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‘Backlash, slow work, gangsters, collusion’ – the cracks beneath Malusi Booi’s 2022 housing project handover

‘Backlash, slow work, gangsters, collusion’ – the cracks beneath Malusi Booi’s 2022 housing project handover
Carl Pophaim. (Photo: Facebook)
Caryn Dolley
By Caryn Dolley
30 Sep 2024
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In 2022, Cape Town’s human settlements mayco member Malusi Booi – a DA member – handed over homes in a project in Gugulethu he hoped would be completed by September 2023. That was the month in which suspected 28s gang boss Ralph Stanfield was arrested – with whom Booi is now accused of colluding.

The flawed foundation beneath a construction project in Gugulethu, Cape Town, meant to build hundreds of homes for people on a housing waiting list, is becoming more apparent.

Previously, the City of Cape Town acknowledged that there were “challenges” at its Gugulethu Infill Housing Project – part of which involves Erf 8448 where 570 housing units were set to be built.

It turns out those “challenges” run deep – and in many directions.

‘Empty promises’ vs push for delivery


malusi booi housing gugulethu Only 23 units out of 570 in the Gugulethu housing project launched in 2018 have been completed. (Photo: Siphokazi Vuso)



Earlier this year, highlighting the desperation for homes, GroundUp reported on the project, and quoted Sabelo Jele, who was on the housing waiting list, as saying: “I submitted my application for a house on 16 August 1993. I have been waiting for 30 years. 

“When the project started we were very hopeful that our lives would change. But all we’ve got are empty promises from the city.”

Read more: Huge Gugulethu housing project dead in the water

Last week, in response to Daily Maverick questions on the project, the city made it clear it was pushing for delivery, hoping to meet the new completion date by 2027.

It said there were delays when contractors sourced via the Western Cape government were used, but that the city had taken over the project last year and there had been “much progress” since then.

Construction and the city 


Problems relating to the Erf 8448 project ranged from security issues and unlawful occupation to Covid impacts and fears of a community backlash.

Other problems may extend to collusion. 

malusi booi housing project stanfield johnson Alleged 28s gang leader Ralph Stanfield and his wife Nicole Johnson. (Photo: Gallo Images / Die Burger)



It’s alleged there were illegal dealings between construction companies, including Boon Group, the city’s ex-human settlements mayoral committee member Malusi Booi, and alleged 28s gang boss Ralph Stanfield and his wife Nicole Johnson.

Read more: City of Collusion — the gang suspects and ex-officials accused of crafting Cape Town’s real ‘construction mafia’

Boon Group also appears to go by the name Boon Africa and is headed by Muhammadh Shuayb Amod. 

Amod and Booi were among 10 suspects (one was murdered about two weeks ago) arrested earlier this month for allegedly being part of a criminal enterprise.

malusi booi amod davids Muhammadh Shuayb Amod (centre with beard), who heads a company called Boon Africa, during a bail application hearing involving Malusi Booi and seven co-accused at the Cape Town Magistrates’ Court on 11 September 2024. The late Abdul-Kader Davids, who was shot in Beacon Valley late on Thursday, 19 September, is seated on his left. (Photo: Shelley Christians)



The State claims the enterprise involved unlawful tenders worth more than R1-billion and was headed by Stanfield and Johnson.

‘Collusive bidding’ blacklisting


Other allegations included that Boon colluded with Johnson’s company, Glomix House Brokers, which Daily Maverick previously reported was involved in building houses for the city.

Glomix was later blacklisted at a municipal and national level.

Daily Maverick has established that Treasury also blacklisted Boon Group and Amod earlier this month for five years.

Treasury’s Restricted Supplier and Tender Defaulter Report detailed the “restriction reason” for both as “collusive bidding and fronting”.

Read more: DA’s suspended Malusi Booi ‘fears for his life’ after police probe into alleged gangster links

Before his arrest, Booi claimed the allegations against him were false and had put his life in danger.

Amod, meanwhile, has denied any collusion and told an IOL reporter that he believed the City of Cape Town was using his company as a scapegoat. 

When Booi and his nine co-accused made an appearance in the Cape Town Magistrates’ Court about two weeks ago, a lawyer for Amod referred to a tender revoked by the city.

While it was not immediately clear which tender that was, Boon was involved in Gugulethu’s contentious Erf 8448 project.

Erf 8448


According to an August 2023 report to the city’s human settlements portfolio committee, the Gugulethu Infill Housing Project involved Erf 8448,  along with another in Nyanga.

“Civil engineering services were completed in October 2016 and top structures construction was originally scheduled for commencement during the 2017/18 financial year,” it said.

However, there was an issue with compliant bids and a tender process.



“This resulted in a community backlash, and in light of this pressure, undertaking a new, full, 18-month [supply chain management] process, was not a feasible option at the time,” the report said.

The city and the Western Cape government’s human settlements department subsequently entered into an agreement, and through this, contractors were appointed.

Construction appears to have began in 2019.

But the report said there were “challenges” including “invasion, vandalism and theft”.

Some of those problems were linked to a Covid lockdown.

‘Hope’ then ‘slow going’


A contractor linked to Erf 8448 was terminated in September 2020, and, according to the report, two other contractors, Masikhule Projects and Simply Do Construction, had handed over their work to Boon Africa, which is Amod’s company.

Another section of the report, under the heading, “Delays experienced under the third contractor (Boon Africa)”, said: “This new contractor initially brought hope to the project; they rolled out a large number of units… however, none of these units progressed to the finishes stage.”

“The contractors then promised speedy delivery; however, soon after, during April 2022, the contractor again slowed down production,” the report said.

There were issues over payments that were resolved in July 2022.

While finishing 23 units “at roof height”, the report said the contractor (Boon) “did not pick up the pace of delivery as promised”.

Lip service 


Shortly after that, in August 2022, the city announced that Booi “handed over homes to 23 beneficiaries” at Erf 8448.

In a statement, Booi acknowledged that security was a challenge at the site.



But he seemed to contradict what the report stated about sluggish service delivery, saying: “This project is making good progress and we are doing all we can to ensure the project is protected so that the remaining beneficiaries can move into their homes as soon as possible.”

In August 2022, Boon Africa also issued a statement, saying Amod and Booi had “handed over 23 homes” to beneficiaries.

30-year wait 


“It has been 30 years since the promise of housing was made to individuals of the Gugulethu community,” the Boon statement said.

“Today marks a historical event in which Boon Africa has made the delivery of these homes possible. Well Done Team Boon Africa!” 



 According to the report to the city’s human settlements committee, though, things were not going smoothly.

A few months after the handover, at the end of December 2022, the city, via the provincial government, issued a “notice of possible termination”, presumably to Boon, because of the “lack of delivery on site”.

The notice gave the company 30 days to submit a programme and safety plan, which was received at the end of January 2023.

According to the report, the Western Cape government “elected to continue with the contractor despite their clear lack of performance on site”.

Another section of the report said: “Should the active contractor on this site (the work ceded to Boon Africa) be terminated, a community backlash is likely as the contractor has fostered a close relationship with the community.

“However, the fact that this contractor has only delivered 23 units over the course of three years cannot be ignored and it is imperative that the authorities act decisively.”

Murder, raid, dismissal


In February 2023, violence broke out at another housing site. 

City official Wendy Klopper was shot dead at a development project in Delft.

Read more: Suspect arrested for Cape Town ‘construction mafia’ murder of city worker Wendy Kloppers

It previously emerged that she may have been killed for not giving in to the demands of gangsters wanting work from contractors.

Kloppers’ murder resulted in the city investigating certain construction-related tenders – Johnson’s company Glomix cropped up in this.

The following month, March 2023, the police raided Booi’s office as part of an investigation into unlawful tenders – an investigation in which Stanfield’s name was flagged.

Booi was dismissed and subsequently resigned as a councillor.

This is roughly where the scandals converge.

First criminal case


When Booi handed over homes at Erf 8448 in August 2022, he said that if all went according to plan, the Gugulethu Infill Housing Project would “be completed by September 2023”.

It was not.

And in that same month, Stanfield and Johnson were arrested in a case initially involving fraud and car theft charges.

Read more: ‘I want to empty a gun in his head’ – chilling affidavit about alleged 28s gang boss Ralph Stanfield’s ‘plans’

The case grew, with more accused and charges – including murder – added.

While that case was developing, issues relating to Erf 8448 heated up.

‘Scapegoat’ rebuttal


In February this year, GroundUp reported that the provincial government said Boon Africa had failed to meet its commitments and that a new contractor would be appointed.

GroundUp’s report stated: “Boon Africa Construction Director Collen Matimba said that the contract had been abruptly terminated before the company could complete the work.

“He did not say why it had taken so long to build the houses.” (The Treasury blacklisted Matimba for five years earlier this month.)

In July, the company again cropped up in the news.

IOL reported that Cape Town’s city manager Lungelo Mbandazayo alleged that investigations into certain tenders showed Boon and another company, ZSM Developers and Projects, directed by Abdul Kader Davids, were linked to Glomix, but that this had not been disclosed.

In response, Amod denied collusion with Glomix and ZSM, telling IOL: “It seems evident that our company has been made a scapegoat in the city’s efforts to deflect attention from their failures in managing alleged gangsterism and extortion.”

Second criminal case


Two months later, bringing the matter nearly up to speed, Amod, Davids and Booi were among the 10 suspects arrested earlier in September in the unlawful tender enterprise case.

A draft charge sheet in that case alleges Boon, Glomix and ZSM “collusively tendered” for two contracts.

Daily Maverick has reported on how Davids’ ZSM was involved in a controversial housing project in the Cape Town suburb of Valhalla Park, parts of which are known 28s gang strongholds, where Glomix was also involved in building homes.

Read more: Malusi Booi’s murdered co-accused in R1bn unlawful tender case linked to a string of housing scandals in 28s gangland

About two weeks ago, all 10 accused in the unlawful tender enterprise case were released from custody on bail.

Two days after their release, on 20 September, Davids was murdered in Mitchells Plain.

The motive was not immediately clear.

Read more: Accused in Booi and Stanfield R1-billion tenders case murdered two days after bail release

That murder aside, the arrests of Booi and his co-accused were carried out a year after Stanfield and Johnson were detained in the separate car theft and fraud case that is steadily growing.

Among the charges and accused added to that case related to the 2023 murder of Wendy Kloppers.

The Stanfield and company case – or suspects in it – may be joined to the Booi and company case.

The accused are yet to plead or provide their versions of what transpired.

‘Aggressive delivery’


As for Erf 8448, it is not clear if it features, or will feature, in the unlawful tender enterprise case. 

What is clear though, is that a company (Boon) linked to Erf 8448 has been referenced in the case.

malusi booi housing pophaim Carl Pophaim. (Photo: Facebook)



Last week, Carl Pophaim, who took over from Booi as the city’s human settlements mayco member, explained to Daily Maverick that the project was not yet complete.
@carlpophaim_za? Amid the rain and storms, additional beneficiaries of the 8448 Gugulethu Infill housing project were able to receive their new Breaking New Ground homes today. We are making steady progress towards completing this housing project, which will deliver 1 004 homes to qualifying beneficiaries and their families. We remain on track with housing delivery across the City, restoring dignity and ensuring security to beneficiaries with every housing handover. #HumanSettlements #Housing #CityofCapeTown #ServiceDelivery #Erf8448 #fyp @cityofct ♬ Doo Be Doo - Freshlyground



“The current top structure contractor is on track to complete their part of the work by June 2026, but some additional work will remain which is likely to be completed during 2027,” he said. 

“Since I was appointed last year at the end of August, we have implemented a fresh approach with aggressive delivery on this project.”

Fifty of the 570 units at Erf 8448 had been completed – 23 of these were by “former, terminated contractors”, while 27 were by new contractors.



 “It should be noted that the previous contractor left the site with a large number of partially completed units, which are being attended to now,” Pophaim said.

He explained that “substantial delays were experienced during the time that contractors from the Western Cape government’s framework of contractors were attending to the work”.

Pophaim said: “This delay ceased when the city took over the project in July 2023. Much progress has been made since.” DM

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