President Thabo Mbeki says the current arms deal court case will reveal a "fascinating" story of the impact of apartheid-era networks on the democratic government.

Writing in defence of Auditor General Shauket Fakie in his ANC website column, Mbeki said C2I2 managing director Richard Young was unwittingly justified in raising the issue of the circumstances around Bazan of Spain because the real truth about arms procurement would come out.

"This detailed, truthful account would tell our country interesting things about such matters as defence procurement during the apartheid years, and the promotion of political careers and fortunes in contemporary South Africa.

"It would tell a story about the political uses of the racist stereotypes that are part of our daily menu of information and perception, and the formation of popular consciousness.

"It would inform us about the impact or otherwise of the domestic and international apartheid networks on our democratic order, and the moral integrity of those who correctly claim that they fought for the victory of this order, and therefore seek to position themselves as its true representatives," Mbeki wrote.

Mbeki said Young falsely claimed that a contract for building of four corvettes by Bazan had been cancelled by the democratic government after it was awarded. Mbeki said the apartheid government never entered into a contract with Bazan, and Bazan later entered the competition to supply corvettes and lost out to the German Frigate Consortium (GFC).

Mbeki said Fakie was now seen as a big fish by the "self-appointed fishers of corrupt men and women in government". These fishermen and women were driven by a racial stereotype that a black government must be corrupt until it proves itself otherwise.

Mbeki said there was nothing wrong in Fakie presenting his audits to institutions he audited, and he had a right to reject their comments.

With acknowledgements to Charles Phahlane and the Weekend Argus.