Extortion has become an escalating concern across South Africa, prompting the initiation of a series of reports to track its proliferation nationwide.

The Western Cape, known for its economic significance and a history marred by gang violence and extortion, bears a particularly heavy burden.

The City of Cape Town serves as a breeding ground for an underground economy, where extorting money, services, and goods are extracted from a widening array of businesses, including spaza shops, nightclubs, construction firms, and transportation services, as well as individuals.

The report,

The Shadow Economy: Uncovering Cape Town’s Extortion Networks

, written by Global Initiative Against Transnational Organised Crime researcher Jenni Irish-Qhobosheane, found that extortion is a rapidly worsening problem throughout South Africa.

Media coverage has highlighted the widespread concern, yet the gravity of the situation exceeds common perception. Extortion is burgeoning and spreading across the city, orchestrated by highly organized groups.

Its reach extends from street vendors in areas like Mitchells Plain and Khayelitsha to establishments in the city centre, from construction enterprises to municipal services. Even private vehicles in certain locales have not been spared.

For this report, the focus lies on four primary extortion networks:

While these networks operate distinctly, they are interconnected, with individuals often involved in multiple sectors.

Extortionists also engage in other criminal activities like illicit trading and armed robbery, learning and adapting from each other across regions.

The Cape Town extortion landscape is becoming entrenched, with some sectors accepting it as commonplace. Addressing this issue is crucial not only for Cape Town but for the entire nation.

“The rise of the construction mafia in Cape Town has been accompanied by high levels of violence. Not only are the groups heavily armed and quick to intimidate contractors and disrupt and damage sites, but they also appear willing to make good on their threats if their demands are not met. By February 2023, there had been at least 10 murders linked to construction extortion, and eight people had been shot and wounded on construction sites,” said Irish-Qhobosheane.

Extortion, defined as obtaining valuables through coercion, thrives in an environment of fear and intimidation, often normalized due to victims’ reluctance to report. This perpetuates its presence, impacting businesses and communities alike.