Major General Zinhle Mnonopi, the suspended head of the Hawks' anti-corruption unit, has withdrawn an application to cross-examine former finance deputy minister Mcebisi Jonas.
Her lawyer, advocate Vincent Siwela, told the commission of inquiry into state capture on Thursday that she had decided to completely withdraw her application against Jonas.
Mnonopi was implicated by the former deputy minister in his evidence last week. Jonas claimed Mnonopi tried to "kill" a case in which one of the Gupta brothers, Ajay Gupta, was accused of trying to bribe him with R600m and a ministerial post.
Siwela told Deputy Chief Justice Raymond Zondo, who is chairing the commission, that to continue in this process would "severely prejudice the general".
Mnonopi was suspended from the specialised policing unit following the damning claims. Hawks head Godfrey Lebeya told City Press she was served with a suspension based on the allegations that she interfered with investigations and acted without impartiality.
The commission's legal team had informed Hawks management that Mnonopi would be implicated ahead of the inquiry which kicked off in August.
The major general is also being investigated with the possibility of disciplinary proceedings being instituted against her.
Siwela told News24 on the side lines that developments outside the commission necessitated the decision to withdraw from the commission.
"What's been taking place outside is contrary to what we've been trying to avoid," said Siwela.
He said it was common knowledge that Mnonopi had been suspended and had a pending disciplinary hearing and that developments around her name within the commission might have dire consequences on those processes.
"Whatever transpires here may be prejudicial in the other forum," he said.