Publication: Cape Times Issued: Date: 2006-07-04 Reporter: Linda Daniels Reporter: Boyd Webb Reporter:

Timing of German Arms Deal Bribes 'Revelation' Queried

 

Publication 

Cape Times
Date

2006-07-04

Reporter

 Linda Daniels, Boyd Webb

Web Link

www.capetimes.co.za

 

Letter names 'kickback recipient'

Fresh allegations of underhand dealings in the controversial South African arms deal have gained momentum with revelations that German authorities are in possession of a letter naming a South African politician who allegedly received a kickback.

The South African presidency has questioned the timing of the latest allegations ahead of President Thabo Mbeki's visit to Germany.

"The intentions behind all these moves so close the president's visit to Germany cannot escape anybody with an average IQ *1," presidential spokes-man Mukoni Ratshitanga said from Gambia yesterday.

Der Spiegel reported yesterday that already in 2001 the Dusseldorf state prosecutor had received a letter from South Africa that claimed - a still unproven allegation - that in 1999 a top South African politician received an amount in the millions via Switzerland, for his assistance in the deal.

The letter sparked an investigation in Germany and the spotlight has been turned on companies that allegedly paid bribes relating to the South African procurement of arms.

Several German companies were raided on June 19, and boxes of documents were removed, Der Spiegel reported.

The article stated that it was not clear who induced the bribes, reported to be around 30 million deutschmark.

However, the payment of bribes by German companies was only classified an offence in that country in February 1999.

The German news magazine reported that in December 1994, the number of bidders in the South African arms deal was reduced to two, the United Kingdom and Spain.

Der Spiegal said that in January 1995 then deputy president Thabo Mbeki surprisingly confirmed to the then German Foreign Minister Klaus Kinkel that the race was still open.

In March 1995, German Chancellor Helmut Kohl apparently wrote to President Nelson Mandela urging that the German offer should be seriously considered.

Two years later Germany was in the race and South Africa not only sought corvettes but also submarines.

Ratshitanga refused to comment on who was suspected of instigating the rumours.

These allegations were first raised by former PAC MP, turned Independent Democrats leader Patricia de Lille in September 1999, when she brought a motion in parliament calling for an investigation.

In her online newsletter yesterday, De Lille repeated that it was only as a result of a "surprise visit" by then deputy president Mbeki that the German bid - not even in the running till then - was short-listed and eventually won *2.

De Lille said she hoped the German investigation would provide answers to the questions the government was not willing to answer.

Democratic Alliance spokesman Eddie Trent said: "A judicial commission of inquiry would have the powers to subpoena witnesses and, left to do its work without fear or favour to any one, would stand the best chance to save the South African public from any later shock discoveries."

With acknowledgements to Linda Daniels, Boyd Webb and Cape Times.


*1  Who of those among us has an average IQ?

*2  Even those among us with an average IQ must deduce that the outcome of the convoluted bidding processes for the Strategic Defence Packages (SDPs), were pre-determined.

The German bid should, according to Armscor's own legal opinion, been discarded after the first stage to to a critical non-compliance. Who authorised its revalidation - Chippy Shaikh as co-chairman of the Strategic Offers Committee (SOFCOM), but unilaterally and without the authority of a quorum of the committee.

Then the Spanish bid had both the lowest price and the highest military value, according to a prescribed value and scoring system. But the Ministers Committee, headed by Thabo Mbeki downscored Spain's National Industrial Participation (NIP) proposal and upscorced the German Frigate Consortium's (GFC's) NIP proposal. This was dome in an almost entirely non-transparent way. Additionnally, the GFC's NIP was upscored partly as a linkage to the German Submarine Consortium's last minute upsurged in offered NIP. Most of this NIP was linked to Coega and almost all of the NIP vapourised as soon as the GFC and GSC were awarded contracts for the frigates and submarines respectively.

It cannot all be lawful.