Publication: Sapa Issued: Durban Date: 2005-02-21 Reporter: Sapa

Mandela Offered Financial Help to Zuma

 

Publication 

Sapa
COURT-LD-SHAIK

Issued

Durban

Date 2005-02-21

Reporter

Sapa

 

Former president Nelson Mandela offered to help to "extinguish" the debt of Deputy President Jacob Zuma, the Durban High Court heard on Tuesday.

Testifying at his fraud and corruption trial Durban businessman Shabir Shaik said Mandela felt that Zuma's financial problems were "distracting him from his duties at the African National Congress".

Shaik said Zuma then asked him to consolidate all his debt so Zuma could present it to Mandela.

Sipping on Berocca *1 while in the witness box, Shaik said he made two kinds of loans to Zuma, one personal, and the other on behalf of the ANC for which he expected no repayment.

He said he kept a record of all payments from his company to Zuma and that he personally authorised it. Shaik borrowed the money from his company on behalf of Zuma and he was therefore personally responsible for repaying the debt, he said.

Shaik said his attorney Anand Moodley accompanies (sic) Zuma to see Mandela and that he (Shaik) had to pay for the trip.

Judge Hillary Squires asked why the ANC needed so many contributions, and why it could not finance the Deputy President itself.

Shaik replied "I wait for the day the ANC does become cash flush Milord, so they don't have to be in such a precarious position".

With acknowledgement to Sapa.

*1 Single Malt?

*2 62,6% (1994); 66,4% (1999); and 69,7% (2004); in three consecutive elections has a tendency to absorb cash - but is it all legal?

Two Riddles for Richard Calland and/or Judith February

1. If winning elections absorbs all the party's cash, is it then legitimate not to pay one's party officials enough so that they have to get regular donations of over R50 000 to pay the flat rent, rent girl, a few Mercs for the favorite MEC and a no name brand for one's second favorite MEC.

2. Is it fair that only one MEC gets signing rights on the bank account of the special purpose vehicle (SPV) set up to manage the flow of regular donations (aggregating over R50 000 in short periods of time) from a profit-earning company to a cash-absorbing political party and not all the other MECs?