/ 2 May 2002

Hout Bay fishing firm fined R40-million

THE Hout Bay Fishing Company – under investigation by the Scorpions, the SA Revenue Services and the Asset Forfeiture Unit, among others, has been hit with a massive fine after it admitted to contravening the Marine Living Resources Act.

The company, represented by chairman Arnold Maurice Bengis, pleaded guilty in the Wynberg Regional Court on Tuesday to 28 charges of contravening the Act.

Bengis admitted that between 1999 and 2001 the company knowingly and intentionally participated in the over-fishing of south coast rock lobster, west coast rock lobster and hake.

A director of the company, Colin van Schalkwyk, pleaded guilty to 301 charges of corruption relating to the bribing of fishery inspectors.

In terms of a plea bargain, Hout Bay Fishing Industries will forfeit the fishing vessel, Sandalene – estimated to be worth R3-million – to the department.

The contents of a refrigerated container, worth an estimated R8-million, will also be forfeited to the department.

The discovery of the container in Cape Town harbour by officials from the department in June last year, led to the intensification of investigations into the company’s activities.

The container, which was to be shipped to the United States by the company, was found to contain 1 661kg of west coast rock lobster tails, 16 189kg of south coast rock lobster tails and 2 844kg of Patagonian toothfish.

As a further compensation, R750 000 is to be paid by Hout Bay Fishing Industries to the department for the legal costs it incurred in various high court matters relating to the case.

The total penalty imposed on the company, in terms of the plea bargain, amounts to R40-million.

Van Schalkwyk received a sentence of R1-million or five years imprisonment, and a five-year-suspended sentence.

Environmental Affairs and Tourism Minister Valli Moosa praised the efforts of the Scorpions unit which led to the successful prosecution of the company. The investigation into the activities of Hout Bat Fishing Industries lasted 10 months.

Moosa said the successful prosecution of the company represented ”a breakthrough” in the department’s efforts to clamp down on illegal fishing.

”It is the first time that the extensive powers contained in the Marine Living Resources Act have been invoked to full effect,” Moosa said.

”The Scorpion’s success sends out a clear message to everyone in the fishing industry that the department will not tolerate individuals and companies that plunder our country’s national resources for the purpose of self enrichment.”

He said the probe into the company had been conducted by officials from the Scorpions, his department, the SA Revenue Services and the Asset Forfeiture Unit. – Sapa