Saidex (Pty) Ltd and Others v The Minister of Minerals and Energy NO and Others

The appellants were companies and individuals operating in the diamond industry under licences and certificates issued in terms of the Diamonds Act 56 of 1986. Following amendments to the Act introduced by the Diamonds Amendment Act 29 of 2005 and the Diamonds Second Amendment Act 30 of 2005 (effective 1 July 2008), the appellants contended that their established ‘tender business’—which involved interaction with unlicensed foreign buyers in the purchase and export of unpolished diamonds—had effectively been rendered unlawful. They sought an interim interdict to preserve their existing business operations pending a constitutional challenge by the South African Diamond Producers Organisation against certain provisions of the amended Act. The North Gauteng High Court refused the interim interdict, and the appellants appealed that refusal to the Supreme Court of Appeal.

The appeal was dismissed with costs, including the costs of two counsel.

The case clarifies that unlawful industry practices cannot be protected through interim interdicts merely because they were tolerated in practice. It reinforces the strict statutory regulation of the diamond industry and confirms that amendments aimed at curbing illegal practices do not necessarily amount to deprivation of vested rights. The judgment also provides guidance on appealability and the requirements for interim interdicts in South African law.