Music retailer Musica, subsidiary of New Clicks Holdings, has reacted with disappointment to its R170 000 fine for distributing counterfeit goods.
This week, the Pretoria specialised commercial crimes court ruled that the company had to pay R2 500 for each of the 68 fake PlayStation 2 consoles, controllers and memory cards that were seized from it in 2007.
The National Prosecuting Authority (NPA) successfully prosecuted Musica for dealing in counterfeit goods. It was found the company was negligent and failed to take "all reasonable steps" to ensure its supplier was above-board.
This came as Musica stopped buying from Ster-Kinekor in 2005 and started buying from Dolphin Enterprises.
Dolphin has subsequently pleaded guilty in a Durban court and was fined R27 000 for supplying counterfeit goods, while Musica has instituted legal action against Dolphin for damages.
David Kneale, group chief executive of New Clicks, is disappointed with the fine his company received and says Musica is still considering its right to appeal.
"Musica is totally opposed to the sale of non-authentic merchandise, as well as piracy within the music and entertainment industry, and guarantees customers that all products sold in Musica are authentic," says Kneale.
The SA Federation Against Copyright Theft initially picked up that Musica was selling fake goods. That body's spokesman, James Lenox, says as much as 40% of the gaming console market - "if not more" - is traded in the grey market.
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