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Sat May 26 09:50:00 SAST 2012

Foreigners' shops to stay closed: MEC

Sapa | 24 January, 2011 19:58

Foreign-owned businesses in the Freedom Park informal settlement will remain closed pending the outcome of a provincial government investigation, Gauteng local government MEC Humphrey Memezi announced.

He said in a statement there would be a two-week investigation by a task team into issues such as "the legality of documents to operate businesses, the occupation of RDP houses and whether there was proper zoning from the municipality before the building of shops".

Memezi has met with local business owners and community members.

Media reports last month said foreign business owners in the Freedom Park informal settlement were forced to shut their shops after being threatened by local rivals.

"To ensure the safety of everyone the shops remain closed. We need to find a solution on this matter because it has been going on since 2009. I am glad that all the stakeholders including the affected business owners have come to an agreement to close their shops while the investigation continues. This will ensure that we find a speedy resolution to this matter," said Mmemezi.

The task team will comprise members of the departments of community safety, economic development, local government and housing, and the City of Johannesburg

Memezi said police would keep a highly visible presence in the area, adding that at least five people were arrested over the weekend for instigating violence against foreign business owners.

Tensions between local and foreign businesses peaked in December after the local spaza owners accused foreign owners of putting them off business by selling their goods at lower prices.

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