|
Scorpions Raid Top Arms Firm Boss |
| Publication |
Cape Argus |
| Date | 2008-11-26 |
|
Web Link |
A key player in South Africa's multibillion-rand arms deal has been raided
by the Scorpions.
But the National Prosecuting Authority is keeping mum on why its officials on
Wednesday morning pounced on the plush Illovo offices of Fana Hlongwane, former
adviser to late Defence Minister Joe Modise.
NPA spokesperson Tlali Tlali on Wednesday morning told The Star that the
authority had "no comment at this time" about the raid, which is believed to be
linked to alleged multimillion-rand payments Hlongwane received from UK-based
defence giant BAE.
The United Kingdom Serious Fraud Office (SFO) is reportedly investigating
allegations that BAE paid bribes to secure the SA contract for the sale of Saab
Gripen fighter jets.
BAE owns a 20,5% share of Sweden Saab, which builds the Gripen fighter
aircraftsm, and it was BAE which led the drive to sell Gripens as well as its
own Hawk jet trainers to South Africa.
According to a 2007 SFO request to SA for legal assitance, Hlongwane entered
into a general consultancy agreement with BAE in 2002 on a retainer of
?1-million (about R16-million) a year.
In 2005 there was a further agreement to pay
$8-million (about R80-million) as a settlement to Hlongwane
in connection with work done on the Gripen project.
On Wednesday morning Hlongwane, who is now chairperson of arms company Ngwane
Defence, was nowhere to be seen.
The Star contacted his company Hlongwane Consulting for comment but the phone
went unanswered.