Michael Woerfel, the man at the centre of allegations of kickbacks relating to the arms deal, has been suspended by the European Aeronautic Defence and Space Company (EADS).  

Woerfel, managing director of EADS in South Africa, has been given police protection because a radio station allegedly gave out his cellphone and home phone numbers, as well as his home address.  

EADS stands to benefit from the multibillion-rand arms deal through subcontracts awarded to companies it has stakes in.

EADS stands to benefit from the multibillion-rand arms deal  

The contracts, worth hundreds of millions of rands, are for the supply of radar systems and missiles.

On Monday and on subsequent days this week, The Star revealed a list of 33 vehicles that local representatives of EADS had supplied to VIPs and others, mostly in the defence and aviation sectors as well as political and diplomatic circles.  

The Star has confirmed with an EADS spokesperson in Germany that auditors from that country are in South Africa to investigate the books of EADS - specifically in relation to the sale of cars to VIPs.  

EADS supplied ANC chief whip Tony Yengeni with an ML320 Mercedes 4x4 for more than half the retail price. Yengeni was then chairperson of the standing committee on defence.  

Likewise, South African National Defence Force chief General Siphiwe Nyanda paid just R324 000 for a Mercedes E320 AMG that retails for R392 000, a discount of 17,26 percent.

'Mr Woerfel is not fired, just suspended'  

Nyanda also received a Mercedes S320 at a discount of 15,11 percent. Former top officials in the department of trade and industry and in Armscor also received massive discounts.  

The list showed that Woerfel had bought four vehicles and passed them on to unknown people, in two cases for less than he had bought them for. 

Prior to his suspension, Woerfel had said that he had been grilled by the Scorpions unit and was co-operating with two other agencies investigating allegations of corruption in the arms deal.  

On Thursday night, EADS's head office in Amsterdam said: "Michael Woerfel has been suspended from his duties until further notice. This decision will remain in force until the official investigations relating to decisions taken by the South African government in connection with the procurement of defence goods have been completed."

The suspension of Woerfel also follows the revelation by The Star on Tuesday that German prosecutors in Munich had begun to probe the conduct of EADS in relation to the arms deal.  

"Mr Woerfel is not fired, just suspended. Only after the outcome of the official, and our own, investigation will a decision be made. We are committed to prevailing laws in South Africa and around the world," the company stated.

"We stick not only to local law of the Organisation for Economic Co-operation and Development, but our own ethical code of conduct, which is a very strict one."  

·  South African Air Force chief Lieutenant-General Roelf Beukes has confirmed he purchased his Mercedes-Benz through EADS, but says there was nothing sinister about it.  

Said Beukes: "This vehicle was financed through Stannic prior to the delivery and privately insured at that stage.

"Possible conflict with the purchasing of the vehicle from EADS was considered, and ruled out as the contract for the strategic packages was concluded long before this transaction," his statement said. His 7,6 percent discount was "normal".   

With acknowledgement to Marvin Meintjies and The Star.