Namibia delays bail hearing in China graft case

A Namibian court on Wednesday delayed to next week a bail hearing for three people charged with corruption over a deal to buy security scanners from a firm linked to the son of China’s president.

“The date for bail applications is set down for next week July 28 and 29,” magistrate Pieter van Pletzen ruled.

The three accused, including the Africa representative for the state-owned Chinese firm Nuctech, were not present during the short court procedure. They have been behind bars since their arrest last week.

Nuctech representative Yang Fan and two Namibians, Teckla Lameck and Jerobeam Mokaxwa, were arrested after the Anti-Corruption Commission (ACC) discovered that a $12,8-million down payment on 13 scanners had been diverted to a firm called Teko Trading.

Their lawyer Sisa Namandje had asked for the postponement to have more time to prepare a Friday hearing when his clients will seek to regain assets seized and bank accounts frozen during the investigation.

Nuctech has a Namibian government contract to supply security scanning equipment in a $55,3-million deal, paid for with a Chinese loan granted when President Hu Jintao visited the country in 2007.

Hu’s eldest son, 38-year-old Hu Haifeng, was the president of Nuctech until last year, when he was promoted to party secretary of Tsinghua Holdings, which controls Nuctech and more than 20 other companies.

Between March and April, the $12,8-million down payment was diverted to a firm called Teko Trading, equally owned by Lameck and Mokaxwa, investigators say.

All three accused later drew large sums from the Teko account, with Yang taking $2,1-million, most of which he is said to have paid into an investment fund, investigators say.

Lameck and Mokaxwa are said to have spent money on expensive vehicles, farms and houses.—AFP