SA National Defence Force (SANDF) chief Gen Siphiwe Nyanda's purchase of a new luxury Mercedes Benz was completely above board, the defence force said yesterday.

SANDF corporate communications head Maj-Gen Chris Pepani said: "The SANDF takes strong issue (with) reports surrounding the acquisition of (Nyanda's) official vehicle.

"It is unfortunate that certain parts of the media are creating a controversy of this issue. I find it also very mischievous that some circles are also trying to politicise an otherwise ordinary process of buying a vehicle."

Pepani said the transaction involving Nyanda's official vehicle was a normal one between two parties, and there was no "whopping bargain" involved, only the normal discount applicable to any official. "There was nothing underhand involved in the transaction, but that this was done in a transparent manner with the documents to prove it.

"It is also on record that Gen Nyanda traded in his previous official vehicle, a Mercedes E320, for an S class. "This vehicle is a benefit included in his salary package," Pepani said. The Sunday Times reported at the weekend that Nyanda admitted late last week that he got a R500000 Mercedes-Benz at a massively reduced price from a company that will rake in millions from SA's controversial arms deal.

Nyanda got his new silver S320 just after it was ordered by the European Aeronautic Defence and Space Company (EADS) as a "private staff" car, the newspaper said.

EADS will benefit from the arms deal, through a joint venture, from two contracts worth more than R420m, it said.

EADS is made up of DaimlerChrysler Aerospace, Aérospatiale Matra of France and Construcciones Aeronáuticas of Spain.

Sam Mkhwanazi, the spokesman for Defence Minister Mosiuoa Lekota, said Lekota had not indicated that he had spoken to Nyanda yesterday.  

With acknowledgment to Bonile Ngqiyaza, Sapa and Business Day.