Publication: Pretoria News Issued: Date: 2007-02-05 Reporter: Linda Daniels

'Chippy Shaik Got $3m Bribe'

 

Publication 

Pretoria News
Date

2007-02-05

Reporter

 Linda Daniels

Web Link

www.pretorianews.co.za

 

Chippy Shaik, the former chief of acquisitions for South Africa's arms deal, was allegedly paid a $3 million (about R21.5 million) bribe by arms manufacturer ThyssenKrupp, according to the German news magazine Der Spiegel.

The publication has been following the German investigation into whether that country's arms manufacturers paid bribes to influential South Africans in order to grease the wheels for lucrative arms contracts.

Yesterday, Independent Democrats leader Patricia de Lille and former judge Willem Heath hosted a media briefing together with German TV journalist Ludger Pooth, who translated parts of the Der Spiegel article into English.

De Lille and Heath had just returned from visiting German and British prosecuting authorities with regard to their respective investigations into the South African arms deal.

The Der Spiegel article explains how the $3 million bribe was allegedly paid to Shaik via a non-existent "mailbox company" called Merian Ltd.

The payment was allegedly paid into a London mailbox in April 2000. The publication attributes this information to leaked internal documents from ThyssenKrupp.

Pooth said that, up until February 1999, bribery was not illegal in Germany and companies had written off the expense as "useful expenditure".

De Lille said that talks with the German and British prosecuting authorities were fruitful. She confirmed that the German prosecuting authority had decided to ask the SA National Prosecuting Authority for legal assistance in their investigation into the arms deal.

De Lille said that, very soon, she would get all the names of those South Africans who had received discounted cars from one of the bidding companies in the arms deal.

Former ANC chief whip Tony Yengeni spent four months in prison after being sentenced to four years for lying to parliament about a discount he was given on a luxury 4x4 vehicle by one of the companies bidding for a slice of the government's multibillion-rand arms deal.

Apart from the German investigation into the arms deal, Britain's Serious Fraud Office is investigating the payment by British Aerospace of R1 billion in commissions to secure contracts in South Africa's arms deal.

In Davos two weeks ago, President Thabo Mbeki fired a broadside at British Prime Minister Tony Blair. Mbeki said that Blair was hypocritical for ending an investigation into allegedly corrupt arms deals involving BAE in Saudi Arabia, while at the same time allowing a probe into the South African arms deal to continue.

Yesterday De Lille said that the ultimate responsibility for the arms deal rested with Mbeki.

"Mbeki should stop being defensive about corruption in the arms deal. There is prima facie evidence that can lead to successful prosecutions," said De Lille.

Mo Shaik, speaking on behalf of his brother Chippy, said in response to the bribery allegation: "As far as Chippy is concerned, he has been interviewed many times and he has nothing more to say.

"Der Spiegel has published this (allegations) ad nauseam for the past seven years. These allegations have been made before and it won't be the last time."

With acknowledgements to Linda Daniels and Pretoria News.