Johannesburg - The National Intelligence Agency (NIA) is consulting with its lawyers after City Press newspaper said yesterday the agency was the source of evidence for spy allegations against National Director of Public Prosecutions Bulelani Ngcuka.

NIA spokeswoman Lorna Daniels said: "Prior to the publication of the articles, we alerted the journalist, editor and managing editor to the fact that they would be in breach should they, in error, once again publish that the NIA is the source of evidence for the allegation made against the director.

"The editor and journalist undertook to correct their story. The error was repeated."

The Hefer Commission is investigating allegations against Ngcuka and Justice Minister Penuell Maduna.

The article discussed "the reluctant witnesses whose testimony is crucial to Hefer's probe".

According to the story, these included former transport minister Mac Maharaj, foreign affairs official Mo Shaik, Deputy President Jacob Zuma, ex-Sunday Times journalist Ranjeni Munusamy and the NIA.

With acknowledgements to Sapa and the Cape Times.