Seizing Criminal Assets to Fight Crime
Willie Hofmeyr
Asset Forfeiture Unit
National Prosecuting Authority
Report to Parliament
May 2008
1
Overall objectives• NPA set up AFU in 1999 to ensure that POCA
properly implemented • Offices in every province: Jhb Pta Dbn Ctn PE
– Smaller offices in EL Bfn Kim Polokwane Nels• 2 major strategic objectives
1: Increase the volume of cases
• to build the capacity to do more cases to make a real impact in the fight against crime
2: Developing the law
• to do test cases and create legal precedents that allow the effective use of the law
2
1: Increasing the volume of cases
2006 / 2007 2007 / 2008
Indicator Target: Actual: % ofTarget
Target: Actual % oftarget
Number of cases
Seizures 230 253 110% 250 218 87%
Cases completed 180 246 138% 220 221 100%
Monetary targets Seizures R300m R1 297m 432% R300m R 345m 115%
Cases completed R120m R101m 84% R120m R127m 106%
Funds into CARA R25m R 19m 77% R25m R 46m 182%3
Notes on new restraint cases
• 06/07: was exceptional year, well above target on most indicators
• 07/08: lost several skilled staff, had to replace– Also impacted by uncertainty around DSO
• New restraint orders• No. cases: 06/07 was 10% above target
– 07/08: 13% below target, • but 3% below if take account of staff losses
• Value of cases: 06 /07 330% above target– David King – largest case ever - R1bn frozen– Delport – customs fraud of R350m – 07/08: had good year, 15% above target
4
Notes on completed cases
• Completed cases • No. cases: 06/07 was 38% above target
– 07/08: on target • 10% above if take account of staff losses
• Value of cases: 06 /07: 16% below target– 07/08: had good year, 10% above target
• CARA deposits (Criminal Assets Recovery Account)– 06/07 - 23% below target– 07/08: best year ever, 82% above target– Some big deposits still pending
5
CARA first payments• First CARA payouts made this year • Was an important development • Most of funds to fight crime • But also to help organisations that assist victims
– DSD – 8 rape crisis and battered woman centres
– SAPS – one way glass for ID parades – TRC victims – SOCA – specialised equipment for sexual
offences courts6
2: Developing the law2006 / 2007 2006 / 2007
Indicator Target Actual % oftarget
Target: Actual % oftarget
Total Judgements 36 33 92% 36 30 83%
Judgements: Con Court 3 0
Supreme Court Appeal 4 3
Success rate 67% 81% 14% 72.5% 70% -2.5%
Success rate: CC/SCA 75% 71% -4% 75% 33% -42%
Judgements to date Success rate to date
All judgements 235 67.4%
Constitutional Court 6 83%
Supreme Court Appeal 22 59%7
Note on judgements• Success rate of more than 85% in all cases taken on
– Losses include those where it is not fault of AFU, eg person accquited
• Also measure success rate in cases where judgments are obtained
• In 4 years to April 2003 – won only 48% of judgments (25 of 52)
• Big change in last 5 years in judgements– won 73% of judgements (133 of 182)
8
CC Judgements 06/07, 07/08
Constitutional Court• Prophet drug house - appeal refused. Clarify
instrumentality forfeitures • Absa vs Fraser – legal expenses cannot be
granted to accused at the expense of creditors or victims without hearing them
• Mohunram – illegal casino instrumentality – Lost narrowly 6 vs 5 – Majority appear to require organised crime link
9
SCA judgements 06/07, 07/08
Supreme Court of Appeal• Shaik – held that AFU can take gross benefit – not only
the profit. Clarify confiscation procedure – Still waiting for outcome of CC appeal
• Van Staden – drunk driving cars are instrumentalities • Mngomezulu – drug dealer – curator can sell off property
to pay expenses of the estate• Van Rensburg – lost on technical point• Singh - • Vermaak – drunk driving cars are instrumentalities, but it
is not proportional • Geyser – brothel is instrumentality, no proportionality
problem 10
Partners relations• Relations with partners excellent• SAPS (incl SCCU)
– about 83% of cases, 38% value • about 50% of value through SCCU
– 45 SAPS detectives in AFU offices full-time• DSO – about 13 % of cases, 60% value • SARS – Delport, King and other cases• NPS – ensure that get more referrals
– Working on new organised crime initiative• Others: SARB, FIC, Marine & Coastal Managm 11
Challenges• Major challenge to expand its capacity sufficiently to deal
with all the cases that are currently in court and where asset forfeiture can be done
• Estimate is about R1 to R2 billion, – apart from other proceeds that can be targeted
through civil forfeiture• Prepared a business case to expand capacity sufficiently
to deal with this over 5 years• Requires expanding the budget almost eight -fold
– Budget has increased significant additional funding
12
Top Related