WORKING WITH CRIMINAL AUTHORITIES IN ENFORCEMENT

1. WORKING WITH CRIMINAL AUTHORITIES IN ENFORCEMENT BY LBY LIYA BY LIYA LIYA BY LIYA B. TEMBO Director -Legal & Enforcement CCPC Presented at the 2013 African Dialogue Conference Held at The Zambezi Sun Hotel, Livingstone, Zambia Competition and Consumer Protection Commission

2. PRESENTATION OUTLINE • Introduction • Case studies on actual collaboration • Case study on exploring collaboration • Challenges and lessons learned Competition & Consumer Protection Commission

3. INTRODUCTION • Basis for collaboration is: • the law i.e. section 7 of the Competition and Consumer Protection Act, No. 24 of 2010 • Need to augment available resources • Need to ensure effective enforcement • To ensure wholesome impact/intervention where there are multiple regulators Competition & Consumer Protection Commission

4. CASE STUDIES ON ACTUAL COLLABORATION • IPU/Police: Milk-Mapeto • complaint on sell of 1 x 6 cartoon of S26 baby milk where trader fraudulently concealed the original expiry date with new one • acting on the complaint the Commission carried out inspections were 5 cases x 12 tins + 9 tins x 400 grammes of S26 formula 1 milk were seized • This translated to 69 tins • Inspections were conducted in conjunction with two police officers from the Zambia Police Intellectual Property Unit (ZP-IPU) and one officer from the Lusaka City Council, Public Health department (LCC-PHD) Competition & Consumer Protection Commission

5. CASE STUDIES ON ACTUAL COLLABORATION 2. IPU/Police: Counterfeit fridges • The Commission received a complaint over the alleged sale of unlabeled fridges being imported in packages with the label ‘Defy’ and sold in Zambia by two named traders • The Commission is concerned about the conduct because it is misleading and a misrepresentation to consumers • Further the conduct is likely to dent the image of defy products, their manufacturers and approved distributors • The Commission has since engaged the IPU of the Zambia police to look into the matter through collaborated investigations Competition and Consumer Protection Commission

6. CASE STUDIES ON ACTUAL COLLABORATION • 3. ACC & DEC: cartel investigations • The Commission has collaborated with the Anti-Corruption Commission and the Drug Enforcement Commission in 3 different cartel investigations • The collaboration was mainly during the dawn raids or unannounced searches that were conducted for purposes of gathering evidence from various premises through the use of search warrants Competition & Consumer Protection Commission

7. CASE STUDY ON EXPLORING COLLABORATION • DPP: Implementation of Leniency Program • In Zambia the Constitution empowers the Director of Public Prosecutions to: • institute and undertake criminal proceedings ; • to take over and continue any such criminal proceedings as may have been instituted or undertaken by any other person or authority; and • to discontinue, at any stage before judgement is delivered, any such criminal proceedings instituted or undertaken by himself or any other person or authority Competition & Consumer Protection Commission

8. CASE STUDY ON EXPLORING COLLABORATION • Cartel conduct attract both administrativeand criminal penalties in Zambia • For purposes of implementing a leniency program the Commission has to work with the office of the DPP if a leniency applicant is to be accorded immunity from criminal proceedings Competition & Consumer Protection Commission

9. CHALLENGES & LESSONS LEARNED • Limited knowledge by oher enforcement agents of conduct to be investigated in consumer and competition protection • A prerequisite to effective and successful collaboration is knowledge of the conduct being investigated; the available powers of investigation etc • As such prior to collaboration enforcement agents must share notes on the legal framework in which they are operating so as to have confidence that any action taken is supported by the law • The development of close working relations is also necessary prior to collaborative efforts to build trust and confidence among officers as they will rely on each other in the course of investigations Competition & Consumer Protection Commission

10. CHALLENGES & LESSONS LEARNED • Priority areas for other enforcement agents may differ • Various enforcement agents have specific areas in which they m prioritize enforcement as such a decision whether or not to collaborate will depend on whether the conduct to be investigated is in a priority area of enforcement • 2. Limited personnel and other critical resources • Collaboration entails excess/or exerted demand on all available human and capital resources available to enforcement agents. Agents that have adequate budget allocations and sufficient human power are better able to cooperate in enforcement Competition & Consumer Protection Commission

11. CONCLUSION • Tips for effective collaboration • Ensure that authority to collaborate is granted by appropriate authority through appropriate procedures • Clearly spell out roles for each agency • Have a good understanding of the legal framework within which the collaboration is being implemented • Allocate resources efficiently for task in which agencies are collaborating e.g. transport, equipment, personnel, finances etc • Have a good understanding of nature of task; evidence or other information to be collected • Have a well spelt out action plan which all officers involved in collaboration should know and have contributed to from begining to end Competition & Consumer Protection Commission

12. THANK YOU FOR YOUR ATTENTION FOR FURTHER INFORMATION CONTACT: The Executive Director Competition & Consumer Protection Commission 4th Floor, Main Post Office, Cairo Road P O Box 34919, Lusaka, Zambia. Tel: +260-211-222775/236770 Fax: +260-211-222789 Email: zcomp@ccpc.org.zm Website: www.ccpc.org.zm