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Construction gang armed with AK47s forces a JSE-listed company to flee

JSE-listed residential real estate development company Calgro M3 is abandoning two projects, according to IOL.

According to Calgro CEO Wikus Lategan, AK47s, demands, and threats threaten employees’ lives.

Lategan said they wouldn’t risk their employees’ lives in such an environment.

The building projects mobsters emerged in KZN in late 2015 and early 2016, according to a report by Global Initiative Against Transnational Organized Crime senior analyst Jenni Irish-Qhobosheane.

Construction sites were invaded by groups demanding a percentage of the contract and that construction companies hire their associates.

Their activities spread across the nation.

Calgro M3 stated that it had two KZN projects.

Bridge City in KwaMashu has 365 units and uMhlanga Hills has 720.

They would finish Bridge City and sell uMhlanga Hills, Lategan told News 24.

The province was unsuitable for business, he said.

In March, President Cyril Ramaphosa revealed in Parliament that the SAPS would create a special unit to address the issue disrupting businesses.

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