Business owners in Philippi live in fear as extortionists demand they pay up or be killed

CAPE TOWN - Small business owners in Philippi claim they are forced to pay a monthly protection fee of up to 50% of their profit or they will be killed.

Several business traders at the Philippi shopping centre say they live in fear for the day they will not be able to pay the fee.

A business owner who anonymously spoke to Eyewitness News said his brother was shot and killed in Samora Machel after his barbershop business failed to make a profit earlier this year.

Just last week, a salon owner was killed in the area because she could not pay the protection fee.

Police say the matter is still under investigation.

It's a topic that many small business owners in the area of Philippi don't want to speak about.

Business owners who shared their experiences say paying extortion money is not an option but a requirement in order to continue trading.

Another salon owner in the area who is paying 50% of what he makes every month says many businesses had to close down.

"It's getting out of hand, people are dying and people are closing their businesses. They are closed because they couldn't  pay. Those guys they come and they tell you to pay R50,000 for us to protect you."

Meanwhile, a 70-year-old pensioner selling, chips, sweets, and drinks in the area says she is afraid that they might also come to her, but she has no other option as she has to provide for her grandchildren.

"When I hear people talking about extortion incidents, and stories going viral on social media, and reports on TV, as long as I continue to run this business I can't help but live in fear."

The salon owner who spoke to Eyewitness News said these extortionists are not common criminals; they have big guns and drive expensive cars.