Presidential front-runner, ANC leader Jacob Zuma, is no longer off the hook following a Supreme Court of Appeal judgment on Monday that hit out at an earlier ruling in his favour.

Zuma, who nevertheless remains the African National Congress' presidential candidate in general elections this year, may again face charges *1 of racketeering, money laundering, corruption and fraud related to the government's multi-billion rand arms deal.

"The effect of this decision is that Zuma remains charged *2," National Prosecuting Authority spokesman Tlali Tlali said after its appeal was upheld.

"The parties would have to meet soon to look for a court date to bring the main criminal case on the roll again," he said, adding that there was no indication of a possible plea bargain.

Zuma was charged in 2005, but the case was struck from the roll in 2006. He was then re-charged in December 2007. The Pietermaritzburg High Court Judge Chris Nicholson set aside the decision to prosecute him in September 2008.

In a unanimous ruling on Monday, five SCA judges found that Nicholson "failed to regard some basic tenets concerning the judicial function and failed to apply fundamental rules of procedure".

Nicholson said the National Director of Public Prosecutions should have offered Zuma the opportunity to make representations before re-charging him.

But the SCA overturned that finding, effectively re-instituting the charges against Zuma.

Nicholson also implied political meddling in the decision to re-charge Zuma, a finding for which he received stinging criticism.

"'Political meddling' was not an issue that had to be determined," said Deputy Judge President Louis Harms, while handing down judgment.

"Nevertheless, a substantial part of his judgment dealt with this question; and in the course of this discussion he changed the rules of the game, took his eyes off the ball and red-carded not only players but also spectators."

The SCA held it was too late to strike out Nicholson's "political meddling" statements, as the "damage has been done".

It is widely accepted that former president Thabo Mbeki was recalled from office as a result of the political meddling references in Nicholson's judgment.

"It makes no sense to strike them out at this late stage of the proceedings. The damage has been done. This does not mean that the order of the court below should stand," said Harms.

"Most of the allegations were not only irrelevant but they were gratuitous and based on suspicion and not on fact. The excuse for including them was unconvincing especially in the light of the disavowal of any intention to rely on them.

"The prejudice to the NDPP was manifest. Instead of having a short and simple case, the matter not only ballooned but burst in the faces of many."

Neither Zuma nor his lawyers were present in court.

Outside court, Zuma supporters wearing yellow ANC T-shirts gathered on Hertzog Square, opposite the court building, for news on the outcome of the judgment. ANC national executive committee member Mathole Motshekga shared the stage with ANC Women's League chairwoman Angie Motshekga and provincial Free State chairman Ace Magashule.

Mathole Motshekga told several hundred Zuma supporters that the ANC's presidential candidate was "not facing any legal trial".

"It is political case. It remains a political case. It is a continuation of the political agenda we and our alliance complained about," he said to loud cheers.

He dismissed the SCA decision which, "with the greatest respect, was wrong", as mere rivalry between legal minds *1.

"We are dealing with the interpretation of the law by two different judges who obviously hold two different approaches of interpretations."

The matter should be taken to the Constitutional Court, he added, an option Zuma's lawyer, Michael Hulley, said was under consideration.

"We are giving consideration to the judgment, which might include an application for leave to appeal to the Constitutional Court," said Hulley.

In reaction, most opposition parties said it was time for Zuma to have his day in court.

"The NPA must immediately dismiss speculation that it is willing to drop the charges against Zuma and broker a special deal for him," said Democratic Alliance leader Helen Zille *2.

Independent Democrats leader Patricia de Lille agreed: "The NPA must now proceed with instituting corruption charges against Jacob Zuma so that he may have his day in court as soon as possible."

The United Democratic Movement urged Zuma to stop "endless legal delaying tactics".

The SA Communist Party said it was convinced that the "persecution" of Zuma was a "politically inspired affair".

"Cosatu remains convinced that the whole prosecution process has been politically motivated and will continue to demand the dropping of all charges," added the Congress of SA Trade Unions.

Harms, at the start of handing down the SCA decision, warned against abuse of the judgment for political reasons.

"It would be naïve to pretend that we are oblivious to the fact that Judge Nicholson's judgment has had far-reaching political consequences and that there may be an attempt to employ this judgment to score political points," said Harms.

With acknowledgements to Fiene and Andre Grobler and Sapa.