African Entrepreneurship Record

Chapter 1165: Chapter 174: The Mafia

The schemes of East Africa are naturally in the eyes of the United States, and both countries began to show their talents across Latin America, with the Caribbean Sea region becoming the frontline of interaction between the two nations.

Under the ”care” of the United States, the Caribbean Sea region was originally rife with conflicts, and East Africa’s entry further intensified the local situation. Under such tense circumstances, East Africa focused its efforts on Venezuela.

Maracaibo.

December 3, 1914.

Soon after the East African fleet visited Venezuela, the subsequent East African government made relevant arrangements locally.

Endel, the manager of the Venezuelan branch of the East African Petroleum Company, was complaining to the consulate staff.

East Africa set up a consulate independently in Malaykaibo City, Venezuela, and this was one of only two diplomatic missions within Venezuela.

Manager Endel: ”Consul Keuer, we’ve reached a deal with the Tres Clan and purchased a large amount of land at Lake Malaykaibo to set up an oil refinery. However, although we’ve made the deal, local gangs are causing us trouble.”

”Every time our construction site starts operations, they come to cause issues. We initially promised them some protection fees, but they reneged on the agreement.”

”The obstruction from local gangs has stalled the project, causing us substantial losses, so we can only seek help from the consulate.”

Keuer asked, ”Didn’t you negotiate with the Malaykaibo City Government before?”

Endel, filled with righteous indignation, said: ”The Malaykaibo City Government is just a bunch of good-for-nothing freeloaders. Not only do they not intervene, but they also shirk responsibilities. Otherwise, I wouldn’t be seeking your help...”

Keuer, with a frown, listened to Endel’s complaints, then solemnly said, ”Don’t worry about this matter; ensure the safety of our citizens, and I’ll figure out how to handle it.”

Keuer, having a deep understanding of the nature of the Malaykaibo City Government, likened it to a small temple with big devils and shallow waters with too many frogs, a common trait in many backward small governments.

When it comes to profiting, they have many tricks, but as for management and business environment operations, they prefer to mind their own business.

As a diplomatic personnel, Cromwell was quite knowledgeable, especially since Malaykaibo Lake District’s unique geographic location led to weak control by the Venezuelan Central Government.

”The Venezuelan Government has already signed an economic cooperation agreement with us, and two months ago, our navy also exercised deterrence here.”

”Therefore, this is definitely not the Venezuelan Government’s idea; there must be some petty figures lurking in the shadows to cause us trouble,” Keuer consoled Endel.

As for what kind of gang, Keuer estimated it was just local gangs or other forces trying to extort a large sum from East Africa.

East Africa, with its years of strategic planning in Venezuela, has surpassed the United Kingdom and the United States to become the largest investor in the region, so local forces are all eager to get a share from East Africa.

If it were local nobility, it would still be manageable. For instance, the Tres Clan, who cooperates with the East African Petroleum Company, gangs dare to extort East Africa, simply courting death.

Keuer knew well that East African state-owned enterprises were vastly different from those in Europe and America. The East African Petroleum Company had a semi-official status, and provoking it was equivalent to provoking the East African Government.

Local forces, lacking insight and assuming that the East African Petroleum Company was like those private enterprises without background support, were gravely mistaken.

”You don’t have to worry. We have ways to deal with these pests in the ditch. In the coming weeks, do not clash with them; wait for my notification before making plans.”

Endel sighed slightly: ”Time is money, and due to the European war, the cost of various local supplies is relatively high. It is best to resolve this matter in a short time. Moreover, this is our company’s first time building an oil refinery in Venezuela – East Africa’s first factory here, making it an unfavorable start.”

Keuer replied, ”Rest assured, if things go smoothly, we could give you a reply within a few days. At a conservative estimate, it wouldn’t take more than a month. We have resources in Venezuela.”

As a manager in a large state-owned enterprise, Endel could speak directly with Keuer. Although state-owned enterprises and the diplomatic department where Keuer worked are two separate systems, the cooperation between them abroad remained relatively close.

After seeing off Endel, Keuer’s face sank as well. As the highest official representative of East Africa in the Malaykaibo Lake area, Keuer wielded considerable power, mainly because Lake Malaykaibo was an important district in East Africa’s plans, with a dedicated consulate set up there.

Although the East African Embassy in Venezuela was located in Caracas, the Malaykaibo Consulate could bypass the embassy under special circumstances and contact the East African Government directly.

Soon, Keuer went to the consulate’s communication room to report the situation here to senior officials in the Ministry of Foreign Affairs.

Meanwhile, Endel surely would report the matter to the headquarters of the East African Petroleum Company, which, being a directly governed state enterprise by the East African Government, evidently served as an important component of it.

While both awaited news, a gathering was also taking place in the southwest corner of Malaykaibo City, where the Dan Black Gang was active.

In this era, Malaykaibo City had yet to fully develop its oil resources, serving merely as an unremarkable small city straddling the Venezuelan Gulf and Lake Malaykaibo.

Venezuela’s name indeed has significant links to Lake Malaykaibo. Among the Europeans who discovered Lake Malaykaibo was an Italian, Amerigo Vespucci.

Upon first witnessing Lake Malaykaibo, reminded of his hometown’s city of water, Venice, he called the place ”Little Venice,” which, when translated into Spanish, became Venezuela.

From 1908, things began to change. Initially, a batch of state-owned enterprises from East Africa started purchasing land in Malaykaibo City under the guise of investment.

Meanwhile, the East African Petroleum Company, East African Petrochemical, Petroleum City Company, West Great Lake Province Petroleum Company, and East African Liquefied Gas Company, among a slew of East African oil and gas companies, began exploration work locally.

By 1909, East Africa had developed its first oil well at Lake Malaykaibo. Up until now, East Africa controlled over sixty oil wells and a vast amount of oil and gas resources locally.

Previously, East Africa transported these petroleum products directly back to its own country for processing. However, since the quality of Venezuelan oil wasn’t particularly good, containing many impurities, the East African Petroleum Company decided to establish an oil refinery here to remove some impurities before sending it back home for further processing.

As oil and gas resources at Lake Malaykaibo were exploited, Malaykaibo City became a gathering place for East African enterprises.

The so-called Dan Black Gang was the largest local gang, existing long before East Africa’s investments here.

Its leader, Carmen, was a key figure in the local underworld, making it nearly impossible to do business in Malaykaibo City without encountering the Dan Black Gang.

Before East Africa’s arrival, the Dan Black Gang thrived. Carmen, as the local gang leader, had many collaborative efforts with local noble families, seamlessly entrenching himself in both the underworld and legitimate society.

This is the main reason why Endel sought assistance from the local government, only to find the Malaykaibo City Government internally deflecting responsibilities. Nobody wanted to offend Carmen for East Africa’s sake, and they also wanted to test the waters of East African enterprises through the Dan Black Gang.

In recent years, as oil fields were exploited, East African enterprises grew locally, making their presence felt, and inevitably, some attempted to reap the fruits without understanding the stakes, especially since East Africa was an outsider.

On an official level, any direct action was unfeasible; being a great power, East Africa’s direct confrontation could hardly be borne by most. Triggering a diplomatic conflict, the Malaykaibo City Government might be sold out to East Africa by the Venezuelan Government, meeting a dire fate.