Battle to have arms programme investigated although the justice minister was told there was evidence for closer inspection

The Heath special investigating unit struggled to get an investigation into possible arms deal irregularities off the ground, despite having advised former justice minister Penuell Maduna there was sufficient evidence to warrant a closer inspection, the Durban High Court heard yesterday.

Advocates Jannie Lubbe and Gerhard Visagie, both involved with the now defunct Heath unit , were giving evidence in the Shabir Shaik fraud and corruption trial.

The Durban businessman has pleaded not guilty to two counts of corruption and one of fraud.

Lubbe said he received a letter from Maduna near midnight on January 16 2001 requesting him to "quickly go through whatever material, particularly that which was furnished to Judge (Willem) Heath by Patricia de Lille MP some time last year".

The former justice minister wanted his advice on the evidence of criminal activities and whether an investigation should be handed to either Heath or another special investigating unit .

Lubbe testified there were sufficient irregularities to require President Thabo Mbeki to sign a proclamation enabling further special unit investigation into the issue. *1

In the letter, Maduna said Mbeki had requested Lubbe's help before deciding whether an investigating unit had to be established or whether the Heath unit should be tasked with the matter.

There were constitutional issues relating to Heath's appointment as head of the unit.

Three days later, Mbeki announced the Heath unit's exclusion from the investigations.

Earlier Visagie had told the court the unit had experienced problems in getting an investigation underway.

Under cross-examination by defence counsel Francois van Zyl, Lubbe said he was unaware that Maduna had written to Mbeki a day before the letter was sent, recommending the Heath unit's exclusion.

The court also heard how money personally paid to Deputy President Jacob Zuma was allegedly used to cover African National Congress (ANC) expenses.

Durban businessman Abdool Mangerah said he worked with Zuma in the ANC's southern kwaZulu-Natal executive committee.

While still kwaZulu-Natal economic affairs and tourism MEC, Zuma had regularly borrowed money, culminating in a R100 000 loan in December 1995.

Mangerah had obliged, believing repayment would be forthcoming within three months.

When payments dried up by November 1996, Zuma requested a statement of his debts.

In a bid to "prevent embarrassment", the men agreed to make it look as if the money was owed by the ANC and not Zuma personally.

In March 1997 Mangerah received several post-dated cheques from Clegton Investments to cover the outstanding debt.

Several cheques were not honoured and the businessman tried contacting Shaik and Zuma before resorting to legal action.

Van Zyl said Shaik's evidence was that Zuma had used the money for party purposes.

When Shaik undertook to pay Mangerah, he regarded it as a contribution to the ANC.

"Mine was not a contribution. I made my own contributions," Mangerah said.

With acknowledgement to Business Day.

*1 Mbeki's response was that he had been advised by Advocates Kahn SC and Lubbe SC that an investigation was not required as there was no prima facie evidence.

Public Broadcast on the Issue of the Strategic Defence Acquisition Programme

Source : The Presidency and Government Communications
Date    :  2001-01-19
Web Link  :   www.gov.co.za

In his letter to me, Minister Maduna stated that he had no information from Judge Heath as to what the Proclamation should be issued for.

Furthermore, he had had no access to the documents reputedly with Judge Heath, to establish whether it was, in fact, necessary to issue the Proclamation.

To correct this fault, before I made my own decision, I asked the Minister to access these documents to ensure that we did not arrive at a wrong decision simply because of insufficient information.

In this regard, I would like to extend my sincere thanks to Advocates Jan Lubbe S.C. and Frank Kahn, S.C., Director of Prosecutions in the Cape of Good Hope, for the assistance they gave the Minister to correct the weakness we have indicated.

In a letter to the Minister of Justice dated 18 January, 2001, they say: