Seizing Criminal Assets to Fight Crime Asset Forfeiture Unit National Prosecuting Authority Report to National Council of Provinces, Parliament May 2007

Overall 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

1: Increasing the volume of cases 2005 / 2006 2006 / 2007 Indicator Target: Actual: % of target   Actual Number of cases Seizures 210 252 120% 230 110% Cases completed 160 220 138% 180 244 134% Monetary targets R 250m R 344m R300m R 775m 258% R 100m R 107m 107% R120m R101m 84% Funds into CARA R 50m R 20m 40% R25m R 19m 77%

Notes on volume of cases New seizures No. of cases: well above target Value of cases: More than double annual target Due to King case (est R500m frozen – possibly R1bn) Completed cases Value of cases: About 15% below target CARA Slightly below target Shaik deposit of about R42m only next year

Important cases David King – obtained freezing orders through MLA in Guernsey, England and Wales for as much as about R1 billion – one of largest cases ever He has vowed to drag the case on for next 10 years Delport – customs fraud of R350m largest ever number of assets seized in SA – about R80m Shaik finalised – will pay about R40m

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

2: Developing the law 2005 / 2006 2006 / 2007 Indicator Target Actual % of target   Target: Total Judgements 45 38 84% 36 32 89% Judgements: Con Court 1 2 Supreme Court Appeal 4 Success rate 67% 72% +5% 81% 14% Success rate: CC/SCA 75% 80% -8% Judgements to date Success rate to date All judgements 204 Constitutional Court 6 83% 19 63%

Note on judgements Success rate of more than 85% in all cases 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 3 years in judgements 03/04 won 77% of judgements (27 of 35) 04/05 won 65% of judgements (30 of 46) 05/06 won 72% of judgements (27.5 of 38) 06/07 won 81% of judgements (26 of 36) Since Nov 2004, have won 12 of 15 cases in SCA/CC = 80%

Important judgements 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 Shaik – will argue leave to appeal on 24 May

Important judgements Supreme Court of Appeal Shaik – held that AFU can take gross benefit – not only the profit. Clarify confiscation procedure 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 High Court notable cases Boekhoud/Yield – hearsay admissible when undercover agents still in syndicate Marinus – compelled to disclose assets to get legal expenses

Partners relations Generally relations are excellent SAPS (incl SCCU) about 90% of cases, 30% value Have SAPS task teams in most AFU offices DSO – about 8 % of cases, 67% value SARS – Delport case NPS – ensure that get more referrals Working on new organised crime initiative Others: SARB, FIC, MCM

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