A lot of ministers received "bribe money" in cash from Schabir Shaik, with enormous amounts written off in the books of his Nkobi group of companies.

This was stated yesterday by the Durban businessman's former accountant, Celia Bester.

Giving evidence against her former boss, she detailed, among other things, the reasons why she could no longer work at Nkobi.

The main trigger for her resignation was when hundreds of thousands of rands in three loan accounts was written off against what were called "development costs", even though the deal referred to had generated no such thing.

In the letter of resignation she wrote to Shaik in December 1999, Bester said: "If you, as the financial adviser to (Jacob Zuma), are not transparent, heaven help South Africa when you formally return to politics."

"I saw it purely as bribe money *1," she told Judge Hilary Squires.

"A lot of ministers received money that was just written off. It was always cash cheques.

"We got the whole Prodiba deal (for the conversion of South African driving licences to the credit-card format) through our political connectivity. There were no development costs."

Bester said Shaik hardly drew a salary and never paid any tax, but just took the money he needed from the company's loan account. She added that Zuma was also not paying tax on the payments made to him by Shaik.

When she finally decided to resign, Bester said she had been "devastated".

"Shaik was not what he appeared to be. Shaik was advising Zuma on how to manage his affairs and he could not run his own," she said.

In her letter of resignation, she further stated: "The funds being paid to the ministers should be taxed in their hands as well as your (referring to Shaik) income. If we are not transparent at this level, there is no hope for South Africa."

Bester worked at Nkobi from 1998. She said she was attracted to the company because Shaik was strong on empowerment and the transfer of skills.

She told the court that Shaik said in his CV that he was Zuma's personal adviser and had close links to former ANC treasurer Thomas Nkobi.

"Mr Shaik was a very good speaker. He told us that he was an adviser to Zuma. He used it in a lot of his conversations.

"He mentioned his political connectivity. He said it was important for a black economic empowerment company."

Bester said she became involved with the accounting department at the firm after Shaik had expressed his dissatisfaction with the way things were done there.

At the time she worked there, Nkobi was in financial trouble. "We were constantly in overdraft. Shaik was very good at negotiating the big deals, but there was no money to fund day-to-day operations.

"Mr Shaik was not very good with deadlines. It is a problem with all directors. In general, he met them with a bit of nagging from my side," she said.

Bester said she never knew what Floryn Investments was and was never answered when she asked Shaik about it. During the trial, Shaik said it was the vehicle through which he made donations to the ANC.

She described to the court that she once offered to leave the company after Shaik had been "mean" to her. "He had a reputation for being highly irritated with the staff, and he would voice it."

When she resigned, she told Shaik that she had learned a lot about politics, business and people in general from him.

She said that when she realised what Shaik and one of the auditors, Paul Gering, had done with the loan accounts, she was "extremely agitated".

"The entries were never discussed with me. I didn't like it. A director is not supposed to do that. I was excluded. Shaik knew what my reaction would be."

In her resignation letter, Bester said to Shaik: "I joined the group as I believe in empowerment and upliftment of our poorer and disadvantaged communities. However, it has become clear to me over the last year that Thomas Nkobi's vision is not happening at Nkobi.

"All I have seen to date is enrichments for yourself and certain ministers to the detriment of the staff ... You want to be seen as one of the five clean empowerment companies, but what you say and what you do are two different things," she wrote.

The trial continues.

Judge Squires yesterday dismissed, with costs, an application to record and broadcast on radio the evidence led at the trial.

With acknowledgements to Estelle Ellis and The Star.

*1 "Nuf said.

Simplistic Sentencing Guidelines I

The approach of our courts to sentencing and the need for reform is illustrated by the facts in S v Young⁽²⁾

Young (*2), a man aged 57 with a clean record, was convicted by a regional court magistrate on 9 counts of contravening the Prevention of Corruption Act, 6 of 1958. His crime was soliciting and accepting bribes in relation to the award of contracts /by the petrol company for whom he worked. He was sentenced to a total of 90 months imprisonment, of which half was suspended on conditions. The sentence was confirmed on appeal to the then Transvaal Provincial Division, but on further appeal to the then Appellate Division an entirely new sentence, (the sentence on certain accounts (sic - counts) having been reduced), of 64 months imprisonment of which half was suspended, was imposed.

*2 Bad example, but on oath I state that it ain't me or any of my relations. I can prove it because I am the oldest child and I ain't nearly 57. In 1977 when this case occurred, my late father was 48. I don't have any other relatives called Young and, in any case, none of them has ever worked for a petrol company.