Forensic auditor Johan van der Walt has denied that in examining businessman Schabir Shaik's company records he was "painting by the numbers provided by the National Prosecuting Authority".

Cross-examined in the high court here by Francois van Zyl SC, for Shaik, the KPMG director stuck to his report. He had spent more than a week explaining the paper trails in the financial affairs of Shaik, his Nkobi group of companies and Deputy President Jacob Zuma.

Shaik has pleaded not guilty to two counts of corruption and one of fraud relating to what the state alleges was a corrupt relationship between him and Zuma and a bid to arrange for French arms firm Thomson-CSF, now Thint, to pay Zuma R1 million.

Van der Walt was asked about a year ago to assist with the case.

"I was never instructed to or felt obliged to come to the same conclusions," he said.

Pursuing his claim that Van der Walt tailored his report, Van Zyl questioned him about the building of Zuma's homestead at Nkandla in KwaZulu-Natal.

The state claims there was a close link between the first payment made to Zuma, R250 000 - alleged to have been routed from Thomson-CSF - payment for the homestead development, and the charitable Development Africa Trust, founded by Durban businessman Vivien Reddy.

Van der Walt's report said the money was paid to fund the homestead. His audit also traced R2m paid to Zuma by Nelson Mandela. His report said half of this went to the KwaZulu-Natal Education Trust, R900 000 to reduce the overdraft of Nkobi company Kobitech and R100 000 to reduce Zuma's overdraft.

Van Zyl said Shaik would tell the court he did not know about the Nkandla development until a late stage, when he tried in vain to stop it as the tender price was too high.

He showed Van der Walt invoices for payments by Development Africa to construction firms that had worked on residences for the Zulu king and queen.

Van Zyl: "If you saw these would you still have (said) the R250 000 was for Nkandla?"

Van der Walt: "I would have added an alternative conclusion. That the money from Mauritius (from Thint) was for Nkandla or for the traditional leaders to make good the R1m due (to Development Africa) by Zuma."

Zuma had tried to pay the money to the traditional leaders, but could not as Shaik had transferred most of it to his company accounts, Van der Walt said.

A policeman stationed at the court has filed a complaint of crimen injuria and intimidation against a prominent member of Shaik's entourage, Sapa reports. He claims he was "verbally and racially assaulted" yesterday morning.

With acknowledgement to Estelle Ellis and the Cape Times.