NASHVILLE, Tenn. -- Thousands of dollars worth of designer jewelry is missing, and it was apparently stolen while it was in the care of the United States Postal Service.

Video: $25,000 Worth Of Jewelry Missing

Jewelry store owner Scott Isaacs is getting a lesson on what happens when trust is broken.

In September, he trusted the USPS to deliver $25,000 worth of jewelry to an out of town address. Days later when it didn't arrive, Isaacs became suspicious.

Thirty days later he said he was told the package was stolen.

"I had many sleepless nights over this," said Isaacs.

He said he sent the parcel through registered mail and purchased $10,000 worth of insurance from the post office.

A private company insured the other $15,000.

"I'm afraid that the fact there's a value on the slip of $10,000 somebody saw that and they said, ‘Well, if were going to steal something, this is the package we're stealing,'" said Isaacs.

The jewelry is still nowhere to be found, and the private company paid up.

As far as the postal service, he's still waiting for the government to pay its part of the deal. On Monday, he was told the case was closed.

"The red tape in this is very frustrating. As a small business, we rely on the U.S. Post Office to ensure that things move effortlessly and seamlessly. In this particular case, I've hit nothing but a brick wall," said Isaacs.

This business has no choice but to use the U.S. Postal Service. It is the only way it can get private insurance.

Despite what has happened, the store will once again go the post office for its shipments.

The postal service said the claim is being investigated.

On Tuesday, Isaacs received $10,000 from the USPS for the jewelry he insured through them.