Taxi industry -- organised cartels of hooligans

The 1920s are best portrayed by the collapse of lawlessness that plagued the US cities of Chicago and New York – much to the doing of arguably the world’s best known criminal: Al Capone and the rival gangs of Bugs Moran. The era of prohibition of the 1920s and 1930s in the US presented the criminal underworld with an environment conducive for remarkable prosperity; achieved through blackmail and murder.

The notorious St Valentines massacre of 1929, perfectly orchestrated by Capone against Moran’s men, signalled the beginning of an epidemic of mafia violence that beset the 1930s. The ruthless violence between rival gangs or “families” was primarily for control of the drug market and expansion of their drug empires. These mafia “families” called La Cosa Nostra, were carefully organised structures made up of several gangs of hooligans; all these headed by the Don.

According to Domenico Airoma, “The various “families” – each one ruled by a “representative” – were gathered into groups following the criterion of territorial contiguity and committed to a district-boss (the capo-mandamento). The district-bosses formed a superior corporate body, the Committee or “Cupola”. The rigid oligarchic structure, the inflexible code of practice and the enormous profits make the “punitive” action unfailing whenever the safety of the criminal organization is under menace, be it internal or external.”

Taxi violence in South Africa has become part of our ordinary existence and it was no shock to discover the similarities in which taxi associations were organised with the Cosa Nostra. A national taxi council, the so-called “mother” body, is made up of provincial, regional and local councils, underneath whom are the local taxi associations.

The mindless rivalry between various local taxi associations belonging to different councils for control of routes and desire to maintain dominance in some areas is strikingly reminiscent of the prohibition era of the 1930s.

Lawlessness is a defining feature of the activities of these hooligans under the false pretext of legitimate business operators. Intimidation and violence are the measure by which competition is discouraged and destroyed. Associations claim monopoly of lucrative routes and prevent members of rival taxi associations from operating on such routes.

Violence is often indiscriminate and results in unfortunate loss of innocent lives of passengers who almost always are treated with disdain by some uncouth drivers who are never at a loss for an arsenal of profanities.

Self regulation has also been the major cause of the violence in this shameful industry. A bunch of a few uncles, often dubious characters, organise themselves into an association and, through intimidation and violence, govern themselves without any formal regulatory oversight by the Department of Transport. These hooligans have become a law unto themselves. The enactment of the National Land Transport Transition Act was a pathetic attempt by the government at regulation through a taxi recapitalisation programme. Taxi associations continue clutching government by the balls and pulling its nose whenever it pleases; and they are non-taxpayers nogal!

The government proposed a Bus Rapid Transit system as part of the 2010 development projects in order to provide faster and more affordable mass transit systems; but the geniuses at the South African National Taxi Council (Santaco) suggested that government put on hold its plans until the involvement of hooligans in the minibus taxi industry is spelt out clearly. This is in spite of the government’s efforts to give the taxi industry an extreme make-over though the Taxi Rapid Transport System.

Philip Taaibosch, a certain character representing Santaco as the general secretary said, “If this is not done, we are not going to fold our arms … they must not take the taxi industry very lightly; we know our constitutional rights and we know what we are talking about when we are talking about our business … the government is simply disempowering the taxi industry.”

The government has allowed itself to be held to ransom by groups of organised hooligans who have no respect for the principles free market system within which they operate. It is disgraceful that a government continues pandering to the whims of hooligans who have no desire to promote an efficient public transport system. We have witnessed even the Competitions Commission, which has been flexing its muscles against big corporates, being unable to crack down on the collusion on price-fixing that is rampant in this discredited industry. It is shocking!

What Airoma describes as “… the inflexible code of practice and the enormous profits make the “punitive” action unfailing whenever the safety of the criminal organisation is under menace, be it internal or external,” when speaking of the Cosa Nostra, rings true of the taxi industry.