Construction of more than 700 low-cost houses in Valhalla Park has been halted after gangsters went on to the site and demanded a “security fee” from the contractor.
People living in 7de Laan informal settlement now see their dreams of owning a brick house dashed.
Mayor Patricia de Lille announced during a council meeting on Wednesday that the Valhalla Housing Project “is currently being blocked where gangsters have gone on site, threatening the contractor (and) demanding a security fee”.
She told the council meeting through the Speaker that “unfortunately it is not all good news in our work to deliver to residents”.
She said the city was “working hard to address this as a matter of urgency to allow the contractor to continue with their work safely”.
Three weeks ago a group of alleged gangsters walked on to the site and stole a bakkie, a generator and robbed workers of their cellphones, according to the project’s community liaison officer, Gertrude Square.
Since then the contractor moved some of the material off the site and stopped workers from continuing working, fearing for their safety.
This project has been in the pipeline since 2013 and work commenced last year. This month's alleged threats follow similar threats last year when the construction company had to set up camp, said Square.
A potential beneficiary, Mary-Anne Lewis, 49, from 7de Laan informal settlement, said it was “devastating, concerning and unruly that some criminals have stopped what would have benefited hundreds of people”.
Lewis said living conditions where she lives are inhumane, with poor water supply, electricity, sanitation and safety.
The area's central mini-mayor, Siyabulela Mamkeli, said the city is working with its law enforcement agencies and the police to restore peace.
“The gangsters went on site and demanded protection fee from the contractor. The contractor did not adhere to the gang’s demands, which led them (gangsters) to shooting at security and robbing them,” Mamkeli said.
He said the situation was a setback and very concerning.
Police spokesperson André Traut said: “Due to the fact that the incidents occurred three weeks ago, this office will not be able to respond immediately, as it is imperative to get the latest developments in the cases.”