Durban - Judge Hilary Squires did not come right out and say it, but if his findings on Schabir Shaik's honesty, or lack of it, were anything to go by, the Durban businessman will be found guilty of fraud and corruption.

Judge Squires began the second day of judgment by referring to him as "troubled" because he showed no signs of "any embarrassment or remorse" when he openly lied.

"Shaik's performance on a whole as a witness was not impressive," said Judge Squires.

Shaik looked relieved when Judge Squires announced that although the court was not impressed with him as a witness, it did not mean that he was guilty of an offence.

However, the relief was short-lived after the judge provided examples that he said proved deputy president Jacob Zuma did intervene when Shaik and his Nkobi Group of Companies needed assistance.

Judge Squires declared that the State's evidence relating to the count was "not only convincing, but overwhelming".

Shaik repeatedly shook his head as the judge mentioned evidence that he said had impressed the court.

He made mention of Celia Bester, Themba Sono and Bianca Singh, all of whom testified about the financial dealings between Shaik and Zuma.

When discussing the acknowledgments of debts and the loan agreement, which Shaik had claimed were proof that the Zuma payments was a loan to a friend, Squires said something was amiss, especially as the loan agreement could not be regarded as a genuine letter.

And, the original could not be found.

Judge Squires began summarising his findings on the second count, of fraud, by saying Shaik and his auditors could not both be right, so someone was lying.

The charge related to R1.2m irregularly written off in the accounting records, which included Zuma payments.

When Judge Squires announced he would begin with count three, of corruption, those present in court waited eagerly for his findings.

However, after a cliffhanger - "Where does the truth lie?" - Squires adjourned proceedings until Thursday.

The third count related to an alleged annual bribe of R500 000 that Shaik apparently organised from French arms manufacturing company Thomson-CSF for Zuma in exchange for protection against a probe into the multibillion-rand arms deal.

Shaik claimed he was facilitating a donation to Zuma's Education Trust, and not a bribe.

Shaik sat poker-straight in his chair, listening to the judge's pronouncement with brothers Mo, Yunnus and Chippy on either side of him. Shaik's wife, Zuleikha, dressed in a sober dark-grey suit, also listened to the proceedings.

Every now and then Shaik, financial adviser to Zuma, made notes in a small writing-pad.

His legal team, advocate Francois van Zyl SC and Reeves Parsee, sat writing down the voluminous judgment while a soft-spoken Judge Squires made short work of it.

Meanwhile, as Zuma's name cropped up in nearly every sentence of the judgment in the Shaik trial in Durban, it seemed to be a normal working day at the deputy president's office in Tuynhuys.

However, the media was not welcome at a courtesy visit between Zuma and deputy president Francisco Santos Calderon of Colombia - unlike happens usually when foreign leaders come calling.

Zanele Mngadi of Zuma's office said no photo session had been arranged. The notice about Calderon's visit had not been intended for the media.

Back in Durban, after the adjournment, a tramp from the harbour opposite the court asked Shaik about the day's events, speaking through his long, white beard: "Sorry, boss, what happened? And what is the sentence?"

That, however, was a question that would be answered only on Thursday.

With acknowledgements to Iaine Harper and The Natal Witness.