Bulletin - January 2007

EDITORS NOTE
o 2006 has been forgotten, confined to history. It was a difficult year for the Crime Prevention Programme. The launch of Phase 2 ID Cards, in spite of all the planning, dry runs, an initial run with a company for 500 cards, proved incredibly difficult. However, with much effort from the Crime office staff, varying levels of tolerance and upset on the part of our members, eventually the initial phase (getting cards to existing staff) was completed in the last quarter of the year. We are now printing 2 or 3 here, 10 there, for new staff at our member companies.

Armed Robberies continued to plague us throughout the year, although November & December bucked the trend. We had significantly less incidents during these 2 months. A note of thanks has been sent to the National Commissioner on your behalf, commending the Police for their high levels of visibility during this period and its concomitant effect on reducing crime. What a sight to see a police helicopter land and 20 policemen, armed with assault rifles and dressed in body armour, disembark and move through a shopping centre with purpose. This year our goal is to bring the Crime Prevention Programme to our members. Each and every company should benefit from the services we provide, and if there are services we are not providing but should be we want to know. Let 2007 be a year of delivery value to you. Keep Safe. Michael Broughton Director of The Crime Prevention Programme

CASH IN TRANSIT ROBBERIES IN THE RETAIL INDUSTRY

he mission of the Crime Prevention Programme (CPP) of the Consumer Goods Council of South Africa (CGCSA) is to co-ordinate the individual anti-crime efforts of the Consumer Goods Industry, through sharing of non-competitive information, in order to develop industry solutions to reduce crime for the benefit, not just of our industry, but South Africa as a whole. It is also with this mission in mind that the CGCSA are in partnership with organisations such as BAC (Business

Against Crime), CRAG, SABRIC (South African Banking Risk Intelligence Centre). Cash in transit is not the core business of CPP but the programme is more involved with armed robberies, burglaries and hijackings. Part of the CPP s function is to gather as much information as possible with regards to crime. The information shared with you is based on research conducted by various experts.

appear that when statistics of crime decline in one sector, there is an increase in another. Very much like a see-saw to which experts refer to as crime displacement. Currently this seems the case with decline in bank robberies but an increase in CIT. As also stated by Anthony Altbeker, from the institute of Security Studies during a recent seminar on this subject, this information does not claim that this form of displacement is the sole or even the dominant reason why CIT rates continue to grow. SABRIC (South African Banking Risk Intelligence Centre) defines CIT as a

The nature and extent of CIT

Even with our limited knowledge and information from trend analysis, it will

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Bulletin - January 2007

these members moved in on the suspects, they attempted to flee the scene and opened fire on the SAPS members who returned fire. The vehicle used by the suspects came to a standstill and burst into flames. Three suspects died at the scene (burnt to death), one died in hospital and two others were arrested. This incident took place in a busy street and it is evident that the safety of the public did not matter to the robbers at all. According to Supt Paula Roeland of the SVC Unit, when a CIT heist is committed several charges can be made against the perpetrators, such as armed robbery, illegal possession of firearms, murder, attempted murder and the possession of stolen vehicles. It all depends on what happens at the crime scene. Sometimes suspects even pour petrol over the armed vehicle and threaten to set the van alight if the guards do not open the doors. Sometimes they shoot at the windscreen and they even shoot underneath the wheels of the vehicle into the cabin where the guards are sitting, in an attempt to force them to open the vehicle s doors. (www.saps.gov.za/docs_publs/publicatio ns/journal/septoct04/cash.htm) What set s SA s CIT apart is not their frequency but their levels of violence and loss of life, says Pierre Steyn, the head of BAC s aggravated robbery programme. International crime statistics show that more CIT robberies take place in the UK, Belgium and even Sweden, though without the fatality rate. This phenomenon has negative ramifications which not only affects the cash in transit (CIT) industry but also the community at large. CIT robberies in South Africa are mostly associated with aggravated violence. The effect on the

robbery of cash while in transit, and is the unlawful, intentional and violent removal and appropriation of cash or assets in transit, while they are under the control of a security company. This may include incidents inside or outside a bank and/or other premises, depending on the circumstances. This may further include removal and appropriation of cash or assets under threat of violence. This general guideline allows for cash or any other assets that are under the control of the security company. (SAPS Journal September/October 2004) When a personnel member is robbed it is referred to as X-Pavement (cross pavement). The perpetrators are lured to the crime because the takings are so high, albeit the same with risks. Economic circumstances in South Africa may contribute to the need for cash as the economic growth meant that there was a higher demand for increased cash circulation (SABRIC). The CIT component includes companies who run both CIT and guarding services. It is therefore difficult to estimate the size of this component of the industry. The Security Officers

Board classifies 412 businesses as cash in transit business. Of the 679 CIT vehicles in operation, over 85 percent are armoured. (Private Security Industry Policing for Profit: the future of South Africa s private Sector). The CIT industry had lost more that R256 million through armed robberies and more than 400 guards had been killed or seriously injured between 1996 2001. Robberies peaked in 2000 when more than R72 million was stolen through CIT robberies and armed robberies in the industry amounted to 455. (Dispatch online) According to a publication by Shaun Chetty in the SAPS Journal of September 2004, the modus operandi will differ among the groups and the heists are carefully planned and researched before it takes place.

What, then, is the affect on public

On 13 August 2004, a gang of robbers attempted to heist a CIT van. A proactive operation was held by members of the Serious and Violent Crime Unit at Head Office in conjunction with the Intervention Unit of the SAPS. When

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public can mainly be divided in Physical, Mental and Financial Impacts

Quo vadis (Where to next?)

According to Richard Phillips of QD Group, with the ever increasing attractiveness of cash as a primary target of crime, both the challenges and cost of protecting cash from internal and external theft has become the dilemma of not only our banks and CIT companies but more and more the domain of every retailer According to the CIT JOC (Joint Operational Centre) small numbers of criminals can have a disproportionate impact on business operations as a disharmony exists in terms of the numbers

of perpetrators vis--vis the strategic effect they manage to exert on business. The CIT environment needs to unite efforts to close down the crime space to own terms and a better coordination of effort is required to control CIT crime. (CIT JOC Concept of operations, May 2006). Individuals should raise their level of situational awareness while in the vicinity of CIT vehicles and personnel and avoid areas where they located to the maximum extent possible (Private Security Industry Policing for Profit: the future of South Africa s private Sector)

The Cash Risk Management (CRIM) programme involved all organisations that are part of the supply chain of cash movements or could contribute towards the reduction of CIT risk. These organisations include SARB, CIT Industry, South African banking Risk Information Centre (SABRIC), Business against Crime (BAC), major banks, Consumer Goods Council (CGC) and the South African Petroleum Industry Association (SAPIA). The CRIM project is focusing on setting minimum standards for the cash management industry which is targeting tol contribute towards the demise of this phenomena.

IMS

The rate of Armed Robberies increased between 2004/2005 (a recorded 16.5%), between 2005/2006 Armed Robberies has increased by a further 10.8%. Armed Robberies therefore remain an area of huge concern.

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The provinces of Gauteng, KwaZulu-Natal and Western Cape accounted for 90% of all the Armed Robberies. Gauteng is the highest risk province (2006:especially Johannesburg, Pretoria, and Randburg), followed by KwaZulu-Natal, more specifically Durban area. The number of incidents within Western Cape are increasing with a significant 40% over the period 2005/2006, more specifically within the Cape Town area.

ID CARDS
o start off the new year we have got a total of 195,025 employees on the ERS database. It has grown by approximately 3000 new individuals since December last year.

W h o le I n dus t r y U s a ge S t a t s f o r 2 0 0 6
100000 10000
08 87 65 97 4 49 12 7 80 14 4 80 31 3 80 16 0 86 14 9 57 13

8 02 10

16 94

0 30 11

39 42

Of the 195,025 details 21,609 individuals have got two companies linked to their name. This means that they have worked at more then one company in the industry. On the usage stats side, the industry did quite a few checks through out the year.

1000 100 10 1
6 6 6 r -0 n-0 b- 0 Ja Fe Ma 6 6 y- 0 r -0 Ap Ma 6 n-0 Ju 6 6 l-0 g -0 Ju Au 6 p -0 Se 6 6 6 t-0 c -0 v -0 Oc No De

As you can see by the graph, during the May month for the deadline for access card applications there was an increase in the amount of reference checks and as the months went by there after they fluctuated until December where it was at the lowest for the whole year.

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ERS DEPARTMENT & ID CARDS
he ERS department has seen quite a few changes in the past year with regards to staff changing and different procedures. It has been one the busiest years yet but ended in a successful one.

All the access cards have been supplied to all companies. We do have a few sitting here, but we await payment for these cards before we can release them. At present we are sitting on a turn around time for printing of cards at 24 hours once

payment has been received. This is an achievement which the CGC Crime Prevention Programme is proud of. The total number of members is sitting on 1995. We still receive new requests on a daily basis and look forward to 2007 shared with all of them.

MEDIA RELEASE - DEPOSIT SLIP - REFUND SCAMS

13 April 2006

he South African Banking Information Centre (SABRIC) has warned the public of widespread deposit slip and refund scams which are targeted at retailers and service providers throughout South Africa.

acceptable, there are risks associated with giving out business banking details to third parties. Businesses are advised not to accept faxed deposit slips, but if they do so, not to release goods until the cheque clearance period has expired. Swats says that a variance of the scam occurs when service providers are approached for a quotation, which is then accepted, and payment made into the provider s bank account. A larger deposit is then made and the service provider informed that the deposit was made in error, for example, that two deposits were mixed up. A refund of the difference in the amount of the deposit and the quotation is sought. The request is accompanied with a very clear motivation as to why the refund needs to be done immediately. Unsuspecting service providers comply and make cash and cheque refunds or internet transfers. The deposit by the customer is then reversed when the bank dishonours the cheque because it was stopped or fraudulently drawn resulting in the service provider suffering financial loss.

SABRIC CEO, Advocate Gilbert Swats says the fraudsters have succeeded in swindling their victims and their main targets have been guest houses, caterers, tyre companies and pet shops in all provinces. He explains the most common scam is what purports to be a cash purchase where the customer deposits the money into the retailer s bank account and provides proof of payment. Usually the deposit is by way of a cheque, but the deposit slip is amended to reflect a cash deposit. The deposit is faxed to the dealer who releases goods to the customer. A few days later the deposited amount is reversed on the dealer s bank account because the cheque was either stopped or found to be fraudulent. Advocate Swats, says although it is a preferred business practice to secure payments for goods or services upfront and providing customers with banks details for deposits has become

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Service providers should be wary of customers who insist to pay in advance for services or goods. When a larger deposit than required is made, a red flag should go up. Why would any person pay more than required? The service provider must insist on waiting for the clearance period for a cheque deposit to expire, even if the payment purports to be cash or an internet transfer before making a refund payment. It is important for a retailer or service provider to understand the concept of uncleared effects of funds. Banking clients must take extra care to ensure that any deposited funds are cleared before they transact against such deposits. The terminology used for internet banking sometimes differs slightly from that used on bank statements and retailers need to familiarise themselves with these terms. Any refund done via internet banking should only be done after the cheque clearance period has expired. Businesses are advised to contact the South African Police Service: Banking Group Commercial Branches with details below to ensure that the scams are reported accordingly.

CONTACTS: BANKING GROUP COMMERCIAL BRANCH

CAPE PROVINCE
UNIT NAME OFFICE NO CELL NO EXTERNAL E-MAIL INTERNAL EMAIL
Cape Town Commercial Crime Unit Bellville Commercial Crime

Cape Town

Supt Louw Capt Erasmus

(021) 424 8900

083 850 9817 083 799 7706

COMMERCIALCRIMECT@saps.org.za

Bellville

Supt Robertson

(021) 918 3530

084 702 9210

bellville-commcrime@saps.org.za

Oudtshoorn

Capt v/d Westhuizen

(044) 203 9113

084 688 3366

oudtshoornucim@saps.org.za

OudtshoornCommercial Crime

EASTERN CAPE
UNIT NAME OFFICE NO CELL NO EXTERNAL E-MAIL INTERNAL EMAIL
EC:PE Commercial Crime East London Commercial Crime

Port Elizabeth

Supt Rheeder

(041) 408 2600

083 501 1309

PECOMMERCIALCRIME@saps.org.za

East London

Supt Dyani

(043) 743 8479

082 625 5534

elccu@saps.org.za

Bisho Umtata

Dir Wolvaard Capt Palaza

(043) 704 6000 (047) 505 5131

082 779 7169 083 749 1864

none none

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NORTH CAPE
UNIT NAME OFFICE NO CELL NO EXTERNAL E-MAIL INTERNAL EMAIL

Kimberley

Capt Oelofse Cst Morewakgotla

(053) 838 4416 (053) 838 4438

083 381 9771 083 528 5279

KIM-COMMERCIAL@saps.org.za

Kimberley Commercial Unit

FREE STATE
UNIT NAME OFFICE NO CELL NO EXTERNAL E-MAIL INTERNAL EMAIL
Parkweg Commercial Crime FS: Thabong Commercial Branch

Bloemfontein

Capt Verster Capt Mathakhoe

(051) 503 2795

083 262 3941

bfn.comcrime@saps.org.za

Welkom

(057) 916 6500

083 361 0095

fs.thabong.commercial@saps.org.za

KWA ZULU NATAL

UNIT NAME OFFICE NO CELL NO EXTERNAL E-MAIL INTERNAL EMAIL
Durban Commercial Crime Commander PMB-Commercial Crime

Durban

Supt Ntuli Supt Olivier Insp Gouws

(031) 332 2534

082 435 3750 082 773 0629 083 647 6327

DBN-CommercialCrime@saps.org.za

Pietermaritzburg

(033) 845 8534

PMB-CommercialCrime@saps.org.za

GAUTENG
UNIT NAME
Supt J Hyman Supt Croucamp Capt Mokovhi

OFFICE NO
(011) 870 5389 (011) 870 5395 (011) 201 9708

CELL NO
082 900 7878 082 343 2014 083 345 0160

EXTERNAL E-MAIL

INTERNAL E-MAIL
Jhb-Commercial Crime GP:East-Rand : Commercial Branch GP:Pta: Commercial Branch

Johannesburg

JHB-Commercialcrime@saps.org.za GP:East-Rand.CommercialBranch@saps.org.za pta-commercial@saps.org.za

Germiston

Pretoria

Supt Makuwa

(012) 401 3362

082 822 6812

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NORTH WEST
UNIT NAME OFFICE NO CELL NO EXTERNAL E-MAIL INTERNAL EMAIL
Klerksdorp Commercial Crime Ngeke Mzu Molopo Commercial Crime Unit

Klerksdorp

Supt Rossouw Capt B Moodie Insp Peens Supt Motlhabedi

(018) 464 5360 (018) 299 7648 (018) 299 1649 (018) 397 0323

082 856 0943 082 773 1061 082 773 1203 082 856 1589

klerks.commbranch@saps.org.za

Potchefstroom

ngekem@saps.org.za

Mafikeng

molopo.comcrime@saps.org.za

MPUMALANGA
UNIT NAME
Supt Smit Capt KZ Mohlala Supt Nkosi Insp Malambe

OFFICE NO
(013) 249 1421 (013) 249 1416 (013) 752 1030 (013) 752 1030

CELL NO
082 565 6431 082 780 5799 082 780 6414 082 415 7598

EXTERNAL E-MAIL

INTERNAL EMAIL
Middelburg Commercial Crime Nelspruit Commercial Branch

Middelburg

middelburg.cc@saps.org.za

Nelspruit

nelspruit.cb@saps.org.za

LIMPOPO
UNIT NAME
Supt Rakgoakgoa Insp Moloto Insp Naumann

OFFICE NO
(015) 293 7251 (015) 293 7277 (015) 293 7263

CELL NO
083 289 0649 082 397 9212 083 779 2407

EXTERNAL E-MAIL

INTERNAL EMAIL
LIM:Polokwane Commercial Crime

Polokwane

lim.polok.comcrime@saps.org.za

HEAD OFFICE
UNIT NAME
Sr Supt JA van Wyk Supt Magobosha

OFFICE NO

CELL NO

EXTERNAL E-MAIL

INTERNAL EMAIL
Commercial Banking Group Commercial Banking Group Commercial Banking Group

Head Office

(012) 393 1205

082 778 5629

comm.banking@saps.org.za

Head Office

(012) 393 1206

082 778 2823

comm.banking@saps.org.za

Head Office

Capt(f) Schoeman

(012) 393 1940

082 778 7613

comm.banking@saps.org.za

Issued by SABRIC Contact: Gilbert Swats 011 847 3105

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