KOIDU, Sierra Leone Sierra Leone's infamous "blood diamonds," principally used to finance a bloody 10-year-old civil war, are being mined with impunity despite a government ban on the trade.

A tripartite meeting between the Revolutionary United Front (RUF) rebel group, the Freetown government and the UN mission in Sierra Leone, agreed on July 17 to ban mining in the diamond-rich eastern region of Kono.

Seen from the sky, the eastern town of Koidu -- 250 kilometers (150 miles) east of Freetown and the district headquarters of Kono -- is dotted with holes and craters made by diamond prospectors.

Despite daily patrols by Pakistani UN peacekeepers, mining goes on openly.

"I don't want to be a soldier, I have given up my arms and they gave nothing in return so I'm trying my luck here. Many of my comrades are doing this rather than attacking civilians," said former RUF fighter Ibrahim Kourouma.

However, not everyone is striking it lucky.

"I came from Freetown two weeks ago. I am a civilian. I have found nothing," said 28-year-old Samuel Georges.

Kono has seen an influx of people since the UNAMSIL, or UN Mission in Sierra Leone, deployed here after the launch of a disarmament program early this year.

Many have been drawn by the lure of the precious stones.

Mohamed Yerima, military spokesman for UNAMSIL, said: "Everybody is mining in this country except UNAMSIL and it is good for unemployed people".

"The government and the rebels had said they would monitor each other but they haven't. We came here to keep peace. Our mandate is not to control diamond mining, it is up to the government to do so."

A diamond dealer, in the trade for 30 years, said: "Nobody has stopped mining even one day," adding that the problem was that "the country itself has never benefited from the diamonds.

"The RUF is making at least $100 million a year with diamonds. They are very organized, selling in Abidjan, Banjul, Liberia, Antwerp, New York, everywhere.

"All the diggers in Kono are working directly or indirectly for the ruf. It has always been like that, the government is not willing to control... there is a lot of smuggling going on."

According to a UN team of experts which visited Sierra Leone in September last year, the volume of the blood diamonds trade varies from between $25 and $125 million a year.

Sierra Leone Justice Minister Solomon Berewa said: "The moratorium about diamonds says that diamonds can be mined but not used to buy weapons. I don't like adjectives: blood diamonds, misery diamonds..."

"Diamonds should not be in the possession of people who want to make war with the money they get from it. But it is normal that people are trying their luck in diamonds and these diamonds are not blood diamonds."

Freetown has issued around 96 certificates to diamond exporting companies to curb smuggling and trade in the "blood diamonds." They are part of the control regime, approved by the UN Security Council.

Under the scheme, all diamonds exported have to be accompanied by a certificate of origin signed by officials of the Mineral Resources Ministry and the Central Bank.

The certification is then E-mailed to importers.

The country exported a total of 132,394 carats between October 2000 and May 2001, earning $17.34 million.