A new type of mafia is hitting businesses in South Africa
Businesses in South Africa are being targeted by criminal syndicates dubbed ‘protection mafias’, and those who refuse to pay face an uphill battle to keep their doors open.
South Africa is facing a growing crisis due to the rise of organised crime syndicates, such as the construction and water tanker mafias, which are severely impacting critical sectors.
These mafias have created a climate of fear and disruption, undermining economic stability and public services.
The ‘construction mafia’, for instance, has become a significant problem across the country.
These groups, often linked to local business forums or criminal networks, demand a share of construction project profits.
They use intimidation, violence, and extortion to force contractors into compliance.
The South African government has acknowledged the severity of the issue, with the Department of Public Works and Infrastructure stating that the construction mafia has caused delays and increased costs on numerous public infrastructure projects.
This disruption hampers economic growth and deters investment in a sector crucial for job creation and development.
Similarly, the ‘water tanker mafias’ have emerged in response to the country’s ongoing water crisis.
These criminal groups control the distribution of water in areas where municipal supply is insufficient, exploiting communities’ desperation by charging exorbitant fees for water delivery.
The Department of Water and Sanitation has condemned these practices, highlighting that they exacerbate the already dire situation in many regions and undermine efforts to provide equitable access to water.
The widespread fear and violence associated with these groups make it difficult for law enforcement to combat them effectively, while corruption within certain government sectors further complicates the situation.
Concerningly, South Africa is now facing a growing menace known as ‘protection mafias’ that are wreaking havoc on businesses.
This group of extortionists is particularly rife in the CBD’s of major cities, including Cape Town.
These criminal syndicates demand “protection fees” from business owners and threaten violence or sabotage if payments are not made.
This illegal practice has escalated to the point where it disrupts business operations.
These syndicates appear to be targeting nightlife establishments such as bars and nightclubs.
This issue came into the spotlight after a popular bar on Long Street announced it would be closing its doors due to extortion fears.
The owner noted that extortion is rife. His establishment has to pay roughly R1,800 per month, but he knew of other businesses that had to pay up to R80,000 per month to avoid disruptions and violence.
In response to the problems, Cape Town Mayoral Committee member for safety and security JP Smith noted that action was needed.
“We [the city] cannot have a situation where anybody can prosper and get ahead if these kinds of extortion rackets are going to do what they do.
“That must end, and I’m deeply committed to making it end with whatever tools we have,” he said.
He added that as hard as it is, owners of these businesses need to approach the South African Police Service (SAPS) before the situation becomes unattainable.
“If left unchecked, these extortion practices will create a criminal economy that will materially hurt the city’s economy and the quality of life for its residents,” he said.
Speaking with Newzroom Afrika, City of Cape Town ward councillor Ian McMahon said that while these protection mafias aren’t the sole reason why businesses close their doors, they are definitely a factor.
To combat this extortion tactic, he said the mayor of the city had approved sending more officers to the CBD and Long Street, and additional funding has been sourced to increase the security presence in the area.
The South African government and law enforcement agencies are aware of the problem but struggle to contain it, partly due to the deep-rooted corruption and fear among victims.
The continued rise of protection mafias poses a significant threat to the country’s economic stability and the safety of its business community.
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