Chopping and changing:

Restructuring the SAPS Commercial Crime Units

The investigation and prosecution of commercial criminals has been the function of the SAPS commercial crime, syndicate fraud and fraud units for three decades. With the restructuring of the SAPS detective service there is currently no clarity about how a newly structured set of units will function, or, indeed, whether they will continue to exist in their current form.

Given the economic importance of the capacity of a state to tackle commercial crimes, the restructuring of the Commercial Crime Units (CCUs) is an important process and needs to be delicately managed.

In January 2001 Jackie Selebi, SAPS National Commissioner, announced that his department intended to restructure the detective service. He said the purpose was to ensure a more integrated approach to tackling organised crime, while at the same time strengthening the capacity of police stations to investigate serious crimes.

These aims were to be achieved by amalgamating those specialised units with overlapping mandates, or mandates which could result in their unwittingly investigating the same syndicates and criminals. At the same time the stated intention was to reduce the number of detectives in specialised units and to send those who had acquired skills in such units back to police stations, along with some of their equipment.

Reaction to Selebi’s plans

The announcement of these plans was met with mixed reactions. On the one hand there was support for the intention to strengthen police stations, the possibility of more effective policing of organised crime, and the enhanced transparency fostered by the reduced number of semi-autonomous specialised units.

On the other hand, however, some concern was expressed both by members of the detective service as well as security commentators. These concerns focused on the disruption to operations, the increased uncertainty among detectives, and the limited change management know-how in the police. All of these, it was felt, might reduce effectiveness, at least in the short-term, and would possibly lead to a further haemorrhaging of skills.

Running through all the commentary on the proposed restructuring, however, was a common refrain that the devil was in the proverbial detail. The impact of restructuring on the performance of the detectives and the police as a whole would ultimately depend on what the restructured units looked like and how well the process was managed.

Pacing the changes

At the time of writing — some months after the initial announcement — there is still uncertainty about the direction and process of restructuring specialised units. That this is so is reflected in the reluctance expressed by many senior members of the CCUs to be quoted about the transformation of their units.

That there is no clarity about the process or final outcome of the restructuring of CCUs in the SAPS reflects both the complexity and breadth of the mandate of CCUs. Changes to the current structure and functioning of the units is viewed in some quarters as risky, given South Africa’s limited capabilities in this regard.

In general, current and former officers interviewed urge caution in making dramatic changes. They suggest that it is not at all obvious that the amalgamation of these units into organised crime structures, or the devolution of their functions to police stations makes sense either for the existing units or for the units into which they would be merged. This, they argue, is because of the uniqueness of the mandate and methodology of the CCUs.

CCU methodology

CCUs have been in existence in South Africa for over 30 years, and have evolved a system and structure which seeks to ensure that three basic capabilities are maintained and reproduced. This division of its work into three categories is the most important element in the methodology of the CCUs.

The vast majority of cases involve the investigation of simple fraud; generally committed by individuals and primarily return-to-drawer cheque frauds in which a person writes a cheque knowing that s/he does not have the funds to meet it.



Syndicate fraud forms the next most common type of investigation. This involves a group of people who attempt to defraud banks and/or merchants using a variety of schemes, usually involving a form of fraud known as kite-flying or any of the numerous advanced-fee frauds.



Commercial crimes proper are the least common and require the most complicated investigations. They involve the violation of any one of up to 6000 criminal offences arising from South African company law, as well as the laws regulating professions such as law, financial services and accountancy.

The division of the mandate of the CCU into these three categories reflects the extent to which CCU cases vary in their levels of complexity, while at the same time mapping out a neat career path for a detective with an interest in commercial crime. Such a detective has, historically, started out investigating simple fraud, and, if s/he were to demonstrate aptitude and commitment, might graduate to more complex investigations.

In the light of the current lack of clarity regarding the restructuring of CCUs, there is a concern that the natural training and career path of a CCU detective might be negatively affected by moves to dissolve or restructure the units. It is therefore important that such a trajectory remains in existence if the SAPS is to retain its capacity to investigate complex commercial crime. Even though most fraud cases are extremely simple and could easily be handled at station level, it is not clear how the skills necessary for the more complicated investigations will be reproduced if the CCUs are dissolved.

Remaining effective

Another important argument against a too dramatic change in structure is that the most complex cases involving violations of company law, regulations governing the stock exchange, and the like, are unique. Moreover, they are not, at least in the view of the detectives interviewed, typical organised crime cases. These are crimes committed by people in violation of the trust vested in them, and seldom involve organised crime as it is traditionally understood. Linking these investigations to other organised crime investigations would, therefore, make little impact on effectiveness.

And effectiveness is, after all, the criterion that should be uppermost in the minds of change managers. Judging by the views of some of the security experts in South African banks, the CCUs need to go some way towards raising their levels of service. They are concerned that the present talk of restructuring is lowering morale and encouraging dedicated and talented SAPS members to leave the service.

Antony Altbeker
Graduate School of Public and Development Management

This article is sponsored by the European Union