DEFENCE Minister Mosiuoa Lekota said yesterday he was surprised that SA National Defence Force chief Gen Siphiwe Nyanda reportedly received two luxury vehicles at a discount from a company involved in SA's arms procurement deal.

"He learnt it with surprise," said Lekota's spokesman, Sam Mkhwanazi.

Lekota had yet to speak to Nyanda, who was abroad, and would wait for the general to return to discuss the matter.

He could therefore not comment on calls by the United Democratic Movement (UDM) for Nyanda to be suspended pending an investigation.

"It will be unfair for him to say he will do a, b, c, d, when he hasn't talked to the general."

On whether Lekota condoned it or believed it was ethical for senior military officials to benefit in such a way from defence companies, Mkhwanazi said: "It would be unfair for him to make that comment; he hasn't discussed the matter with the general yet."

On calls by UDM leader Bantu Holomisa for a judicial inquiry into the arms deal in view of the Nyanda allegations, Mkwanazi said the minister believed the claims were part of the multiagency probe into the arms deal and were already being dealt with at that forum.

Meanwhile, Nyanda's personal assistant said the general was overseas and could not be reached for comment. Nyanda is on an official visit to the Czech Republic, Austria, Belgium and France.

The Sunday Times reported that Nyanda this week admitted he had received a R500000 Mercedes-Benz at a massively reduced price from the European Aeronautic Defence and Space Company (EADS). Nyanda received a new silver S320 just after it was ordered by EADS which has a stake in the arms deal as a "private staff car".

It is not clear exactly when he received the vehicle. The S320 was registered in his name on a January 8, but the report did not say of which year.

He took delivery of another Mercedes, a luxury E320 AMG worth about R400000, in October 1998 the same month ANC chief whip Tony Yengeni received his luxury 4x4 vehicle from the company.

In its reaction, the Democratic Alliance (DA) expressed extreme disappointment. "Does this man have no sense? Surely it must have crossed his mind that fingers could be pointed at him," DA spokesman on defence Hendrik Schmidt said.

Those occupying senior positions needed to put the interest of the public well before their own private interests, he said.

The inquiry into the arms deal would indicate the extent of corruption involved, but Nyanda should consider whether he was fit to occupy high office.

"Such a foolish man should step down," Schmidt said.

The latest revelation lent weight to the DA's call for EADS to make public the identities of the 30 VIPs who benefited from vehicles from the company.

Holomisa said yesterday his party was still concerned about allegations that some political leaders like Yengeni were recipients of favours from EADS.

"It becomes even more serious now that institutions of integrity, like defence and its heads, are involved," he said.

He accused EADS executives of underestimating the intelligence of South Africans.

With acknowledgement to Sapa and Business Day.