The administrators of the Jacob Zuma Education Trust were expected to give evidence in the Durban High Court today as the State's case against Schabir Shaik draws to a close.

The trust has been mentioned a number of times in the corruption and fraud trial. Durban businessman Shaik has pleaded not guilty to all charges against him.

Of a R2m donation by former president Nelson Mandela, R1m was paid to the trust in 2000.

Shaik also alleges that what the State considered to be correspondence about a bribe to be paid to Zuma, concerned a donation to the trust by French arms company Thomson.

Yesterday the court heard from the former head of the Heath special investigating unit that here was no objective reason why President Thabo Mbeki could refuse permission for his unit to investigate SA's multibillion rand arms deal.

Judge Willem Heath said he was contacted at the end of 1999 by former PAC MP and now the president of the Independent Democrats, Patricia de Lille.

She explained that she had information containing allegations about possible irregularities in the arms deal and wanted to hand it to his unit to be investigated. But first the unit had to get a presidential proclamation.

Judge Heath told the court that he had discussed the matter with the auditor-general who published a special review of the arms deal in 1999 (sic - 2000) *1.

The court heard from government auditor James Edward van Heerden that the review had concluded that there was a deviation from acceptable procurement practices during the arms deal for which no plausible explanation could be given. He also said that they advised that a special investigation be done into the matter with a specific focus on the contractors and sub-contractors involved.

Judge Heath said that they based their application for a proclamation mostly on the irregularities discovered by the auditor-general. He explained that the main focus of their investigation was to have been the validity of the arms contracts and the "public interest" part of the deal.

"The information that we had available was much stronger than mere allegations," Heath told the court.

The case continues before Mr Justice Hilary Squires.

With acknowledgement to Estelle Ellis and Cape Argus.

*1 The special review of the Arms Deal started in 1999, but the report was published in September 2000.