Three suspects accused of involvement in a R100m perlemoen racket have walked free after a judge ruled there was no evidence proving they knew their shipping containers contained the illegal mollusc, reports The Herald.

Kai Ou Yang, Chu-Kai Chang and Blue Fin Marine Trading, represented by Ou Yang’s wife, Hsien-Chu, were accused of trying to illegally export about 40 tonnes of perlemoen, worth R100m, in shipping containers destined for China.

They faced a total of 24 serious charges including racketeering, fraud and money-laundering.

It was the state’s case that the accused were linked to two illegal perlemoen processing plants in Cape Town, as well as several shipping containers filled with illegal perlemoen between February 2017 and December 2018.

When searching the containers in question, which were destined for the Far East, investigators said they had found perlemoen hidden among an assortment of other frozen meat products, including beef bones and pig stomachs.

The subsequent investigation raised red flags with containers at the Gqeberha, Cape Town and Durban harbours, as well as a container on the back of a truck on its way by road to Namibia.

The husband and wife are listed as directors of the Cape Town-based fish import and processing company, while Chang worked there as a manager during the period of the alleged illegal activities. 

They were finally arrested in February 2022 after the Hawks completed an extensive investigation.

They were released on bail shortly thereafter. The Herald report notes the accused, at all times, denied any knowledge of or involvement in illegal processing or export of perlemoen, and insisted that their seafood import company actively avoided working with perlemoen due to the controversy surrounding it. 

Eastern Cape High Court (Gqeberha) Judge Fungile Dotwana ruled that it could not be proved beyond a reasonable doubt that the accused had been involved in the alleged syndicate.

NPA regional spokesperson Luxolo Tyali said the authority had noted the judgment.

‘The NPA will study the judgment carefully and consider possible legal avenues to take,’ he said.

In August 2024, the accused had brought an application in terms of section 174 of the Criminal Procedure Act to have the charges against them set aside at the close of the state’s case.

Their lawyer, Michael Hulley, the Durban-based long-time legal representative of former President Jacob Zuma, had argued that the state’s case was weak and there was no potential prospect of a conviction.

However, Dotwana dismissed the application at the time.

Full report in The Herald