(1) A person shall not, knowing that any property is, or in whole or in part directly or indirectly represents, another person's proceeds of criminal conduct, acquire or use that property or have possession of the property.
(1A) A person shall not have possession of any property knowing or having reasonable grounds to believe that the property is, in whole or in part directly or indirectly proceeds of criminal conduct. (Inserted by Act 9 of 2011)
(2) Subject to subsection (4) it is a defence to a charge of committing an offence under this section that the person charged acquired or used the property or had possession of the property for adequate consideration.
(3) For the purposes of subsection (2) —
(a) a person does not acquire property for adequate consideration if the value of the consideration is significantly less than the value of the property; and
(b) a person does not use or have possession of property for adequate consideration if the value of the consideration is significantly less than the value of his or her use or possession of the property.
(4) The provision for any person of services or goods which are of assistance to him or her in criminal conduct is not treated as consideration for the purposes of subsection (2).
(5) Where a person discloses in good faith to a police officer a belief that any property is, or in whole or in part directly or indirectly represents, another person's proceeds of criminal conduct, or any matter on which such a belief is based —
(a) the disclosure is not treated as a breach of any restriction upon the disclosure of information imposed by statute or otherwise and does not give rise to any criminal, civil or administrative liability; and
(b) if he or she does any act in relation to the property in contravention of subsection (1), he or she does not commit an offence under this section if —
(i) the disclosure is made before he or she does the act in question and the act is done with the consent of the police officer, or
(ii) the disclosure is made after he or she does the act, but is made on his or her initiative and as soon as it is reasonable for him or her to make the disclosure.
(6) For the purposes of this section, having possession of any property is taken to be doing an act in relation to the property.
(7) In proceedings against a person for an offence under this section, it is a defence to prove that —
(a) he or she intended to disclose to a police officer such a belief or matter as is mentioned in subsection (5); but
(b) there is reasonable excuse for his or her failure to make any such disclosure in the manner mentioned in subsection (5)(b).
(8) In the case of a person who was in employment at the time in question, subsections (5) and (7) have effect in relation to disclosures, and intended disclosures, to the appropriate person in accordance with any procedure established by his or her employer as they have effect in relation to disclosures, and intended disclosures, to a police officer.
(9) A police officer or other person does not commit an offence under this section in respect of anything done by him or her in the course of acting in connection with the enforcement, or intended enforcement, of any provision of this Act or of any other statutory provision relating to drug trafficking or relevant offences or the proceeds of criminal conduct.
(10) A person who contravenes subsection (1) or subsection (1A) commits an offence and is liable — (Amended by Act 9 of 2011)
(a) on summary conviction to a fine of not less than $0.5 million and not exceeding $5 million or to imprisonment for a term of not less than 5 years and not exceeding 10 years or both; (Amended by Act 16 of 2021)
(b) on conviction on indictment to a fine of not less than $1million and not exceeding $10 million or to imprisonment for a term of not less than 10 years and not exceeding 15 years or both. (Amended by Act 16 of 2021)