German publication names Chippy Shaik

Chippy Shaik, the former chief of acquisition for SA's controversial arms deal, was allegedly paid a $3 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 to grease the wheels for lucrative arms contracts.

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

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

The Der Spiegel article explains how a $3m bribe was allegedly paid to Shaik via a non-existent "mailbox company" called Merian Ltd in April 2000. The publication attributes this information to leaked internal documents from ThyssenKrupp.

De Lille said talks with the German and British prosecuting authorities had been fruitful. She confirmed the German prosecuting authority had decided to ask its SA counterpart for legal assistance in their investigation.

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

Heath said certain directors of German companies who were involved in the arms deal had already acknowledged guilt. The fact that the Daimler Aerospace MD had acknowledged guilt was confirmation that he supplied luxury vehicles at heavily discounted prices to 30 South Africans, including Tony Yengeni.

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.

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

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 the ultimate responsibility for the arms deal rests with Mbeki.

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

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 (allegation) 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, Sapa and Cape Times.