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INSIGHT: South Africa’s big mafia problem is getting worse

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In the vibrant heart of Cape Town, a menacing shadow economy looms over various enterprises, including spaza shops, bustling nightclubs, construction projects, and transportation companies. Within this clandestine realm, individuals and businesses alike find themselves facing exorbitant demands for money, services, and goods that exceed legitimate channels. According to a study by Jenni Irish-Qhobosheane for the Global Initiative Against Transnational Organized Crime (GI-TOC)the rise of extortion in Cape Town can be attributed to both local and national factors, with a significant influence stemming from the city's long-standing history of gangsterism. The COVID-19 lockdown in 2020 significantly curtailed extortion revenue for criminal organizations, as business closures and curfews disrupted their operations. However, as restrictions were gradually lifted, extortion activities exhibited a marked increase in both aggressiveness and frequency due to the following key factors: The co
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NEWS: Is enough being done to mitigate the impact of the Construction Mafia?

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South Africa's construction sector has been plagued by the existence of the construction mafia for a long period. The industry now finds itself in a position where it incurs costs to establish best practices prior to the commencement of each project to mitigate extortion risks.


Business Against Crime South Africa (BACSA) has developed the following guidelines for the construction industry to prepare for extortion groups:
  1. Create and document safety procedures for extortion attempts;
  2. For private projects, display a notice that preferential procurement regulations do not apply and for public projects, show compliance with these regulations;
  3. Keep documentation on-site to verify compliance;
  4. Prioritize hiring local subcontractors to involve the community;
  5. Deny Business Forums access to the site for preferential procurement discussions;
  6. Clarify that on-site personnel cannot make procurement decisions;
  7. Stress the illegality of subcontracting without following a bidding and tender process;
  8. Establish a safe area for employees, preferably away from entrances, and ensure an alternative exit is available;
  9. Install CCTV if possible and use cellphones to record any unscheduled interactions as evidence of potential crimes;
  10. Report all extortion incidents to BACSA, the Police, and possibly through the Eyes and Ears Initiative for a coordinated crime-fighting response;
  11. Record every extortion incident as a crime with the Police, noting that reporting can be done outside the local station;
  12. Follow BAC guidelines for prosecuting extortion cases in court.
Is this enough to sterm the tide against the Construction Mafia?

To view the full hardhatNEWS article read Business Tech

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