Security20.11.2024

War declared on construction mafias in South Africa

South Africa has declared war on construction mafias that have hindered various projects across the country, including the construction of roads, schools, and hospitals and the rollout of fibre networks.

Giving his keynote address at the National Construction Summit on Crime-Free Construction Sites, Minister of Public Works and Infrastructure Dean Macpherson promised to take decisive action against such criminals.

“We are gathering here today in Durban, KwaZulu-Natal, considered ground-zero for the so-called construction mafia, to take a stand and say enough is enough,” said Macpherson.

“We are drawing a line in the sand to say that lawlessness will no longer be tolerated. We will no longer be negotiating with criminals just to build roads, dams, schools, and hospitals that our people so desperately need.”

He explained that stakeholders participating in the National Construction Summit on Crime-Free Construction Sites include the Minister of Police, the Premier of KwaZulu-Natal, deputy ministers, MECs, and some of the country’s highest-ranking police officers.

“Let me be clear: this is not just another talk shop. Today, we are taking decisive action,” the minister said.

“The calibre of people gathered here today proves our collective commitment to find solutions to this scourge.”

These construction mafias emerged in South Africa following rapid construction in the 2010 FIFA World Cup buildup.

Posing as “local business forums”, these criminals attempt to leverage legislation mandating that 30% of public sector construction projects be subcontracted to local businesses.

To do this, they began going to construction sites to extort money from contractors and developers.

These syndicates have been particularly prevalent in KwaZulu-Natal, and in July 2024, Macpherson warned construction mafias in the country that they would be treated as enemies of the state.

“I want to be very clear: anyone who seeks to hold back infrastructure projects will be treated as an enemy of the State, and they will be dealt with appropriately,” said Macpherson.

“There is no room for negotiations or delays to our projects.”

He added that his department had committed to a strong stance against construction mafias.

A major concern regarding the prevalence of construction mafias in South Africa is that many members of the police force are scared of them.

According to specialist investigator Mike Bolhuis, construction mafias have multiplied in South Africa because of the involvement of influential individuals and law enforcement.

He added that construction mafias are often in cahoots with corrupt police officers, making other members of the South African Police Service afraid of them.

Dean Macpherson, South Africa’s Minister of Public Works and Infrastructure

Fibre network operators feeling the pain

The scourge of construction mafias also extends to the rollout and expansion of fibre networks in South Africa.

The criminals try to extort fibre network operators (FNOs) to use their services through intimidation and violence, which can result in delayed network rollouts and higher pricing.

Alternatively, they threaten violence or disruption of construction activities unless paid “protection fees”.

During a panel discussion between experts at ZANOG@iWeek, Link Africa chief sales and marketing officer Mark O’Donoghue estimated that the FNO spends R1 million per month on security to protect its staff and facilities.

“When you mention the construction mafia, this is what we deal with daily,” he said.

“It’s gotten to the point where they’ve arrived at our offices with AK-47s, put staff in boardrooms and held them hostage so they can see our books to see where we’re rolling out and why we’re not using them.”

“You can’t use your own staff. You have to outsource to their staff,” he added.

O’Donoghue explained that a significant challenge was the reality that the areas which specific gangs control can change frequently.

“During one fight over a weekend, somebody would have gained access to another area. So now you’re working in an area that you thought was part of one business forum,” he said.

This is particularly challenging considering the length of cable FNOs often have to run, which could cross three different forum areas.

“We have to consult and hand off staff to the next forum area and the next,” said O’Donoghue.

“Be very warned if you get it wrong. Your staff will have a gun to their head. Your staff’s vehicle will be stolen, and your staff’s equipment will disappear. It is guaranteed.”

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