Fraud and corruption accused Schabir Shaik told the Durban High Court on Monday that after its unbanning the African National Congress ANC) was always looking for funds.

He said that one of his companies Floryn Investments was set up to "address contributions" to the ANC.

Shaik, throughout his testimony, also emphasised his close relationship with Deputy President Jacob Zuma, who he befriended during the struggle against apartheid and for whom he later served as a financial adviser.

He said when Zuma returned to South Africa after 33 years in exile he was "acutely aware of his financial constraints". He said he wanted to find a way of empowering Zuma so that he could be independent *2.

Shaik, who took the stand for the first time on Monday morning said at that time he had a home, a car and a good standard of living and that he wanted the same for Zuma.

Shaik also told the court how he and the former ANC treasurer general Thomas Nkobi went to Malaysia to thank the government for a sizeable contribution to the ANC.

He said Nkobi wanted to see how that country's empowerment model would fit into his vision for South Africa.

However, when Nkobi got sick he was advised by Nelson Mandela, who was the ANC president at that time, to leave Parliament and all his empowerment plans were put on hold.

Shaik told the court he was later summoned to a meeting with Thabo Mbeki in Cape Town in which he was told that the ANC would not be involved in any of Nkobi's plans because the party did not want to send out the wrong impression about South Africa's economy.

He said at that same meeting he was told to pursue the empowerment plans independently.

With ackowledgement to Sapa.

*1 So much for being a Previously Disadvantaged Individual.

It shows, that even if one was not white, one could be at least economically empowered.

*2 Independent of everyone except his own financial benefactor (oops! sorry - advisor) and some of the latter's brothers.