
2003 Stock Compensation Plan
(Full title of the plan)
Andrew N. Bernstein, Esq.
Andrew N. Bernstein, P.C.
5445 DTC Parkway, Suite 520
Greenwood Village, Colorado 80111
(Name and address of agent for service)
(303) 770-7131
(Telephone number, including area code, of agent for service)
Approximate date of commencement of proposed sale to the public:
From
time to time after the Registration Statement becomes effective.
Exhibit Index Begins at Page 17
Table of Contents
CALCULATION OF REGISTRATION FEE
Proposed
Proposed
maximum
maximum
Title of
offering
aggregate
Amount of
securities to be
Amount to be
price per
offering
registration
registered
registered (1)
share
price
fee
Common Stock,
$0.01 par value
4,000,000 shares
(2
)
$
13,026,000
(2)
$
287.06
(3)
(1)     Pursuant to Rule 416, this Registration Statement covers any
additional shares of Common Stock ("shares") which become issuable under the
Plan set forth herein by reason of any stock dividend, stock split,
recapitalization or any other similar transaction without receipt of
consideration which results in an increase in the number of shares outstanding.
(2)     Pursuant to Rule 457(h) and 457(c), the offering price per share, the
aggregate offering price and the amount of the filing fee were computed upon
the bases of:
•
the price at which 1,128,000 outstanding options may be exercised (an
exercise price of $2.00 per share, resulting in an aggregate offering
price of $2,256,000); and
•
the closing price of the Common Stock within five business days prior
to the date of filing of the Registration Statement, with respect to
the authorized but unissued remaining options (2,872,000 shares at
$3.75 per share, aggregating $10,770,000).
(3)     The Registrant initially filed a Registration Statement on Form F-1
(Registration No. 333-90016) on June 7, 2002 (the "Form F-1"), to register
certain offers and sales of its common stock as set forth in that Registration
Statement. Subsequently, the Registrant withdrew the Form F-1 on August 18,
2003. The Registrant is filing this Registration Statement on Form S-8 to
register the securities indicated on this cover page. A registration fee of
$969.38 was paid in connection with the filing of the Form F-1. Pursuant to
Rule 457(p), the aggregate total dollar amount of the filing fee associated
with the unsold common stock under the Form F-1 has been offset by the filing
fee in the amount of $202.63 for the Registration Statement on Form F-3, No.
333-110323, filed on November 7, 2003. The remaining balance of $766.75 is
being further offset by the $1,053.81 filing fee due for this Registration
Statement, resulting in a current registration fee payable of $287.06.
ii
Table of Contents
PART I
INFORMATION REQUIRED IN THE SECTION 10(a) PROSPECTUS
Pursuant to the requirements of the Note to Part I of Form S-8 and Rule
428(b)(1) of the Rules under the Securities Act of 1933, as amended, the
information required by Part I of Form S-8 is incorporated by reference in the
Reoffer Prospectus which follows. The Reoffer Prospectus, together with the
documents incorporated by reference pursuant to Item 3 of Part II of this
Registration Statement, constitutes the Section 10(a) Prospectus.
REOFFER PROSPECTUS
The material which follows, up to but not including the pages beginning
Part II of this Registration Statement, constitutes a prospectus prepared in
accordance with the applicable requirements of Part I of Form S-3 and General
Instruction C to Form S-8, to be used in connection with resales of securities
acquired under the Registrant's 2003 Stock Compensation Plan by affiliates of
the Registrant, as defined in Rule 405 under the Securities Act of 1933, as
amended.
iii
Table of Contents
REOFFER PROSPECTUS
4,000,000 SHARES
COMMON STOCK
LJ INTERNATIONAL INC.
2003 STOCK COMPENSATION PLAN
We are registering on behalf of our employees, officers, directors and
consultants up to 4,000,000 shares of our common stock purchasable by them
pursuant to common stock options granted under our 2003 Stock Compensation
Plan. As of this date, 1,128,000 options were issued under the Plan and are
currently outstanding.
This prospectus will be used by persons who are our "affiliates" to resell
shares purchased by them under the Plan. We will receive no part of the
proceeds of any such sales, although we will receive the exercise price for the
stock options.
NEITHER THE SECURITIES AND EXCHANGE COMMISSION NOR ANY STATE SECURITIES
COMMISSION HAS APPROVED OR DISAPPROVED OF THE SECURITIES OR PASSED UPON THE
ACCURACY OR ADEQUACY OF THIS PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS
A CRIMINAL OFFENSE.
No person is authorized to give any information or to make any
representation regarding the securities we are offering and investors should
not rely on any such information. The information provided in the prospectus
is as of this date only.
The date of this prospectus is January 8, 2004.
TABLE OF CONTENTS
INTRODUCTION
SELLING STOCKHOLDERS
METHOD OF SALE
SEC POSITION REGARDING INDEMNIFICATION
DESCRIPTION OF THE PLAN
APPLICABLE SECURITIES LAW RESTRICTIONS
TAX CONSEQUENCES
LEGAL MATTERS
EXPERTS
SIGNATURES
EXHIBIT INDEX
EX-4.1 2003 Stock Compensation Plan
EX-5.1 Opinion/Consent of Andrew N. Bernstein P.C.
EX-23.1 Consent of Moores Rowland Mazars
Table of Contents
AVAILABLE INFORMATION
We are subject to the informational requirements of the Securities
Exchange Act of 1934, as amended, as they apply to a foreign private issuer,
and we file reports and other information with the Securities and Exchange
Commission. Copies of such material can be obtained from the Public Reference
Section of the Commission, 450 Fifth Street, N.W., Washington, D.C. 20549 at
prescribed rates. The SEC maintains an Internet site that contains reports,
proxy and information statements, and other information regarding issuers that
file electronically with the SEC. The address of that site is
http://www.sec.gov. Our internet address is http://www.ljintl.com. Our common
stock is traded on the Nasdaq National Market under the symbol "JADE."
We furnish annual reports to our shareholders which include audited
financial statements. We may furnish such other reports as may be authorized,
from time to time, by our board of directors.
INCORPORATION BY REFERENCE
Certain documents have been incorporated by reference into this
prospectus, either in whole or in part. We will provide without charge to each
person to whom a prospectus is delivered, upon written or oral request, (i) a
copy of the information that has been incorporated by reference (not including
exhibits to the information unless such exhibits are specifically incorporated
by reference into the information), and (ii) a copy of all documents and
information required to be delivered to our employees pursuant to Rule 428(b).
Requests for such information shall be addressed to us at LJ International
Inc., Unit #12, 12/F, Block A, Focal Industrial Centre, 21 Man Lok Street, Hung
Hom, Kowloon, Hong Kong, telephone: (011) 852-2764-3622.
TABLE OF CONTENTS
Introduction
3
Selling Stockholders
3
Method of Sale
4
SEC Position Regarding Indemnification
4
Description of the Plan
4
Applicable Securities Law Restrictions
6
Tax Consequences
6
Legal Matters
7
Experts
7
2
Table of Contents
INTRODUCTION
We are a totally vertically integrated company that designs, brands,
markets and distributes a complete range of fine jewelry. While we specialize
in the semi-precious jewelry segment, we also offer high-end pieces set in
yellow gold, white gold, platinum or sterling silver and adorned with
semi-precious stones, diamonds, pearls and precious stones. We distribute
mainly to fine jewelers, department stores, national jewelry chains and
electronic and specialty retailers throughout North America and Western Europe.
Our product lines incorporate all major categories sought by major retailers,
including earrings, necklaces, pendants, rings and bracelets.
We believe that our vertically integrated structure provides significant
advantages over our competitors. All profits from value added processes are
captured internally, rather than shared with third party manufacturers. This
results in very competitive pricing for the retailer and enhanced profits for
us. Innovative processes in stone cutting and production further enhance our
competitive position.
We employ an international design team and all of our designs and
merchandising strategies are proprietary. The exclusive and innovative
concepts that we create offer brand potential. Our primary marketing focus has
been in North America where we have sold directly to certain high volume
customers that need specialized product development services, and through a
marketing relationship with International Jewelry Connection (IJC) for those
customers that need higher levels of service and training.
We are located at Unit #12, 12/F, Block A, Focal Industrial Centre, 21 Man
Lok Street, Hung Hom, Kowloon, Hong Kong, telephone: 011-852-2764-3622.
SELLING STOCKHOLDERS
This prospectus covers possible sales by our executive officers,
directors, consultants and employees of shares they acquire through exercise of
options granted under our 2003 Stock Compensation Plan. The names of our
affiliates who may be Selling Stockholders from time to time are listed below,
along with the number of shares of common stock to be offered for sale. The
names of other affiliates who may offer shares for resale in the future, along
with the number of shares which may be sold by each affiliate from time to
time, will be updated in supplements to this prospectus, which will be filed
with the Commission in accordance with Rule 424(b) under the Securities Act.
All Selling Stockholders are executive officers and/or directors. The address
of each Selling Stockholder is the same as our address. All shares listed
below for sale represent shares issuable upon exercise of options granted under
the Plan.
3
Table of Contents
Name of Selling Stockholder
Maximum Number of Shares Which May
Be Sold Upon Exercise of Options
AU Ka Man
150,000
NG Hon Tak Ringo
150,000
YUE Po Yee Elsa
16,000
METHOD OF SALE
Sales of the shares offered by this prospectus will be made on The Nasdaq
National Market, where our common stock is listed for trading, in other markets
where our common stock may be traded, or in negotiated transactions. Sales
will generally involve payment of customary brokers' commissions by the Selling
Stockholders. There is no present plan of distribution.
SEC POSITION REGARDING INDEMNIFICATION
Our Memorandum of Association and Articles of Association provide for
indemnification of officers and directors, among other things, in instances in
which they acted in good faith and in a manner they reasonably believed to be
in, or not opposed to, our best interests and in which, with respect to
criminal proceedings, they had no reasonable cause to believe their conduct was
unlawful.
Insofar as indemnification for liabilities arising under the Securities
Act may be permitted to our directors, officers or persons controlling us under
the provisions described above, we have been informed that, in the opinion of
the Commission, indemnification is against public policy as expressed in that
Act and is therefore unenforceable.
DESCRIPTION OF THE PLAN
Our board of directors and our shareholders have adopted and approved the
Plan. Options granted pursuant to the Plan constitute either incentive stock
options within the meaning of Section 422 of the Internal Revenue Code of 1986,
as amended (the Code), or options which constitute nonqualified options at the
time of issuance of such options. The Plan provides that incentive stock
options and/or non-qualified stock options may be granted to our officers,
directors, employees and advisors selected by our Compensation Committee. A
total of 4,000,000 shares of common stock are authorized and reserved for
issuance under the Plan, subject to adjustment to reflect changes in our
capitalization in the case of a stock split, stock dividend or similar event.
4
Table of Contents
The Plan is administered by our Compensation Committee which has the sole
authority to interpret the Plan and to make all determinations necessary or
advisable for administering the Plan, including but not limited to:
•
who shall be granted options under the Plan;
•
the term of each option;
•
the number of shares covered by such option;
•
whether the option shall constitute an incentive option or a nonqualified option;
•
the exercise price for the purchase of the shares covered by the option;
•
the period during which the option may be exercised;
•
whether the right to purchase the number of shares covered by the option shall be fully vested on issuance of the option so
that such shares may be purchased in full at one time or whether the right to purchase such shares shall become vested over
a period of time so that such shares may only be purchased in installments; and
•
the time or times at which the options shall be granted.
Except in the case of disability or death, no option shall be exercisable
after an optionee who is an employee ceases to be employed by the Company;
provided, however, the Compensation Committee has the right to extend the
exercise period following the date of termination of such optionee's
employment. If an optionee's employment is terminated by reason of death or
disability, the Compensation Committee may extend the option term following the
date of termination of the optionee's employment. Upon the exercise of the
option, the exercise price must be paid in full either in cash, shares of our
common stock or a combination.
If any option to purchase reserved shares shall not be exercised for any
reason or if such option to purchase shall terminate as provided by the Plan,
such shares which have not been so purchased shall again become available for
the purposes of the Plan unless the Plan shall have been terminated.
The provisions of the Federal Employee Retirement Income Security Act of
1974 do not apply to the Plan. Shares issuable upon exercise of options will
not be purchased in open market transactions but will be issued by us from
authorized shares. Shares issuable under the Plan may be sold in the open
market, without restrictions, as free trading securities. There are no assets
administered under the Plan and, accordingly, no investment information is
furnished.
No options may be assigned, transferred, hypothecated or pledged by the
option holder except by will, the laws of intestate succession or as permitted
by the Commission. No person may create a lien on any securities under the
Plan, except by operation of law. However, there are no restrictions on the
resale of the shares underlying the options.
The Plan will remain in effect until June 30, 2013. Additional
information concerning the Plan may be obtained from us at our address and
telephone number.
5
Table of Contents
APPLICABLE SECURITIES LAW RESTRICTIONS
If the optionee is deemed to be an "affiliate" (as that term is defined
under the Securities Act), the resale of the shares purchased upon exercise of
options covered hereby may be subject to certain restrictions and requirements,
including compliance with the provisions of Rule 144 promulgated under the
Securities Act.
In addition to the requirements imposed by the Securities Act, the
antifraud provisions of the Exchange Act and the rules thereunder (including
Rule 10b-5) are applicable to any sale of shares acquired pursuant to the Plan.
Up to 4,000,000 shares may be issued under the Plan. We have authorized
100,000,000 shares of common stock, of which 9,408,006 shares are outstanding
as of October 17, 2003. Shares of common stock outstanding are, and those to
be issued upon exercise of options will be, fully paid and nonassessable, and
each share of common stock is entitled to one vote at all shareholders'
meetings. All shares are equal to each other with respect to lien rights,
liquidation rights and dividend rights. There are no preemptive rights to
purchase additional shares by virtue of the fact that a person is one of our
shareholders. Shareholders do not have the right to cumulate their votes for
the election of directors.
TAX CONSEQUENCES
We have been advised that the United States federal income tax
consequences of the Plan to us and the optionees, and possible exercise of
options granted under the Plan, will depend upon future circumstances and
possible changes in the tax laws.
The following summary discussion addresses
certain United States federal income tax consequences of the Plan. This
discussion does not address all of the tax consequences that may be applicable
to any particular optionee or to us. In addition, this discussion does not
address foreign, state, or local taxes, nor does it address federal taxes other
than federal income tax. This discussion is based upon applicable statutes,
regulations, case law, administrative interpretations and judicial decisions in
effect as of the date of this prospectus.
The income tax treatment of nonstatutory options is governed by §83 of the
Code. This section basically provides that if an option has a readily
ascertainable fair market value when granted, then the optionee must recognize
ordinary income at the time of grant but not at the time of exercise or
disposal; if an option does not have a readily ascertainable fair market value
when granted, the optionee must recognize ordinary income at the time of its
exercise or disposal of the option but not at the time of its grant. We will
receive a corresponding compensation deduction for the amount included by the
optionee as income in the same year that the optionee includes such amount as
income. Consequently, whether a nonstatutory option has a readily
ascertainable fair market value at grant will determine whether the grant or
the exercise of the nonstatutory
6
Table of Contents
option is the taxable event for the optionee who rendered the services for
which the option was granted.
No tax consequences result from the granting of an incentive stock option
or from the exercise of an incentive stock option by the employee. In
addition, the employer generally will not be allowed a business expense
deduction with respect to an incentive stock option unless the employee
disposes of the stock prior to the required holding period. The employee will
be taxed at capital gain rates when he sells stock acquired under an incentive
stock option plan, provided he has not disposed of the stock for at least two
years from the date the option was granted to him and he has held the stock
itself at least one year after the stock was transferred to him. If the
foregoing holding period rules are not satisfied, the gain that would have been
realized at the time the option was exercised is included as ordinary income in
the year of the disqualifying sale. For this purpose, the gain is equal to the
lesser of (i) the fair market value of the stock on the date of exercise over
the option price of the stock, or (ii) the amount realized on disposition over
the adjusted basis of the stock. The employer is allowed to deduct a
corresponding amount as a business deduction at the same time the employee is
required to recognize the ordinary income arising from the early disposition.
Notwithstanding the preceding, when calculating income for alternative
minimum tax purposes, the favorable tax treatment of §421(a) is disregarded and
the bargain purchase element (that is, the spread between the option price and
the fair market value of the option stock at exercise) of the incentive stock
option will be considered as part of the taxpayer's alternative minimum taxable
income.
LEGAL MATTERS
The validity of the shares offered hereby will be passed on for us by
Andrew N. Bernstein, P.C., 5445 DTC Parkway, Suite 520, Greenwood Village,
Colorado 80111. Andrew N. Bernstein, Esq., the sole shareholder of Andrew N.
Bernstein, P.C., owns options to purchase 100,000 shares under our 1998 Plan.
EXPERTS
Our audited consolidated financial statements as of April 30, 2001 and
2002 and December 31, 2002 and for each of the three years ended April 30, 2002
and the eight months ended December 31, 2002, have been incorporated by
reference in this prospectus in reliance upon the report of Moores Rowland,
Hong Kong, independent auditors, incorporated by reference herein, and upon the
authority of said firm as experts in accounting and auditing. Moores Rowland,
Hong Kong merged with Mazars, Hong Kong on October 1, 2003 and are now
practicing under the name of Moores Rowland Mazars.
7
Table of Contents
Our future financial statements and reports thereon of Moores Rowland
Mazars, also will be incorporated by reference in this prospectus in reliance
upon the authority of that firm as experts in giving those reports to the
extent said firm has audited those financial statements and consented to the
use of their reports thereon.
8
Table of Contents
PART II
INFORMATION NOT REQUIRED IN PROSPECTUS
Item 3. Incorporation of Documents by Reference
The Registrant hereby incorporates by reference in this Registration
Statement the following documents previously filed with the Commission:
(a)  The Registrant's Annual Report on Form 20-F for the fiscal year ended
December 31, 2002 (including its audited financial statements for the years
ended April 30, 2001 and 2002 and December 31, 2002, together with the report
of independent public accountants) filed pursuant to the Exchange Act;
(b)  Each of the Registrant's Reports on Form 6-K filed since the date of
filing of our Annual Report on Form 20-F for the fiscal year ended December 31,
2002;
(c)  The Registrant's definitive Proxy Statement for the Annual Meeting of
Shareholders of the Company held December 5, 2003;
(d)  The description of the common stock that is contained in the
Registrant's Registration Statement on Form 8-A under the Exchange Act (File
No. 0-29620) and its Registration Statement on Form F-1 under the Securities
Act (Registration No. 333-7912), including any amendments or reports filed for
the purpose of updating such descriptions; and
(e)  All subsequent reports filed pursuant to Section 13(a) or 15(d) of the
Exchange Act.
All reports and definitive proxy or information statements filed by the
Registrant pursuant to Section 13(a), 13(c), 14 or 15(d) of the Exchange Act
after the date of this Registration Statement and prior to the filing of a
post-effective amendment which indicates that all securities offered hereby
have been sold or which deregisters all securities then remaining unsold at the
time of such amendment will be deemed to be incorporated by reference into this
Registration Statement and to be a part hereof from the date of filing of such
documents. Any statement contained in a document incorporated or deemed to be
incorporated by reference herein shall be deemed to be modified or superseded
for purposes of this Registration Statement to the extent that a statement
contained herein or in any other subsequently filed document which also is or
is deemed to be incorporated by reference herein modifies or supersedes such
statement. Any such statement so modified or superseded shall not be deemed,
except as so modified or superseded, to constitute a part of this Registration
Statement.
Item 4. Description of Securities
Not applicable.
II-1
Table of Contents
Item 5. Interests of Named Experts and Counsel
Andrew N. Bernstein, Esq., the sole shareholder of Andrew N. Bernstein,
P.C. owns 100,000 options issued under the 1998 Plan. He received the options
in consideration for legal services previously rendered and to be rendered in
the future, excluding any services which have been, or may in the future be,
rendered relating to capital raising efforts of the Company. Andrew N.
Bernstein, P.C. has rendered an opinion in connection with the shares being
registered hereunder.
Item 6. Indemnification of Directors and Officers
As in most United States jurisdictions, the board of directors of a
British Virgin Islands company is charged with the management and affairs of
the company, and subject to any limitations to the contrary in the Memorandum
of Association of the Company, the Board of Directors is entrusted with the
power to manage the business and affairs of the Company. In most United States
jurisdictions, directors owe a fiduciary duty to the company and its
shareholders, including a duty of care, pursuant to which directors must
properly apprise themselves of all reasonably available information, and a duty
of loyalty, pursuant to which they must protect the interests of the company
and refrain from conduct that injures the company or its shareholders or that
deprives the company or its shareholders of any profit or advantage. Many
United States jurisdictions have enacted various statutory provisions which
permit the monetary liability of directors to be eliminated or limited. Under
British Virgin Islands law, liability of a director to the company is basically
limited to cases of wilful malfeasance in the performance of his duties or to
cases where the director has not acted honestly and in good faith and with a
view to the best interests of the company. However, under its Memorandum of
Association, the Company is authorized to indemnify any person who is made or
threatened to be made a party to a legal or administrative proceeding by virtue
of being a director, officer or liquidator of the Company, provided such person
acted honestly and in good faith and with a view to the best interests of the
Company and, in the case of a criminal proceeding, such person had no
reasonable cause to believe that his conduct was unlawful. The Company's
Memorandum of Association also permits the Company to indemnify any director,
officer or liquidator of the Company who was successful in any proceeding
against expenses and judgments, fines and amounts paid in settlement and
reasonably incurred in connection with the proceeding, where such person met
the standard of conduct described in the preceding sentence.
The Company has provisions in its Memorandum of Association that insure or
indemnify, to the full extent allowed by the laws of the Territory of the
British Virgin Islands, directors, officers, employees, agents or persons
serving in similar capacities in other enterprises at the request of the
Company.
Item 7. Exemption from Registration Claimed
Not applicable.
II-2
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Item 8. Exhibits
The following documents are filed as exhibits to this Registration
Statement.
Exhibit
Number
Description of Exhibit
4.1
—
2003 Stock Compensation Plan of LJ International Inc.
5.1
—
Opinion of Andrew N. Bernstein, P.C.
23.1
—
Consent of Moores Rowland Mazars, independent auditors
23.2
—
Consent of Andrew N. Bernstein, P.C. (included in its
opinion filed as Exhibit 5.1)
Item 9. Undertakings
(a)
Rule 415 Offerings.
The undersigned registrant hereby undertakes that it will:
(1) File, during any period in which it offers or sells securities, a
post-effective amendment to this Registration Statement to:
(i)
Include any prospectus required by
Section 10(a)(3) of the Securities Act of 1933;
(ii)
Reflect in the prospectus any facts
or events arising after the effective date of the
Registration Statement which, individually or in the
aggregate, represent a fundamental change in the
information set forth in the Registration Statement; and
(iii)
Include any material information
with respect to the plan of distribution not previously
disclosed in the Registration Statement or any material
change to such information in the Registration
Statement;
(2) For the purpose of determining any liability under the Securities Act
of 1933, treat each such post-effective amendment as a new registration
statement relating to the securities offered therein, and the offering of such
securities at that time to be the initial bona fide offering thereof; and
(3) Remove from registration by means of a post-effective amendment any of
the securities being registered which remain unsold at the termination of the
offering.
II-3
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(b)
Filings Incorporating Subsequent Exchange Act documents by reference.
The undersigned registrant hereby undertakes that, for purposes of
determining any liability under the Securities Act of 1933, each filing of the
registrant's annual report pursuant to section 13(a) or section 15(d) of the
Securities Exchange Act of 1934 (and, where applicable, each filing of an
employee benefit plan's annual report pursuant to section 15(d) of the
Securities Exchange Act of 1934) that is incorporated by reference in the
registration statement shall be deemed to be a new registration statement
relating to the securities offered therein, and the offering of such securities
at that time shall be deemed to be the initial bona fide offering thereof.
(c)
Request for acceleration of effective date or filing of registration
statement on Form S-8.
Insofar as indemnification for liabilities arising under the Securities
Act of 1933, as amended (the "Act"), may be permitted to directors, officers
and controlling persons of the registrant pursuant to the foregoing provisions,
or otherwise, the registrant has been advised that in the opinion of the
Securities and Exchange Commission such indemnification is against public
policy as expressed in the Act and is, therefore, unenforceable. In the event
that a claim for indemnification against such liabilities (other than the
payment by the registrant of expenses incurred or paid by a director, officer
or controlling person of the registrant in the successful defense of any
action, suit or proceeding) is asserted by such director, officer or
controlling person in connection with the securities being registered, the
registrant will, unless in the opinion of its counsel the matter has been
settled by controlling precedent, submit to a court of appropriate jurisdiction
the question whether such indemnification by it is against public policy as
expressed in the Act and will be governed by the final adjudication of such
issue.
II-4
Table of Contents
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, the Registrant
certifies that it has reasonable grounds to believe that it meets all of the
requirements for filing on Form S-8 and has duly caused this Registration
Statement or amendment thereto to be signed on its behalf by the undersigned,
thereunto duly authorized, in Hong Kong on January 8, 2004.
LJ INTERNATIONAL INC.
By:
/s/ YU CHUAN YIH
Yu Chuan Yih
Chairman and President
Pursuant to the requirements of the Securities Act of 1933, this
Registration Statement or amendment thereto has been signed by the following
persons in the capacities and on the dates indicated.
Signature
Title
Date
/s/ YU CHUAN YIH
President, Chief Executive Officer
1/8/04
and Chairman of the Board of
Yu Chuan Yih
Directors (Principal Executive
Officer)
/s/ KA MAN AU
Executive Vice President and
1/8/04
Director
Ka Man Au
/s/ HON TAK RINGO NG
Chief Financial Officer
1/8/04
(Principal Financial and Accounting
Hon Tak Ringo Ng
Officer)
/s/ LIONEL C. WANG
Director
1/8/04
Lionel C. Wang
/s/ PO YEE ELSA YUE
Director
1/8/04
Po Yee Elsa Yue
/s/ ANDREW N. BERNSTEIN
Authorized Representative in the
1/8/04
United States
Andrew N. Bernstein
Table of Contents
EXHIBIT INDEX
Exhibit
Number
Description of Exhibit
Page Number
4.1
2003 Stock Compensation Plan of LJ International Inc.
5.1
Opinion of Andrew N. Bernstein, P.C.
23.1
Consent of Moores Rowland Mazars, independent auditors
23.2
Consent of Andrew N. Bernstein, P.C. (included in its
opinion filed as Exhibit 5.1)
x