R10 million bust highlights the ongoing plague of illicit cigarette trade in the Western Cape
R10 million worth of illicit cigarettes were found hidden inside a truck in Swellendam.
Image: The Hawks
The illicit cigarette trade continues to cripple the Western Cape’s economy and the country following yet another significant bust worth R10 million in Swellendam.
The Directorate of Priority Crime Investigation, the Hawks said following an intense intelligence driven operation, a 44-year-old suspect was arrested, for allegedly being in possession of the illicit cigarettes.
The operation included members of the Hawks Serious Commercial Crime Investigation, Swellendam SAPS, Syndicated Tax & Custom Crime (STCC) and the Illicit Economy Activities Unit (IEAU) from SARS and led to the seizure of a truck carrying illicit cigarettes to the value of R10 million.
Warrant Officer, Zinzi Hani explained: “It is reported that on September 11 , members of Swellendam Vispol were alerted about a truck travelling from Mossel Bay to Swellendam to deliver possible illicit cigarettes at a shop.
“The truck was stopped and searched by the police.
“A day later on September 12, a 44-year-old owner of the shop was arrested.
“The suspect will make his first appearance on charges of Fraud, forgery, uttering and Contravention of Sections of the Customs & Excise Act.”
R10 million worth of illicit cigarettes were found hidden inside a truck.
Image: the Hawks
Hani explained that the origin of the recovered items will be determined by the ongoing investigation.
The huge success follows the Tax Justice South Africa (TJSA) calling for the illicit trade to be declared a national emergency earlier this month.
The Tax Justice SA (TJSA) reported that the country was losing more than R250 million every day to criminals carrying out this trade.
Yusuf Abramjee, founder of Tax Justice SA said the effect on the rand saw schools to hospitals not being built.
TSA stated the illicit trade cost the country an estimated R28 million a year while illicit alcohol trade contributed to a loss of R16.5 billion annually.
They said the The new “Mbeki II” report compiled by the African Union (AU) shows the continent is bleeding even more than when former President Thabo Mbeki first exposed illicit financial flows a decade ago.
Instead of leading the fight, South Africa has sunk deeper into the problem, they added.
“We were grey listed by financial watchdogs in 2023 because the government failed to act. Yet still nothing changes,” Abramjee said.
“Al Jazeera’s Gold Mafia investigation laid bare massive international money-laundering through South Africa. Two years later, not a single arrest has been made. Criminals are laughing at us, while honest, hard-working South Africans pay the price.”
Get your news on the go, click here to join the Cape Argus News WhatsApp channel.
Cape Argus