British arms giant BAE Systems moved to quell a new storm of corruption allegations in South Africa's multi-billion-rand arms procurement deal by naming its local consultant, but refused to reveal the figures involved.

BAE Systems spokesman Phil Soucci told Independent Newspapers yesterday that his company had sought the assistance of Osprey Aviation, a South African aerospace company, as it set about bidding to supply the government with Hawk jets as part of the arms procurement process.

However, Soucci said BAE Systems would not, "as a matter of principle" reveal the amount it was paying the aerospace company for its services.

Britain's Guardian newspaper reported on Monday that BAE Systems might have paid more than £160 million "in secret commissions" after successfully bidding to supply the South African government with Hawk lead-in-fighter-trainer jets - part of the multi-billion-rand arms procurement deal.

Soucci dismissed the Guardian's estimates of the figure involved as "absolutely absurd" and described the corruption allegations as "a lot of silly nonsense".

"We strongly reject any allegation that what we have done in South Africa is corrupt, either in its intent or in fact," said Soucci.

Speaking from London, Soucci said: "The facts are that, when we entered the bidding process, we retained the services of Osprey Aviation.

"It is a respected private company with no links to the SA government or any political party," Soucci said in a reference to allegations that the African National Congress (ANC) had received money from the arms manufacturer for its 1999 election campaign.

The ANC rejected the reports.

Soucci's comments echoed those made by chief government spokesman Joel Netshitenzhe, who dismissed the claimed figure paid to the consultants as "a total exaggeration, a thumbsuck", but could not provide exact figures.

"My own estimation is that the commission paid would be many, many times less than the R1.6 billion in commission reported by this British paper," Netshitenzhe said.

As for the persistent claims of corruption around the arms deal, Netshitenzhe said: "We are concerned that a pastime seems to be setting in, as President Mbeki put it recently, to 'fish for corrupt men'.

"The integrity of the whole process has been explained on countless occasions and these attempts to split hairs have not impacted on the integrity of the process," Netshitenzhe said.

Meanwhile, the Democratic Alliance (DA) demanded that the ANC subject its books to a financial audit following the allegations that the ANC had received cash from BAE Systems.

"Recent revelations about payments made by BAE Systems have highlighted the great unanswered and uninvestigated question of the arms deal yet again: What donations or benefit did the ANC receive from the successful arms companies that bid for the Strategic Defence Procurement," DA MP Raenette Taljaard said in a statement.

But ANC spokesman Steyn Speed rejected the opposition's demands, saying his party would not conduct a forensic audit of its books merely on the basis of a request from the DA.

With acknowledgements to Jeremy Michaels and the Cape Times.