Publication: Cape Times Issued: Date: 2008-02-26 Reporter:

Renewed Battle to Secure Shaik's Release

 

Publication 

Cape Times

Date

2008-02-26

Web Link

www.capetimes.co.za


Schabir Shaik's last court fight for the R33-million he is accused of scoring from his corrupt relationship with ANC president Jacob Zuma could boost or bash his hopes of securing an early release from prison.

According to Shaik's brother Mo, who on Monday told The Star he was concerned about his brother's "worsening" health in Durban-Westville Prison, Shaik's family would use any money they received from the Constitutional Court to pursue ways of "getting him out".

Shaik has spent the past year and three months living in the prison's hospital ward, and reportedly suffered a stroke in November.

"Whatever further steps we may take (with regard to Shaik's imprisonment) will require financing... so a decision in our favour will impact on the options available to us. I have 33-million reasons to be at the Constitutional Court tomorrow," Mo said.

He would not say what avenues the Shaik family would pursue to secure Schabir's release, but suggested that their options included seeking his release on medical grounds.

Three courts have rejected Shaik's defence and appeals against charges that he bribed Zuma and solicited a R500 000 bribe for him from French arms company Thint in exchange for Zuma's protection from a potentially damaging arms deal inquiry.

In Shaik's criminal trial before the Durban High Court more than two years ago, Judge Hilary Squires found that his Nkobi Investments had secured a 25 percent stake in Thint - and as a result, a 20 percent share in arms firm African Defence Systems - through Zuma's intervention.

Apart from convicting him criminally, the judge granted a confiscation order of more than R34-million - deemed to be the proceeds, or benefit, of his crimes. The Supreme Court of Appeal reduced this to R33,9-million.

According to state counsel Wim Trengove SC, evidence during the trial "vividly illustrated" how Shaik used "his relationship with Zuma to advance his business interests".

The relationship with Zuma gave Shaik and his companies "political connectivity which they flaunted and exploited in the marketplace", he said.

Shaik's legal team contend that it was the businessman's "hard work" and "legitimate effort" *1 - and not Zuma's intervention - that resulted in his being awarded the shares.

In documents before the Constitutional Court, they further pointed out that Shaik began his dealings with Thomson (Thint) before he began making payments to Zuma.

* This article was originally published on page 3 of The Star on February 26, 2008

With acknowledgement to Cape Times.



*1       History and facts show that this is pure twaddle.

Firstly Shaik only had a chance of getting the ADS share because he is non-white. In those days even this was not strictly-speaking lawful because BEE had not yet been regularised in this country.

In the days of the Arms Deal acquisition between 1997 and 1999, the term officially used by DoD and Armscor was SMME. This is an international concept that has nothing to do with race. The term was abused by DoD and Armscor.

Schabir also unlawfully got the inside track on the "opportunity" because his brother Chippy had as part of the ANC been involved in drafting a position paper on the defence-related industry and then in 1995 been appointed to DoD Logistic and later in 1997 as Chief of Acquisitions. Chippy had also worked for UEC Projects, ADS's predecessor in name.

But Schabir could not afford even a brass farthing for his 20% equity in ADS and could only bring a clutch a fake technical qualification as expertise or capability. So he had to use a foreign partner who firstly was able to acquire 100% of ADS equity from Altech under extremely questionable circumstances (price of some R35 million in 1998 Rands, national strategic interest built with SA taxpayers' funding, Thabo Mbeki's guarantee long before Thomson-CSF even purchased ADS that it would be awarded the contract for the combat suite and its sensors, etc.). And then Thomson-CSF had to "loan" Schabir the money to pay for the shares and then repay this "loan" from a guaranteed income stream from a guaranteed R1,4 billion contract (at least R140 million nett profit) in 1998 Rands.

But because Thabo Mbeki didn't wanted Schabir Shaik's Nkobi Investments as Thomson-CSF's PDI partner *2, Thomson-CSF did not initially give Scabir a stake in ADS and this is where the proven criminality of Zuma comes in - he went to London to meet Jean=Paul Perrier in July 1998 to intervene on Schabir's behalf to get the ADS shares.


*2      It is a little known fact that Thabo Mbeki wanted his friend Reuel Khosa's CNI (Consolidasted Network Investments) to be Thomson-CSF's PDI partner.

I would be willing to stake a goolie or two on the allegation that Thabo wanted CNI to cut him and/or his party a slice (R300 million in 1999 Rands is my guessimate) in the Thomson-CSF combat suite money-for-jam action.

When Schabir threatened Thomson-CSF with contractual breach and the intervention of Zuma, Mbeki relented and Nkobi Investments got its 20% and Modise's and Chippy's bumiputerian buddies got the other 20%, must to Schabir's disgust.

But Thabo had to fly to Paris to meet Jean-Paul Perrier, Bernard de Bollardiere and Michel Denis, along with Barbara Masekela, on 17 December 1998 to cement the bucks-cutting deal.


After that, it's all down the tubes for Schabir, Zuma, Thomson-CSF, Alain Thetard, Pierre Moynot, inter alia.

Bravo.


Anyway, as far as I'm concerned, Schabir can come out now as long as Thabo takes his place.