Publication: The Star Issued: Date: 2007-03-15 Reporter: Beauregard Tromp

Yengeni and Others Not Off The Hook Yet

 

Publication 

The Star
Date

2007-03-15

Reporter
Beauregard Tromp

Web Link

www.thestar.co.za

 

Disgraced ANC MP Tony Yengeni, along with 30 prominent officials and businessmen *1, could still face charges as German investigators take a closer look at the bribery scandal that lies at the heart of the multibillion-rand arms deal *2.

German investigators have confirmed to The Star they are pursuing the list of those who received handsome discounts on a range of DaimlerChrysler cars, allegedly as kickbacks.

Two probes are under way *3, German investigator Andreas Bruns said. "One is about ThyssenKrupp and Chippy Shaik (former chief of acquisitions at the Department of Defence) in Düsseldorf. Then there's an investigation in Munich, which concerns the list of 31 cars."

Auditor-General Terence Nombembe, Public Protector Lawrence Mushwana and National Prosecuting Authority chief Vusi Pikoli - the Joint Investigation Team - were to meet today to look at allegations surrounding Shaik.

This follows a request by the Democratic Alliance's Eddie Trent after revelations by the German magazine Der Spiegel last month.

The magazine detailed a year-long investigation by authorities in Germany into the R450-million defence contract with German Frigate Consortium *4-Thomson*5, including ThyssenKrupp, which won a bid to supply South Africa with four corvettes back in 1999.

German investigators said they were preparing an application for investigative assistance from the SA authorities.

At the heart of the German allegations are a series of internal memos between employees of ThyssenKrupp and Shaik, which point to Shaik soliciting a $3-million (R23-million) bribe.

Retired Judge Willem Heath, who carried out one of the initial probes into the arms deal, said: "The Germans have done a lot of research already and are adamant not only to investigate but also to prosecute anybody in Germany who had anything to do with the arms deal *8."

He and Independent Democrats leader Patricia de Lille travelled to England and Germany this month to discuss investigations into various strands of the deal.

Heath said the Germans told him they intended to vigorously pursue the trail of the discounted vehicles without fear of status.

"Once there are convictions abroad it will imply that South Africans are also guilty of corruption. Logically speaking, the prosecuting authority will have to wake up and start investigating or it will have egg on its face *9."

The multibillion-rand arms deal has led to investigations in Britain, Germany and Sweden.

Last June, the British Serious Fraud Office filed for legal help from SA to probe allegations of kickbacks of up to R1-billion paid by BAe Systems to secure the R30-billion contract for jet fighters and trainers.

Sweden's anti-corruption unit is also probing Saab, makers of Gripen planes, said to have paid heavily to do business with SA.

With acknowledgements to Beauregard Tromp and The Star.


*1      Including :
*2      At the heart of the bribery scandal that is the multibillion-rand arms deal are three key persons :
*3      There are actually three probes under way in Germany. The third centres around allegations that Ferrostaal paid bribes to secure the submarine contract. This investigation is being undertaken by investigators based in Essen.


*4      Wrong - Euro 450-million defence contract with German Frigate Consortium, Euro 468 951 904 to be exact (Euro 468,951904 million = R3,001292186 billion = 1998 SA Rands).


*5      Wrong - Euro 450-million plus ZAR 165 829 450 defence contract with German Frigate Consortium (to be exact : R3,167121636 in 1998 SA Rands) *7.


*6      Wrong - Euro 142 890 855 plus ZAR 1 330 397 640  defence contract with Thomson-CSF Naval Combat Systems and African Defence Systems (Pty) Ltd (to be exact : R2 244 899 112  in 1998 SA Rands) *7.


*7      Plus a further R1,46 billion in Financing, Statutory, Programme Management and ECA Premium costs, making up a grand total of R6 872 755 159.
.

*8      Bravo.


*9      Truthfully speaking and other than the Schabir Shaik conviction, the prosecuting authority has three quarters of a freshly cracked ostrich egg running down its figurative face.

So far, it has cocked-up the following cases :
With a tiny bit of concentration and attention, it could have added, inter alia, the following to its caseload :