The Makana Municipality says it condemns the attacks on foreign-owned businesses by community members in Grahamstown this week.
It says in a statement hundreds of foreign national were taken into safety on Wednesday evening where police members guarded the premises overnight.
ANC chief whip at the Makana Municpality, Julia Wells says the incidents were sparked by allegations of muti -related murders by foreign nationals.
Wells says police have found no concrete evidence to support the allegations.
"At Makana municipality we have been having a lot of discussions with the South African Police Service ,every case that has been ever brought to their attention there is absolutely no truth behind those rumours. We are calling on all people to come back to normal,to restore calm, they have been responding to information that is completely untrue"she said.
An estimated of about 80 shops were looted by community members in different townships around Grahamstown.
The municipality says it will set up a meeting with Councillors to address the issue.