REPORT FOR PARLIAMENTARY PORTFOLIO COMMITTEE SCCU 2005/6 AND 2006/07

1. Purpose:

The mandate of the Specialised Commercial Crime Unit (SCCU) is to effectively investigate and prosecute complex commercial crime emanating from the SAPS Commercial Crime Branch, thereby contributing to the South African Economy.

2. Measurable objectives:

Measurable Objectives

Broadly speaking activities in the Unit were mainly directed by the following strategic objectives and measures as set out in the annual plan, namely:

·         Transformation and developing skilled staff

·         Ensuring speedy and effective prosecutions, which is linked to ensuring that investigations and prosecutions are properly coordinated and managed

·         Providing increased access to SCCU services

·         Ensuring that customers are treated in accordance with the Bill of Rights and Batho Pele

·         Ensuring that sound governance processes are followed

3. Highlights of achievements:

The SCCU process is reliant on prosecutor guided investigations. This is enhanced by a system of case planning which is reviewed annually.

The SCCU finalised their Customer Charter, this included an information pamphlet and feedback forms, some of which have been completed by the customer so as to assess the standard of customer service.

Several high profile cases are being investigated or are pending on the court rolls, including prosecutions of members of the NPA, high ranking police officials and other civil servants as well as prominent businessmen.  Examples of these are:

S v TP CORNWELL TSHAVUNGHWA (ex Deputy Director of Public Prosecutions) – CONVICTED 4 JANUARY 2007 (2 COUNTS FRAUD, 2 COUNTS PERJURY 1 COUNT DRIVING UNDER THE INFLUENCE -SENTENCE 7 MAY 2007

S v G A KEET (ex Magistrate) – CONVICTED ON 28 COUNTS OF CORRUPTION – SENTENCE 8 YEARS

S v MABENA – THEFT OF CONVEYANCERS EXAM PAPER – SENTENCE 18 MONTHS SUSPENDED

S v DU PREEZ – (ex SAPS Superintendent) CONVICTED THEFT OF R4.6 MILLION – SENTENCED TO 8 YEARS IMPRISONMENT

S v KAMARA – CONVICTED FRAUD (BLACK DOLLARS) – 7 YEARS IMPRISONMENT

S v RWEXANA – FRAUD (RDP HOUSING) – 6 YEARS 2 SUSPENDED

S v JOZANA – THEFT TRUST MONEY – SENTENCE – 2 YEARS I.T.O. SEC 276(i)

S v ZONDEKI – (Ex Director SAPS) FRAUD – SENTENCED 5YEARS SUSPENDED

S v LOTTER – ATTORNEY FRAUD AND THEFT – 3YEARS SEC 276(1)(i)

S v THOMAS – ATTORNEY THEFT TRUST MONEY – 4 YEARS SEC 276(1)(i)

S v KINGHORN – INVESTMENT FRAUD – CONVICTED FEB 07, SENTENCE 03 JULY 2007

S v ARUMUGAM AND 3 OTHERS – (RAF TOUTING) – SENTENCED 12 YEARS, 6 SUSPENDED

S v DOOKIE – LICENSING FRAUD – SENTENCED TO R5000.00 FINE + R300K TO AFU

S v O’REILLY - CONVICTED 28 COUNTS FRAUD – SENTENCED 15 YEARS IMPRISONMENT

S v GHASSAN – CONVICTED COUNTERFEIT GOODS ACT – SENTENCED 5 YEARS IMPRISONMENT

S v MOMBERG – CONVICTED FRAUD SENTENCED 2O YEARS IMPRISONMENT

S v PETER GHAVALAS – A MUTI MILLION FRAUD SCHEME INVOLVING PENSION SCHEMES.  CURRENTLY ENROLLED FOR TRIAL IN OCTOBER.

 

In 134 cases sentences of direct imprisonment were imposed.

The SCCU surpassed most of its operational targets.

The roll out of the SCCU to Cape Town is almost finalised, with appointments of some staff having been finalised and the court starting to sit during February 2007.The roll out to Bloemfontein has been finalized save for the fact that Bloemfontein office does not have a dedicated court for the hearing of commercial crime cases at its disposal.  The Director General of Justice and Constitutional Development approved of the procurement of accommodation in this regard during February 2007. This matter is still in abeyance.

The RAF project

This project is running very successfully, with a large number of cases being finalised by a relatively small staff complement.

The SAFACT project

This project has reached its full fruition, with two contract prosecutors having been appointed. 

Strategic imperatives were run on a project basis for which all Deputies and the Office Managers took responsibility. They were assisted by the staff they manage. This is conducive to participatory management and skills transfer.  Several members of the SCCU are involved in the planning and implementation of strategic imperatives as per the Annual Plan of the NPA.

4          Ensuring speedy and effective prosecutions

  • Deadwood cases screened – 100%
  • Admission of Guilt fines considered / imposed – 38 cases
  • Cases finalised by way of s105A – 537 cases
  • Case Flow Management reviewed / revised - ongoing
  • Finalised cases increased – 57.38% increase
  • Maintained high conviction rate – actual 95.56%
  • Average court hours increased – 4h34
  • Case load per prosecutor increased – average 73.22
  • Staff turnover rate – 1.34% actual.  59 vacancies (including new posts created) – advertised and awaiting filling of positions.
  • Awaiting trial prisoners > 2 years = 10 and > 6 months = 92.  This can to a large extent be attributed to the protracted nature of these cases and the workload of prosecutors and investigators.

 

Operational results

 

 

06/07

05/06

04/05

COURT HOURS

4.34

4.94

4.69

ENROLLED

1844

1431

935

OUTSTANDING

1163

1056

843

CONVICTIONS

1515

857

653

SENTENCES

1485

916

635

ACQUITTALS

53

13

36

CONV. RATE

95.56%

94.63%

94.78%

WITHDRAWALS

343

268

213

> 6MONTHS

55.8%

NA

NA

SEC 105 A

537

171

90

CASES RECEIVED

3423

2823

3077

CASES FINALISED

3574

2271

1772

 

5.   Vacancies in the SCCU

 

 

Post

Pta HO

Pta

Jhb

PE

Durb

Bft

Cape

Total

SD

-

-

-

-

-

 

-

-

DDPP

4

1

3

-

-

-

1

9

SSA

-

3

9

3

3

2

4

24

D2 Pros

-

2

3

2

2

3

3

15

Cor Man

-

-

-

-

-

 

 

-

P/A

-

-

-

-

-

-

-

-

Admin

1

4

1

1

1

1

 

9

Total

5

10

16

6

6

6

8

57

 

 

 

 

 

 

 

6. Overview of the service delivery environment for 2005/06 and 2006/2007

The performance of the SCCU as a whole has been excellent, as can be seen from the information supplied supra.  The conviction rate is consistently high, and the number of cases finalised has increased steadily since inception.  The public and business public in particular have been well served during the period under review.

 

The quality of the service rendered to the community as a whole has been of a very high standard, despite the challenges currently being faced, as a result of paucity of resources, both within the prosecution services of the SCCU and the investigation component of the SAPS.

 

As far as possible the budget of the SCCU has been put to optimal use in order to obtain the best possible results under the prevailing circumstances.

 

Case Flow Management is still presenting some challenges, since the placement of matters on the roll has been taken over by the Judiciary, and as such leaves the Prosecution with little control in some cases.  This has had a negative effect on the number of court hours within the Pretoria office of the SCCU.  The problems associated herewith are being addressed but will take some time to eradicate the teething problems.

 

7. Organisational challenges experienced by the SCCU in the period under review.

Strong organisational challenges have been faced by the SCCU during the year under review.  There has been a shortage of prosecutorial personnel, both due to vacancies (and the time taken to fill vacant posts) and also a paucity of personnel. (See par 5 supra) 

Our partner in the endeavours of the SCCU is SAPS Commercial Branch.  They, too, have faced serious challenges with regard to a paucity of personnel, and this has impacted strongly on the ability of the SCCU to meet and / or beat its targets.  It has also had a negative effect on the number of cases received by the SCCU, and the turnaround times achieved due to a very serious shortage of investigators and / or experienced investigators.  Some new appointments have been made in the Commercial Branches of the SAPS.  This has alleviated the problem to a small degree, as most of the appointments were promotions, which are in-house, and have not necessarily resulted in a large number of new members.

The following are also experienced as operational challenges, and have a definite impact upon the ability of the unit to produce satisfactory results:

 

§         Need for a 3rd court in Pretoria

§         Need for a 2nd court in Durban – a second court commenced sitting in Durban in February 2007

§         Need for dedicated magistrates positions in PE, Cape Town and Durban.

§         Need for a dedicated court in Bloemfontein – this should be rectified in the next financial year.

§         The case load per prosecutor which is alarmingly high in Pretoria (64 cases), Johannesburg (108.1 cases), Durban (93 cases) and PE (69 cases).

§         The management of the Cape Town SCCU without a Head of Office.  (The new Head of office commenced duty on 2 April 2007.)

§         The strategic management of the unit without dedicated personnel to assist the Head of the unit. 

 

8. Strategic overview and key policy developments for the 2005/06 and 2006/07 financial years

The new Corruption Act has had a definite influence on the activities of the SCCU during the relevant period, bearing in mind that this Act is part of the initiative to combat corruption and related activities on a large scale.

 

The inflow of such cases to the SCCU during the relevant period has increased, and a resultant increase in the number of prosecutions (66) and convictions (4) of these types of offences.

 

Endeavours will be made in the next financial year to aggressively pursue these crimes in close cooperation with the AFU and the Special Investigating Unit.

 

The Transformation initiative of the NPA Change Centre has also had a definite impact on the activities of the Unit, the various projects taking up a large portion of time normally allocated to the investigation and prosecution of commercial crime.

Endeavours should be made in this regard to appoint dedicated personnel to oversee these functions.

As mentioned supra the case load generally in the SCCU is a grave cause of concern and the focus should be on the prompt filling of vacancies in the SCCU.  This should alleviate the burden to a certain extent.

 

 

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