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Zuma 'trusts Shaik completely'

2003-08-15 15:54

Donwald Pressly

Cape Town - South African Deputy President Jacob Zuma says his association with Durban businessman Schabir Shaik "spans more than 20 years" and he trusts the man - the centre of a Scorpions investigation into alleged wrongdoing during the country's arms deal - "completely".

As part of a lengthy statement on Friday - in which he says allegations of his soliciting bribes in connection with the arms deal is defamatory - the Deputy President says his association with Shaik had its beginning "in the struggle against apartheid, having begun while he was a cadre of the ANC operating in underground structures, and I having been his commander from outside the country, while he was operating internally".

The Scorpions are investigating whether Zuma solicited a R500 000 a year bribe from Thales/Thomson, a French arms firm. Shaik's Nkobi Holdings holds shares in Thales (also known as Thomson) International. Thales won the contract worth about R400m to provide the systems for the SA Navy's four new corvettes being built in Germany.

Zuma, who denies using his office to promote anyone's business, says in the statement: "Our relationship grew over the years, and we are friends and comrades. He also serves as my financial adviser and administers all my financial affairs."

Zuma said Shaik's unit during the struggle was tasked with, "amongst other things the channelling of funds from outside the country to underground units inside the country. In 1987 he was called to London and it is here that I had physical contact with him for the first time."

"During these years, Schabir received and dispensed hundreds of thousands of rands for the ANC and other structures inside the country. His management of the funds was efficient and I came to trust him completely."

"After the unbanning of the ANC, Schabir continued to play a role in funding and financing the ANC and its activities, either from his own resources or through raising funds from other sources."

"I have no financial interest in any of Schabir Shaik's businesses. I also have no interests and/or shareholdings in either Thales or the Nkobi Group.

"I have on occasions supported historically disadvantaged business persons, including Schabir Shaik, through giving credibility references when asked to do so by potential business partners."

"I did this also as part of my line function as MEC for Economic Affairs in the KwaZulu-Natal provincial government." Zuma served in this post until his appointment as deputy President in 1999.

On Wednesday the Durban High Court granted Shaik leave to appeal against a previous ruling forcing him to answer questions relating to allegations of bribery against the deputy president. His legal counsel indicated that they would have to apply to the constitutional court within 10 days.

- I-Net Bridge (Business)

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