Deputy Minister of Police, Mr Cassel Mathale, on Thursday led a debate in the National Council of Provinces (NCOP) on how to combat protection fee syndicates and the extortion of businesses, including what is known as construction mafias.
Permanent delegates to the NCOP, some MECs and councillors from the South African Local Government Association (SALGA) participated in the debate entitled: “Waging a concerted battle against protection fee syndicates and the extortion of communities and businesses”.
As one of the two houses of Parliament, the NCOP “is constitutionally mandated to ensure that provincial interests are taken into account in the national sphere of government [and] this is done through participation in the national legislative process and by providing a national forum for consideration of issues affecting provinces”.
One such issue affecting provinces is extortion and related crimes that impact the economy and communities across the country.
Providing some context, Mr Mathale said the analysis of this form of organised crime shows that extortionists are targeting businesses mainly based in the Eastern Cape, Gauteng, KwaZulu-Natal, Limpopo, and the Western Cape. “Since August 2019 until September this year, a total of 766 cases of business extortion were reported to police,” he told delegates. “From April 2023 to September this year, 92 cases were investigated by the police, leading to the arrest of 43 suspects. The majority of the arrests,” he said, “came from Gauteng and the Western Cape.” Mr Mathale also said that eight suspects were arrested for extortion-related crimes in Limpopo, while one suspect was arrested for a similar offence in the Eastern Cape during the same period. According to him, the highest number of arrests for extortion-related crimes was in the Western Cape.
Despite the arrests, he said intimidation of witnesses and whistle-blowers remains a stumbling block and witnesses often do not want to testify because they fear for their lives. He said the SAPS remains “encouraged by the majority of law-abiding citizens” and it is crucial for the police to arrest everyone in the value chain of this organised crime network, including the runners, the planners, and the benefactors of these crimes. He called on people not to pay but to report any demand for payment immediately.
Economic impact
Some opposition parties, including the Democratic Alliance (DA), Freedom Fighters (EFF) and the Inkatha Freedom Party (IFP) all agreed that there is a significant impact on the economy and the livelihoods of the poor and that what is needed, among others, is to capacitate the police.
DA delegate, Mr Tim Brauteseth called this type of criminality brazen and “in our faces”. “Industries big and small are being targeted by extortion rackets of epidemic proportions as organised crime is emerging as the biggest threat to the South African economy.” He said this type of crime undermines any efforts at economic growth in the country. Stressing the need to build capacity – also in the police – to fight this scourge, he said: “Recruiting top quality investigators who can turn the tide against organised crime is difficult, but this is an area where business can contribute skills and support renewal.”
According to Mr Mbulelo Magwala, EFF delegate from the Western Cape, business owners from spaza shop owners to salons are at the mercy of gangs. He said this type of crime “inflicts direct financial losses on small, medium and micro enterprises, depleting financial resources and decreasing profitability”. “It’s a cruel [form] of corruption [as they] make use of violence to get what they want. This,” he said, “requires a robust response from our justice system. We need to rethink our strategies; establish specialised courts and designated judges to deal with such cases; and we need strict whistle-blower protection mechanisms to ensure people can come forward without fear.” He also called for the strengthening of law enforcement and visibility.
IFP delegate, Mr Nhlanhla Hadebe, also reminded the Council that the scourge of extortion and extortion-related crimes “have the potential to bring the economy to its knees”. “So, efforts to combat this should go beyond simply verbally condemning such criminality but should be rooted in practicality, willingness and most importantly, driven by actionable solutions.” He implored government to enforce all possible measures that our resources permit to curb this.
Government steps taken
But according to Mr Mathale, the police – through its aggressive approach to crime – “has fired a warning shot to all elements of criminality”. “We refuse to be held ransom by unscrupulous people, criminals and criminal syndicates.” He said the police has developed and is implementing the national policing strategy, which, amongst others, is intended to respond to such crimes. “We have also ensured that additional crime prevention and combating resources are allocated. We have as a government and as the South African Police been unequivocal in our call to criminals that this country will not and will never be a haven for criminals or organised crime syndicates.”
Mr Mathale also assured delegates that developing policing capacity to investigate extortion-related crimes and prosecution of suspects remains crucial in the fight against extortion. “SAPS continue to improve its response, especially the investigative capacity into extortion-related crimes. The investigative capacity I speak of consist of organised crime investigators from detectives and forensic services of SAPS. They are tasked solely with investigating the scourge of extortion in our provinces. The economic infrastructure task team that is operational since June 2022 has been instrumental in dismantling this form of criminal syndicate throughout the country,” he said. “Put plainly, we have put forth a focus on both human and financial resources to ensure that the South African Police Service tackles this crime without fear or favour.”
All hands on deck
Mr Mathale, however, reminded delegates that combating crime is not the responsibility of the police alone. “We need all hands on deck.” He said the buy-in of communities and other stakeholders, as well as assistance of other departments remain crucial in this fight.
The KwaZulu-Natal’s MEC for Economic Development, Tourism, and Environmental Affairs, Mr Siboniso Duma agreed and said success will require a multifaceted approach that will involve many stakeholders, including the Hawks, Crime Intelligence, the National Prosecuting Authority, and the South African Revenue Services, among others.
According to Ms Shahidabibi Shaik, who is also the Chairperson of the Select Committee on Security and Justice, there is a need for collaboration among the three spheres of government in dealing with protection fee and business extortion syndicates. “Our call is that the national, provincial and local governments should collaborate and work together to address the crimes of protection fees, extortion, and other related illicit crime.”
Highlighting some of the work that has been done to date, Ms Shaik said the government continues to invest in the upgrading and building of police stations and purchasing and maintenance of vehicles. She said there is also more use of technology for Crime Prevention and as part of building capacity, a total of 10 358 new SAPS members were enlisted in the 2022/23 financial year. According to her, about 99% of all police stations also had functional community policing forums by the end of February this year.
She said the Hawks have been doing important work in investigating illegal mining and the Border Management Authority will now help manage, control, and address illegal migration and cross border crimes. “Economic development, Ms Shaik stressed, “can only thrive in an environment of peace and respect for the rule of law. There cannot be development in an environment where the laws are disregarded, and the people do as they wish.”
By Alicestine October
10 November 2023
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