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Businessmen arrested for alleged construction mafia extortion

Alleged extortionists demand 30% from contractor

By Elmon Tshikhudo • 19 February 2026
Businessmen arrested for alleged construction mafia extortion

Following a contractor's report, police swiftly arrested four individuals for allegedly extorting a 30% payment from a wireless network installation project in Vhembe. This action brings relief to the community, who have long suffered from construction mafia activities disguised as legitimate business forums.

Rumours of construction mafias and extortionists actively operating in Vhembe have been circulating for some time, but thus far very few arrests have been made. Victims seldom report such incidents to the police, only speaking in hushed tones about these illegal operations for fear of reprisals.

This changed when a contractor installing a wireless network at Lwamondo Mathule contacted the police last Friday. He alleges that he was being pressurised by extortionists, who demanded 30% of the contract payment. Should he fail to pay, the “mafia” members threatened to disrupt and stall the project.

Limpopo police spokesperson Col Malesela Ledwaba said the police received a complaint on 13 February and acted swiftly on the information supplied.

“The Provincial Organised Crime Unit and Thohoyandou Tactical Response Team [responded and] arrested two men for extorting money from a subcontracting company in Lwamondo. The two men, aged 42 and 43, who formed part of the four accused of disrupting the construction project, were arrested at approximately 11:00,” he said.

Ledwaba added that the motor vehicle the suspects were driving was also seized as part of the ongoing investigation. The suspects were identified as well-known local businessman Mberegeni Nelwamondo (42) and Vhonani Ndou (43). Both appeared at the Vuwani Magistrate’s Court on Monday, where the case was postponed to Wednesday, 18 February.

On Monday, one of the other suspects handed himself in to the police after learning they were looking for him. A fourth suspect was arrested on Tuesday. At the time of going to press, it was not certain whether he would appear alongside the others in court on Wednesday (18th).

According to reports, the contractor was first approached on Monday, 9 February, by the suspects. It is alleged that they continued pressurising him to pay throughout the week, but he did not budge. The harassment only stopped when he contacted the police and the arrests were made.

A local community leader who asked to remain anonymous said the arrests came as a relief. He said it will now be up to the prosecuting authority to prove guilt and added that the problem of extortion is widespread.

“Construction mafias are becoming a menace to society and the business fraternity. Some members of the community benefitted from this specific project in terms of employment, but greedy people are coming and disrupting their source of income. We commend the police for their swift arrest of the suspects. The project should continue and benefit the community,” he said.

He also explained that construction mafia groups often disguise themselves as legitimate local business forums or community members, claiming they are entitled to 30% of the project value based on a misinterpretation of the Preferential Procurement Policy Framework Act.

These groups frequently use violence, intimidation, and sometimes display weapons to halt operations. In the Vhembe area, Indian businesses and local tenderpreneurs appear to be easy targets for the thugs.

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