Publication: The Star Issued: Date: 2001-07-26 Reporter: Marvin Meintjies Editor:

German Probe into Arms Deal Graft Claims


Publication  The Star
Date 2001-07-26
Reporter Marvin Meintjies
Web Link www.iol.co.za

German prosecutors have begun interviewing witnesses over allegations that a German citizen was involved in corruption related to the controversial South African multibillion-rand arms deal.

The Germans began probing the conduct of individuals within the European Aeronautic Defence and Space Company (EADS) after revelations that EADS South Africa had assisted VIPs in defence and related industries, and diplomatic and political circles, in acquiring cars at discounted rates. 

EADS, the result of the amalgamation of DaimlerChrysler Aerospace, Aerospatiale Matra of France and Construcciones Aeronauticas of Spain, has sold 33 vehicles to VIPs and others at discount prices and is a beneficiary of the arms deal through subcontracts to an entity in which it has a stake. 

Following the publication in The Star of the list of cars sold by EADS, its South African head Michael Woerfel was suspended by the parent company in Amsterdam. 

Among those who benefited from assistance by EADS in acquiring cars was African National Congress chief whip Tony Yengeni, a former chairperson of the joint standing committee on defence. 

A department of trade and industry official, Vanan Pillay, who played a critical role in the arms procurement process, bought two cars through EADS. His conduct is the subject of an internal departmental probe. 

The acting chief prosecutor of Munich, Manfried Wick, confirmed on Thursday that his office was interviewing witnesses over the allegations. 

Germany is a signatory to an agreement by several European industrialised nations to make bribery of foreign officials, or politicians, a criminal offence punishable in the offender's native land. 

While Wick would not comment on the identity of his countryman under investigation, he said: "I have launched an investigation against a German national ... Woerfel, whom you mention, has as yet not been interrogated." 

With acknowledgment to Marvin Meintjies and The Star.