Note to editors: Please find attached English and Afrikaans soundbite by Lisa Schickerling MP.
The DA welcomes the preliminary report on extortion, which was tabled in the Portfolio Committee on Police today. The report highlights the grave impact that extortion rackets are having on South Africa's economy, particularly in critical sectors such as construction, and emphasises the urgent need for coordinated action.
In July 2023, the Minister of Public Works and Infrastructure, Sihle Zikalala, revealed that the construction mafias are costing the economy an estimated R68 billion, hampering infrastructure development and slowing much-needed economic growth. Extortion rackets have spread like a cancer, not only crippling the construction industry but also severely damaging the small, medium, and micro enterprises (SMMEs) that form the backbone of our economy. This, in turn, limits job creation, stifles entrepreneurship, and prevents development in already vulnerable communities.
The construction industry, which should be a driver of economic recovery, has become a key target for these mafias, further destabilising South Africa's economic potential. The report also notes that preferential procurement regulations, which require 30% of public sector projects to be subcontracted to local participants, are being misapplied, opening the door to extortion by criminal elements.
The DA reiterates its call for a multidisciplinary approach involving SAPS, Crime Intelligence, and the National Prosecuting Authority (NPA). Without close cooperation between frontline police services and prosecution authorities, we cannot make meaningful progress in dismantling these syndicates.
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We welcome the ongoing clean-up of corruption within SAPS but note that much more needs to be done. This includes higher-quality security screenings, rigorous lifestyle audits for senior officers, and greater transparency in the fight against corruption within the police force.
The recent establishment of an extortion hotline is a step in the right direction. However, it must be properly resourced, capacitated, and operationally effective to avoid the same failures that have plagued the 10111 call centres. Proper reporting mechanisms and follow-through must be ensured to restore public confidence in the system.
The DA also welcomes the collaborative crime-fighting agreement between SAPS, the City of Cape Town, and the Western Cape Government. The agreement, born from a new spirit of collaboration thanks to the Government of National unity (GNU), has finally opened the field to engaging with new and innovative approaches to cooperative policing. The police have since signed agreements with the Eastern Cape and Gauteng.
The DA notes the Committee's recommendations, including further engagement with National Treasury to secure additional funding for targeted interventions against organised crime, and calls for an intensified focus on interdepartmental coordination and intelligence sharing to disrupt extortion rackets.
Additionally, the DA calls for the committee to prioritise apprehending high-level leaders of these criminal organisations and to address corruption within the police force through enhanced integrity screenings and lifestyle audits.
