The issuing of the charge sheet in the corruption trial of Durban businessman Schabir Shaik fundamentally changes the nature of the arms deal debate in several crucial respects.

Naturally, the charge sheet is simply that it is the state's case and must still be weighed against counter evidence provided by the defence.

But until now, all of the press reports about Shaik and his business relationship with Deputy President Jacob Zuma have also been simply reportage. Some was based on court documents, but much more was based on investigation and information gleaned from people pursuing their own agendas. This information was scattered and incomplete.

Now, at last, a complete version of the events is in the public domain.

In summary, the story goes like this French defence company Thales (known then as Thompson CSF) pursued several projects in the early 1990s with Shaik's company, Nkobi Holdings. These excluded defence contracts. But in February 1998 the company bought 50% of Altech Defence Systems, later known as African Defence Systems (ADS).

Thales chose to invest initially directly in ADS, excluding Nkobi, which was apparently in contravention of the earlier agreement that it would embark on all South African business opportunities together with Nkobi.

The charge sheet says that during 1998, Thales was wracked by uncertainties relating to the suitability of their political contacts in SA, as well as the "political correctness" of their partners in ADS. "This was seeming(ly) due to rumours they had received that then Deputy President Thabo Mbeki did not approve of Nkobi as a partner." Two Thales representatives met Shaik's brother, Chippy, who was then, in July 1998, the chief of acquisitions at the defence department. "Chippy Shaik indicated that he would facilitate matters for Thomson (Thales) if Thomson's position with partners and friends was convenient to Chippy Shaik. He would otherwise make things difficult.

Chippy Shaik confirmed that Zuma (a minister in the KwaZulu-Natal provincial government at this stage) would be a member of the next cabinet," the charge sheet states.

On November 18 1998, the cabinet selected the German Frigate Consortium as preferred suppliers of the corvettes. "On the same day a meeting was held at the Nkobi offices between Nkobi and Thomson, the subject matter being the sale of 10% of Thomson's share in ADS to Nkobi."

Zuma attended this meeting as mediator to resolve the dispute between Thomson and Nkobi and facilitate Nkobi obtaining effective shareholding in ADS, the charge sheet states. This was agreed and the two firms were now bonded together.

About a year later, in September 1999, questions relating to irregularities in the arms deal started appearing, combined with calls to appoint the Heath special investigative unit.

In February 2000, the unit formally asked for a proclamation to commence with an inquiry. A month later, Thales' local representative met Shaik and Alain Thetard in Durban, and returned to his Pretoria office where he wrote the famous "encrypted fax".

"The request by Zuma, assisted by Accused No1 (Shaik), to Thomson (Thales), that Thomson pay Zuma a bribe in exchange for Zuma's protection and support of Thomson was agreed to by Thomson through Thetard and Perrier." And then, in a letter dated January 19 2001, Zuma wrote in his capacity as leader of government business in Parliament to Gavin Woods, then chairman of the standing public accounts committee, saying "We are convinced there is no need for the Heath unit to be involved in any investigation of the defence acquisition." Not long afterwards, the unit was disbanded.

The charge sheet goes on to trace a complex money trail, but the shorthand version is that Zuma was heavily in debt, and through a series of transactions, his debts were paid through money that emanated from Thales.

The charge sheet changes several aspects of the assumptions widely held up till now about the deal.

First, it alleges for the first time that money did change hands. Second, it alleges that Chippy Shaik was involved in assisting his brother to get a contract. Nowhere in the hundreds of pages of the investigation report into the arms deal is this stated in so many words. Third, it attempts to demonstrate that Shaik and Zuma had a strong motive to solicit a bribe.

Cohen is chief reporter.

With acknwledgement to Tim Cohen and Business Day.