Navigating a dawn raid!


The Competition Commission has conducted a significant number of dawn raids. From the beginning of 2017, the Commission has raided 47 companies and 53 premises in total. 

Minister of Economic Development, Ebrahim Patel, stated earlier this year that collusion:

“…stunts our economic growth, prevents the entry of new players, reduces consumer choice and feeds the growing resentment of black South Africans of the failure to recognise promises made by the Competition Act and the vision of the Constitution.”

Minister Patel also stated that neither corruption in the public sector (with its private sector counterparties) nor collusion between large firms are “victimless crimes“.

“Corruption takes resources away from housing, jobs, social grants, education, health facilities. Collusion increases the costs of doing business, stunts the dynamism and competitiveness that is needed and has a negative impact on growth and jobs.”


Furthermore, the Competition Commissioner Tembinkosi Bonakele has on numerous occasions highlighted the importance of rooting out collusion through vigorous enforcement.

The above signals afresh the focus of the Commission to rid the South African economy of any cartel arrangements.

It is further suggested that if we expect a renewed focus by the Commission in this regard, that we should also expect the Commission to utilise all the powers at its disposal in the attempt to root out collusion.

During the course of an investigation, the Commission has wide powers to

The full article is reserved for our subscribers!

Read this article by Ahmore Burger-Smidt, Director and competition law specialist, Werksmans Attorneys, as well as a host of other topical management articles written by professionals, consultants and academics in the December/January 2017/18 edition of BusinessBrief.

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