Durban - Enormous amounts of money that were written off in the books of the Nkobi group of companies had been "bribe money" paid to "a lot of ministers" in cash, businessman Schabir Shaik's former accountant has told the high court here.

While giving evidence yesterday, Celia Bester told the court her reasons for leaving Nkobi.

The main trigger for her resignation was the writing off of hundreds of thousands of rand in three loan accounts against what were called "development costs", although the deal that was referred to had generated no such thing, she said.

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

Speaking to Justice Hilary Squires yesterday, she said: "I saw it purely as bribe money."

"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 driver's licences to the credit-card format) through our political connectivity. There were no development costs."

Shaik hardly drew a salary and never paid tax - he merely took the money he needed from the company's loan account, Bester said.

Nor had Zuma paid tax on the payments made to him by Shaik.

When she had finally decided to resign, Bester said, she was "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 told Shaik: "The funds being paid to the ministers should be taxed in their hands as well as your 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 had been attracted to the company because Shaik was strong on empowerment and the transfer of skills.

She told the court that Shaik said in his resumé that he was Deputy President Jacob Zuma's personal adviser and that he had close links with former ANC treasurer Thomas Nkobi.

"Mr Shaik was a very good speaker."

"He told us he was an adviser to Zuma ... 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 had become involved with the accounting department after Shaik had expressed his dissatisfaction with the way things were being done by it.

When she worked there, Nkobi was in financial trouble.

"We were constantly in overdraft," she told the court. "Mr 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."

Bester said she never knew what Floryn Investments was and Shaik did not answer when she asked him about it. Shaik has said in papers it was the vehicle through which he made donations to the ANC.

Bester said that on one occasion, when Shaik had been "mean" to her, she offered to leave the company.

"He had a reputation for being highly irritated with the staff and he would voice it."

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 letter of resignation, 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 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."

Judge Squires has dismissed with costs an SABC application to record and broadcast evidence on radio.

With acknowledgements to Estelle Ellis and the Cape Times.