Johannesburg - Mac Maharaj, the former minister of transport intends to resign from the FirstRand directors board on Thursday after allegations that he and his wife received gifts and payments to the value of R500 000 from Durban businessman Schabir Shaik.

Shaik is currently under investigation for his role in South Africa's controversial arms deal with several foreign countries and governments.

A FirstRand spokesperson said that Maharaj offered to resign. He said that since Maharaj was not only a board member of FirstRand, but also of several of its affiliates, the former minister intended to only make an official announcement about his position once all these boards were informed of his decision.

According to the spokesperson, Maharaj aimed to conclude the matter on Thursday after which FirstRand will release a statement.

According to the chief executive of FirstRand, Laurie Dippenaar, Maharaj requested a meeting with the executive of the bank to discuss the steps he wanted to follow in response to the matters raised in the newspapers.

Dippenaar said that FirstRand fully supported the transparent process Maharaj indicated he desired.

Maharaj, 67, was appointed as non-executive director of FirstRand on 17 September 1999 and was expected to play an important role in creating a favourable climate between the bank and government on the basis of the excellent relations he still had with senior government figures.

The value FirstRand attached to Maharaj's advice is clearly reflected in his remuneration package which, at R1.014m, for a non-executive director outstripped even the R769 000 and R231 000 GT Ferreira receives as chairperson of FirstRand Bank and Group respectively.

The allegation that Maharaj accepted bribes with relation to the arms deal follows hot on the heels of similar accusations aimed at deputy president Jacob Zuma.

With acknowledgements to Maarten Mittner and Die Burger.