/ 1 January 2002

‘Benz brothers’ back in court

The corruption trial of former African National Congress chief whip Tony Yengeni and businessman Michael Woerfel is to be heard in the Special Commercial Crimes Court in Pretoria in July.

The men appeared in court briefly on Thursday morning, when the trial date was set for July 9 to 26.

Thursday and Friday were earlier set aside for the defence to argue objections to the charge sheet.

However, defence lawyers on Thursday asked that this be left over until the first day of the trial. They said their clients had not yet decided whether to object or not. The defence was given until June 25 to file objections, and Woerfel and Yengeni’s bail of R10 000 each was extended.

The charges against the men relate to an alleged 47% discount given to Yengeni when he bought a luxury Mercedes Benz 4X4 in a deal apparently organised by Woerfel — then managing director of European Aeronautic Defence Systems (Eads).

It is alleged that Woerfel sold the car to Yengeni for R182 563, nearly half the retail price of R349 950. Yengeni sold the Mercedes for R220 000 in November last year.

The State alleges Yengeni received the vehicle with the intention to ”use his power or exercise his influence to influence the arms acquisitions process” in favour of Eads predecessor Daimler-Benz Aerospace AG or DaimlerChrysler Aerospace AG.

Yengeni was chairman of Parliament’s joint standing committee on defence at the time. Eads — a joint venture between DaimlerChrysler Aerospace and two European companies — has a 33% stake in Reutech Radar Systems, a Stellenbosch-based company that secured a R220-million contract to provide radar technology for four corvettes that form part of the country’s multi-billion rand arms acquisition programme.

The forgery charge pertains to an agreement of sale drafted in respect of the Mercedes transaction.

Yengeni faces a charge of fraud as alternative to the main corruption charge.

He also faced a statutory perjury charge for allegedly giving false evidence to arms deal investigators, but this charge was later withdrawn. – Sapa