Fallen Energy Boss Weeps in Court |
Publication | Sunday Times |
Date | 2003-04-13 |
Reporter |
Mzilikazi Wa Afrika |
Web Link |
The former Central Energy Fund chairman, Keith Kunene, cried when he appeared in court this week, accused of taking a $60 000 (about R480 000) bribe in a R1.5-billion government oil deal.
Kunene was charged with multiple counts of fraud and corruption in the Randburg Magistrate's Court on Monday. He was released on R220 000 bail.
The state alleges that Kunene paid Seth Phalatse, who was non-executive chairman of the Strategic Fuel Fund Association , and Dudula Zondi, who was chairman of the fund's procurement committee, a $20 000 (about R160 000) bribe each as a "token of appreciation" for awarding High Beam Trading International a massive oil deal. The deal involved the sale of about 10 million barrels of government-owned crude oil.
High Beam Trading International is a joint venture between Trafigura Beheer, a London-based oil company, and High Beam Investments, a South African black empowerment company.
HBTI director Moses Moloele is a close associate of Kunene. The state alleges that Moloele, who also appeared in court on Monday, paid Kunene $60 000 and promised him an additional R4-million that would be kept "confidential".
The state further alleges that Kunene instructed Phalatse on May 13 2000 to sign an agreement between the Strategic Fuel Fund and HBTI without the knowledge of the Mineral and Energy Affairs minister or the approval of the fund's board.
Upon giving Phalatse and Zondi their $20 000 "rewards" from HBTI, Kunene allegedly told them there was a further R12-million to be shared between them which would be deposited into a foreign bank account. Trafigura was allegedly going to help them open foreign bank accounts. It is alleged that Kunene kept a further $20 000 for himself.
Zondi allegedly spent his share of the bribe but Phalatse kept the money for three months before returning it to Kunene. He blew the whistle on Kunene to Mineral and Energy Affairs director-general Sandile Nogxima on August 18, 2000.
The South African government took HBTI to court in London for paying bribes to its officials. The court ordered HBTI to pay the government's legal fees of about $700 000 (about R5.6-million) and to cancel the contract.
With acknowledgement to Mzilikazi Wa Afrika and the Sunday Times.