Cape Town - South African National Defence Force (SANDF) chief General Siphiwe Nyanda's purchase of a new luxury Mercedes Benz was completely above board, the defence force insisted on Monday.

"The SANDF takes strong issue (with) reports surrounding the acquisition of (Nyanda's) official vehicle," SANDF corporate communications head Major-General Chris Pepani said in a statement.

"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 General 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 had admitted he received a R500 000 Mercedes-Benz at a massively-reduced price from European Aeronautic Defence and Space Company (EADS).

Nyanda had 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 January 8, but the report did not say of which year.

He took delivery of another Mercedes, a luxury E320 AMG, worth about R400 000, in October 1998, the same month as ANC Chief Whip Tony Yengeni received his luxury 4x4 vehicle from the company.

Also on Sunday, Defence Minister Mosiuoa Lekota said he was surprised Nyanda had reportedly received two luxury vehicles at a discount from a company involved in the arms deal.

"He learnt it with surprise," Lekota's spokesperson Sam Mkhwanazi told Sapa.

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

Nyanda's personal assistant told Sapa 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.

Political parties, including the Democratic Alliance and the United Democratic Movement, have called for Nyanda's suspension pending an investigation.  

With acknowledgment to Sapa and News24.