Publication: Cape Times Issued: Date: 2007-12-31 Reporter: Alex Eliseev

Zuma Used Power for Personal Gain - NPA

 

Publication 

Cape Times

Date

2007-12-31

Reporter Alex Eliseev

Web Link

www.capetimes.co.za



Johannesburg: In its case against Jacob Zuma, the state will set out to prove that the newly elected ANC president abused his positions in the party and the government for almost a decade for his own gain.

In a scathing 84-page indictment, the National Prosecuting Authority (NPA) has finally revealed its case against the man heading for the country's presidency in 2009.

Armed with 18 charges, including new ones of racketeering, money laundering and tax evasion, state prosecutors have given Zuma his "day in court" in August.

Zuma's supporters are adamant that the charges are part of a political vendetta.

NPA acting head Mokotedi Mpshe has called these allegations "absolute nonsense".

The indictment, served on Zuma's Johannesburg home last week, names him as accused No 1 and Thint Holding (Southern Africa) and Thint (Pty) Ltd as his co-accused.

Much of the state's new case hinges on the successful prosecution and conviction of Zuma's former financial adviser, Schabir Shaik.

Shaik was sentenced to 15 years in prison on three counts of fraud and corruption.

He was found to have had a corrupt relationship with Zuma, but the case against Zuma was thrown out in 2006.

The new indictment revisits the relationship between Zuma and Shaik's "cash-starved" Nkobi group, but sets the amount in corrupt payments to Zuma at R4 072 499.85 over 10 years.

This includes allegations of a R500 000 per year bribe offered to Zuma in connection with the arms deal - allegedly laundered through one of the Nkobi companies.

The indictment claims criminal acts took place while Zuma was MEC for Economic Affairs and Tourism in KwaZulu-Natal from May 1994 to June 1999, while he was deputy president of the ANC from December 1997 until this month and while he was the deputy president of SA and leader of government business from June 1999 to June 2005.

During his time as MEC, the state claims, Zuma was "clothed in the powers of the provincial Parliament (MPP) and provincial executive (MEC) ..." and was "attending meetings, being privy to the discussions of and participating in the decision-making processes of the Provincial Executive Council".

Because of this, Zuma was "in a position to exercise considerable influence in the affairs of the department" and could "influence both local and foreign businessmen intent on doing business in KZN".

It claims Nkobi used Zuma to "ensure the group's survival by obtaining profitable new business" and that Zuma was "using his powers ... to further the private business interests of Shaik".

The NPA claims he committed similar abuses of power in the other positions he held.

On the racketeering charge, the state claims that Nkobi was "the enterprise", headed by Shaik and his "political connectivity". Its operation tied in Zuma and his co-accused.

The enterprise set out to: "cultivate and maintain corrupt relationships with persons in positions of political power and high government office ... make payments to and on behalf of such persons in return for their services... conceal or disguise payments to persons of power ... induce, persuade or intimidate (business) partners to enter into joint venture agreements with the enterprise ..."

Zuma, the state argues, was paid, for almost 10 years, what "amounted to a salary in the form of a retainer".

The money laundering charge relates to the R500 000 annual kickback in connection with the arms deal which was allegedly laundered through one of Shaik's companies.

On tax evasion, the indictment claims Zuma failed to submit tax returns for eight years (between 1995 and 2003). Only on September 11, 2003 were the tax returns - signed on behalf of Zuma by Shaik - handed over to the SA Revenue Service.

The payments Zuma allegedly received from Shaik were not declared.

And finally, the fraud charges accuse Zuma of misleading Parliament about his financial interests and benefits.

The ANC's national executive committee is due to meet on January 7 to discuss how to deal with the issue of a party president now awaiting trial.

With acknowledgement to Alex Eliseev and Cape Times