﻿<?xml version="1.0" encoding="utf-8"?>
<Return xmlns="http://www.irs.gov/efile" xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance" returnVersion="2010v3.2">
  <ReturnHeader binaryAttachmentCount="0">
    <Timestamp>2011-05-12T16:22:55-05:00</Timestamp>
    <TaxPeriodEndDate>2010-12-31</TaxPeriodEndDate>
    <PreparerFirm>
      <PreparerFirmBusinessName>
        <BusinessNameLine1>CONEWALSH &amp; CO-CWCC LLC</BusinessNameLine1>
      </PreparerFirmBusinessName>
      <PreparerFirmUSAddress>
        <AddressLine1>6100 FAIRVIEW RD STE 1205</AddressLine1>
        <City>CHARLOTTE</City>
        <State>NC</State>
        <ZIPCode>28210</ZIPCode>
      </PreparerFirmUSAddress>
    </PreparerFirm>
    <ReturnType>990PF</ReturnType>
    <TaxPeriodBeginDate>2010-01-01</TaxPeriodBeginDate>
    <Filer>
      <EIN>201313356</EIN>
      <Name>
        <BusinessNameLine1>DIAMONDS DIRECT FOUNDATION</BusinessNameLine1>
      </Name>
      <NameControl>DIAM</NameControl>
      <Phone>7045329041</Phone>
      <USAddress>
        <AddressLine1>4521 SHARON ROAD</AddressLine1>
        <AddressLine2>ROOM/SUITE 101</AddressLine2>
        <City>CHARLOTTE</City>
        <State>NC</State>
        <ZIPCode>28211</ZIPCode>
      </USAddress>
    </Filer>
    <Officer>
      <Name>ITAI BERGER</Name>
      <Title>V/P</Title>
      <Phone>7045329041</Phone>
      <DateSigned>2011-05-11</DateSigned>
    </Officer>
    <Preparer>
      <Name>ABE WARSHENBROT</Name>
      <Phone>7045525599</Phone>
      <DatePrepared>2011-05-10</DatePrepared>
    </Preparer>
    <TaxYear>2010</TaxYear>
    <BuildTS>2016-02-24 21:20:13Z</BuildTS>
  </ReturnHeader>
  <ReturnData documentCount="3">
    <IRS990PF documentId="RetDoc2">
      <ExemptPF>X</ExemptPF>
      <FMVAssetsEOY>211</FMVAssetsEOY>
      <MethodOfAccountingCash>X</MethodOfAccountingCash>
      <AnalysisOfRevenueAndExpenses>
        <ContriReceivedRevAndExpnss>64200</ContriReceivedRevAndExpnss>
        <TotalRevenueAndExpenses>64200</TotalRevenueAndExpenses>
        <TotalNetInvestmentIncome>0</TotalNetInvestmentIncome>
        <TotOprExpensesRevAndExpnss>0</TotOprExpensesRevAndExpnss>
        <TotOprExpensesNetInvstIncm>0</TotOprExpensesNetInvstIncm>
        <TotOprExpensesDsbrsChrtblPrps>0</TotOprExpensesDsbrsChrtblPrps>
        <ContriGiftsPaidRevAndExpnss>64350</ContriGiftsPaidRevAndExpnss>
        <ContriGiftsPaidDsbrsChrtblPrps>64350</ContriGiftsPaidDsbrsChrtblPrps>
        <TotalExpensesRevAndExpnss>64350</TotalExpensesRevAndExpnss>
        <TotalExpensesNetInvstIncm>0</TotalExpensesNetInvstIncm>
        <TotalExpensesDsbrsChrtblPrps>64350</TotalExpensesDsbrsChrtblPrps>
        <ExcessOfRevenueOverExpenses>-150</ExcessOfRevenueOverExpenses>
        <NetInvestmentIncome>0</NetInvestmentIncome>
      </AnalysisOfRevenueAndExpenses>
      <BalanceSheets>
        <CashBOY>361</CashBOY>
        <CashEOY>211</CashEOY>
        <CashEOYFMV>211</CashEOYFMV>
        <TotalAssetsBOY>361</TotalAssetsBOY>
        <TotalAssetsEOY>211</TotalAssetsEOY>
        <TotalAssetsEOYFMV>211</TotalAssetsEOYFMV>
        <TotalLiabilitiesEOY>0</TotalLiabilitiesEOY>
        <OrgThatDoNotFollowSFAS117>X</OrgThatDoNotFollowSFAS117>
        <RetainedEarningsBOY>361</RetainedEarningsBOY>
        <RetainedEarningsEOY>211</RetainedEarningsEOY>
        <TotalNetAssetsBOY>361</TotalNetAssetsBOY>
        <TotalNetAssetsEOY>211</TotalNetAssetsEOY>
        <TotalLiabilitiesNetAssetsBOY>361</TotalLiabilitiesNetAssetsBOY>
        <TotalLiabilitiesNetAssetsEOY>211</TotalLiabilitiesNetAssetsEOY>
      </BalanceSheets>
      <ChangesInNetAssetsFundBalances>
        <TotalNetAssetsFundBalancesBOY>361</TotalNetAssetsFundBalancesBOY>
        <ExcessOfRevenueOverExpenses>-150</ExcessOfRevenueOverExpenses>
        <Subtotal>211</Subtotal>
        <TotalNetAssetsFundBalancesEOY>211</TotalNetAssetsFundBalancesEOY>
      </ChangesInNetAssetsFundBalances>
      <QlfyUndSect4940eForReducedTax>
        <LiableFor4942Tax>false</LiableFor4942Tax>
        <QualifyingDistributionsYear1>45720</QualifyingDistributionsYear1>
        <QualifyingDistributionsYear2>81800</QualifyingDistributionsYear2>
        <QualifyingDistributionsYear3>117720</QualifyingDistributionsYear3>
        <QualifyingDistributionsYear4>49400</QualifyingDistributionsYear4>
        <QualifyingDistributionsYear5>24450</QualifyingDistributionsYear5>
        <NetNoncharitableAssets>0</NetNoncharitableAssets>
        <AdjNonchrtblAssetsAndOnePct>0</AdjNonchrtblAssetsAndOnePct>
        <QualifyingDistributions>64350</QualifyingDistributions>
      </QlfyUndSect4940eForReducedTax>
      <ExciseTaxBasedOnInvestmentIncm>
        <DomesticOrgMeetingSect4940e>X</DomesticOrgMeetingSect4940e>
        <InvestmentIncomeExciseTax>0</InvestmentIncomeExciseTax>
        <AmountCreditedToNextYear>0</AmountCreditedToNextYear>
      </ExciseTaxBasedOnInvestmentIncm>
      <StatementsRegardingActivities>
        <LegislativePoliticalActivities>false</LegislativePoliticalActivities>
        <MoreThan100Spent>false</MoreThan100Spent>
        <Form1120POLFiled>false</Form1120POLFiled>
        <ActivitiesNotPrevReported>false</ActivitiesNotPrevReported>
        <ChangesToArticlesOrBylaws>false</ChangesToArticlesOrBylaws>
        <UnrelatedBusIncomeOver1000>false</UnrelatedBusIncomeOver1000>
        <TerminationEtc>false</TerminationEtc>
        <RequirementsOfSect508e>true</RequirementsOfSect508e>
        <AtLeast5000InAssets>true</AtLeast5000InAssets>
        <StatesFiledWith>NC</StatesFiledWith>
        <Form990PFFiledWithAG>true</Form990PFFiledWithAG>
        <PrivateOperatingFoundation>false</PrivateOperatingFoundation>
        <NewSubstantialContributors>false</NewSubstantialContributors>
        <InterestInControlledEntity>false</InterestInControlledEntity>
        <ApplicableInsuranceContract>false</ApplicableInsuranceContract>
        <ComplyWithPublicInspectionRqr>true</ComplyWithPublicInspectionRqr>
        <WebsiteAddress>NONE</WebsiteAddress>
        <BooksInCareOfPersonName>KELLY LO</BooksInCareOfPersonName>
        <BooksInCareOfPhoneNumber>7045329041</BooksInCareOfPhoneNumber>
        <BooksInCareOfUSAddress>
          <AddressLine1>4521 SHARON RD</AddressLine1>
          <AddressLine2>STE 101</AddressLine2>
          <City>CHARLOTTE</City>
          <State>NC</State>
          <ZIPCode>28211</ZIPCode>
        </BooksInCareOfUSAddress>
      </StatementsRegardingActivities>
      <StatementsRegardingActy4720>
        <SaleOrExchangeWithDsqflyPerson>false</SaleOrExchangeWithDsqflyPerson>
        <BorrowOrLendWithDsqflyPerson>false</BorrowOrLendWithDsqflyPerson>
        <FurnishedGoodsWithDsqflyPerson>false</FurnishedGoodsWithDsqflyPerson>
        <PayCompensationToDsqflyPerson>false</PayCompensationToDsqflyPerson>
        <TransferAssetsToDsqflyPerson>false</TransferAssetsToDsqflyPerson>
        <PaymentToGovernmentOffical>false</PaymentToGovernmentOffical>
        <UndistributedIncomePriorYears>false</UndistributedIncomePriorYears>
        <BusinessHoldings>false</BusinessHoldings>
        <JeopardyInvestments>false</JeopardyInvestments>
        <UncorrectedJeopardyInvestments>false</UncorrectedJeopardyInvestments>
        <InfluenceLegislation>false</InfluenceLegislation>
        <InfluenceElection>false</InfluenceElection>
        <GrantsToIndividuals>false</GrantsToIndividuals>
        <GrantsToOrganizations>false</GrantsToOrganizations>
        <NoncharitablePurpose>false</NoncharitablePurpose>
        <RcvFundsToPayPrsnlBnftContract>false</RcvFundsToPayPrsnlBnftContract>
        <PayPremiumsPrsnlBnftContract>false</PayPremiumsPrsnlBnftContract>
      </StatementsRegardingActy4720>
      <OfcrDirTrusteesKeyEmployeeInfo>
        <OfcrDirTrusteesOrKeyEmployee>
          <BusinessName referenceDocumentId="RetDoc3">
            <BusinessNameLine1>DORON ARABOV</BusinessNameLine1>
          </BusinessName>
          <USAddress>
            <AddressLine1>4521 SHARON ROAD 101</AddressLine1>
            <City>CHARLOTTE</City>
            <State>NC</State>
            <ZIPCode>28211</ZIPCode>
          </USAddress>
          <Title>DIRECTOR</Title>
          <AvgHoursPerWkDevotedToPosition>1.00</AvgHoursPerWkDevotedToPosition>
          <Compensation>0</Compensation>
          <ContriToEmplBenefitPlansEtc>0</ContriToEmplBenefitPlansEtc>
          <ExpenseAccountOtherAllowances>0</ExpenseAccountOtherAllowances>
        </OfcrDirTrusteesOrKeyEmployee>
        <OfcrDirTrusteesOrKeyEmployee>
          <BusinessName referenceDocumentId="RetDoc3">
            <BusinessNameLine1>ALON ARABOV</BusinessNameLine1>
          </BusinessName>
          <USAddress>
            <AddressLine1>4521 SHARON ROAD 101</AddressLine1>
            <City>CHARLOTTE</City>
            <State>NC</State>
            <ZIPCode>28211</ZIPCode>
          </USAddress>
          <Title>PRES/DIRECTO</Title>
          <AvgHoursPerWkDevotedToPosition>1.00</AvgHoursPerWkDevotedToPosition>
          <Compensation>0</Compensation>
          <ContriToEmplBenefitPlansEtc>0</ContriToEmplBenefitPlansEtc>
          <ExpenseAccountOtherAllowances>0</ExpenseAccountOtherAllowances>
        </OfcrDirTrusteesOrKeyEmployee>
        <OfcrDirTrusteesOrKeyEmployee>
          <BusinessName referenceDocumentId="RetDoc3">
            <BusinessNameLine1>ITAY BERGER</BusinessNameLine1>
          </BusinessName>
          <USAddress>
            <AddressLine1>4521 SHARON ROAD 101</AddressLine1>
            <City>CHARLOTTE</City>
            <State>NC</State>
            <ZIPCode>28211</ZIPCode>
          </USAddress>
          <Title>VP/SEC/TRE/D</Title>
          <AvgHoursPerWkDevotedToPosition>5.00</AvgHoursPerWkDevotedToPosition>
          <Compensation>0</Compensation>
          <ContriToEmplBenefitPlansEtc>0</ContriToEmplBenefitPlansEtc>
          <ExpenseAccountOtherAllowances>0</ExpenseAccountOtherAllowances>
        </OfcrDirTrusteesOrKeyEmployee>
        <CompOfHighestPaidEmplNONE>NONE</CompOfHighestPaidEmplNONE>
        <CompOfHghstPaidCntrctNONE>NONE</CompOfHghstPaidCntrctNONE>
      </OfcrDirTrusteesKeyEmployeeInfo>
      <SumOfProgramRelatedInvestments>
        <Description1>N/A</Description1>
      </SumOfProgramRelatedInvestments>
      <MinimumInvestmentReturn>
        <AvgMonthlyFMVOfSecurities>0</AvgMonthlyFMVOfSecurities>
        <AvgMonthlyCashBalances>0</AvgMonthlyCashBalances>
        <FMVAllOtherNoncharitableAssets>0</FMVAllOtherNoncharitableAssets>
        <TotalFMVOfUnusedAssets>0</TotalFMVOfUnusedAssets>
        <AdjTotalFMVOfUnusedAssets>0</AdjTotalFMVOfUnusedAssets>
        <CashDeemedCharitable>0</CashDeemedCharitable>
        <NetNoncharitableAssets>0</NetNoncharitableAssets>
        <MinimumInvestmentReturn>0</MinimumInvestmentReturn>
      </MinimumInvestmentReturn>
      <DistributableAmount>
        <DistributableAmountAsAdjusted>0</DistributableAmountAsAdjusted>
      </DistributableAmount>
      <QualifyingDistributions>
        <ExpensesAndContributions>64350</ExpensesAndContributions>
        <QualifyingDistributions>64350</QualifyingDistributions>
        <AdjQualifyingDistributions>64350</AdjQualifyingDistributions>
      </QualifyingDistributions>
      <UndistributedIncome>
        <DistributableAmountAsAdjusted>0</DistributableAmountAsAdjusted>
        <UndistributedIncomePriorYear>361</UndistributedIncomePriorYear>
        <PriorYear1>2009</PriorYear1>
        <PriorYear2>2008</PriorYear2>
        <PriorYear3>2007</PriorYear3>
        <ExcessDistriCarryoverYear1>361</ExcessDistriCarryoverYear1>
        <TotalExcessDistriCarryover>361</TotalExcessDistriCarryover>
        <QualifyingDistributions>64350</QualifyingDistributions>
        <AppliedToYear1>361</AppliedToYear1>
        <RemainingDistriFromCorpus>63989</RemainingDistriFromCorpus>
        <TotalCorpus>64350</TotalCorpus>
        <UndistributedIncomeCY>0</UndistributedIncomeCY>
        <DistriFromCorpus170b1EOr4942g3>64350</DistriFromCorpus170b1EOr4942g3>
      </UndistributedIncome>
      <SupplementaryInformation>
        <OnlyContributesToPreselected>X</OnlyContributesToPreselected>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>CHARLOTTE TORAH CENTERR</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>5824 PROVIDENCE ROAD</AddressLine1>
            <City>CHARLOTTE</City>
            <State>NC</State>
            <ZIPCode>28226</ZIPCode>
          </RecipientUSAddress>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>EDUCATION</PurposeOfGrantOrContribution>
          <Amount>1800</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>LUBAVITCH OF NC</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>6619 SARDIS RD</AddressLine1>
            <City>CHARLOTTE</City>
            <State>NC</State>
            <ZIPCode>28270</ZIPCode>
          </RecipientUSAddress>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>EDUCATION</PurposeOfGrantOrContribution>
          <Amount>60000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>THOMPSON CHILD &amp; FAMILY F</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>6800 SAINT PETERS LANE</AddressLine1>
            <City>MATTHEWS</City>
            <State>NC</State>
            <ZIPCode>28105</ZIPCode>
          </RecipientUSAddress>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>WELFARE</PurposeOfGrantOrContribution>
          <Amount>150</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>AVON WALK FOR BREAST CANC</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>ONE AVON PLAZA</AddressLine1>
            <City>RYE</City>
            <State>NY</State>
            <ZIPCode>10580</ZIPCode>
          </RecipientUSAddress>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>FIGHTING CANCER</PurposeOfGrantOrContribution>
          <Amount>700</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>THE BRIDGES FOUNDATION</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>1600 7TH AVE</AddressLine1>
            <City>BIRMINGHAM</City>
            <State>AL</State>
            <ZIPCode>35233</ZIPCode>
          </RecipientUSAddress>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>HELP FOR CHILDREN WHO NEED ORGAN TRA</PurposeOfGrantOrContribution>
          <Amount>1700</Amount>
        </GrantOrContriPaidDuringYear>
        <TotGrantOrContriPaidDuringYear>64350</TotGrantOrContriPaidDuringYear>
      </SupplementaryInformation>
      <TrnsfrTrRlnWithNoncharitableEO>
        <TrnsfrOfCashToNoncharitableEO>false</TrnsfrOfCashToNoncharitableEO>
        <TrnsfrOthAssetsNoncharitableEO>false</TrnsfrOthAssetsNoncharitableEO>
        <SalesOrExchangesOfAssets>false</SalesOrExchangesOfAssets>
        <PurchaseAssetsNoncharitableEO>false</PurchaseAssetsNoncharitableEO>
        <RentalOfFacilitiesEtc>false</RentalOfFacilitiesEtc>
        <ReimbursementArrangements>false</ReimbursementArrangements>
        <LoansOrLoanGuarantees>false</LoansOrLoanGuarantees>
        <PerformanceOfServicesEtc>false</PerformanceOfServicesEtc>
        <SharingOfFacilitiesEtc>false</SharingOfFacilitiesEtc>
        <RelationshipsNoncharitableEOs>false</RelationshipsNoncharitableEOs>
      </TrnsfrTrRlnWithNoncharitableEO>
    </IRS990PF>
    <IRS990ScheduleB documentId="RetDoc1">
      <Organization501c3ExemptPF>X</Organization501c3ExemptPF>
      <GeneralRule>X</GeneralRule>
      <ContributorInfo>
        <ContributorNumber>1</ContributorNumber>
        <ContributorNameIndividual>DIAMONDS DIRECT USA INC</ContributorNameIndividual>
        <ContributorAddressUS>
          <AddressLine1>4521 SHARON RD</AddressLine1>
          <City>CHARLOTTE</City>
          <State>NC</State>
          <ZIPCode>28211</ZIPCode>
        </ContributorAddressUS>
        <AggregateContributions>64200</AggregateContributions>
        <PersonContributionType>X</PersonContributionType>
      </ContributorInfo>
    </IRS990ScheduleB>
    <CompensationExplanation documentId="RetDoc3">
      <Compensation>
        <BusinessName>
          <BusinessNameLine1>DORON ARABOV</BusinessNameLine1>
        </BusinessName>
      </Compensation>
      <Compensation>
        <BusinessName>
          <BusinessNameLine1>ALON ARABOV</BusinessNameLine1>
        </BusinessName>
      </Compensation>
      <Compensation>
        <BusinessName>
          <BusinessNameLine1>ITAY BERGER</BusinessNameLine1>
        </BusinessName>
      </Compensation>
    </CompensationExplanation>
  </ReturnData>
</Return>