/ 2 June 2003

DA wants details of the oil deal

National Assembly Speaker Dr Frene Ginwala has turned down a request from Democratic Alliance leader Tony Leon to intervene to allow an urgent question on a controversial oil deal with Nigeria to be put to President Thabo Mbeki on Thursday.

The Mail & Guardian broke the story on Friday.

”Mr Leon has been advised that there is no provision in the rules that permits the Speaker’s intervention.

”To accommodate the request there would have to be political agreement to suspend the rules.

”It will also be possible for the matter to be raised during the president’s budget vote (debate in the Assembly) on June 15,” Ginwala said in a statement.

Leon wanted Ginwala to intervene to allow an urgent question to Mbeki on the deal to market Nigerian oil when he replies to questions in the Assembly on Thursday, following a report in the Mail & Guardian last week.

The report said that the South African government was involved in an irregular oil deal with Nigeria. The newspaper reported that a lucrative Nigerian oil contract, which was secured with the aid of Mbeki in 1999, was diverted to an off-shore company with no benefit to South Africa.

”Instead, the company’s local incarnation features figures linked to African National Congress interests,” said the article.

”Almost four years later, the contract is still running and the South African government has not acted to end what appears to be a fraud on the South African and Nigerian public,” it said.

The company that signed the contract was registered in the Cayman Islands, both a tax haven and a haven of corporate anonymity, said the report.

On Sunday, DA representative Ian Davidson said his party would invoke the Access to Information Act if Mbeki did not release all the documentation relating to the deal.

Davidson said although the allegations were, at this stage, based only on prima facie evidence, the issue was now in the public domain.

He said job-creating investment hinged on sentiment and the revelations in the newspaper had cast a shadow over South Africa’s image and good reputation.

”President Mbeki must act immediately to defend South Africa’s image by releasing the documentation relating to this deal. If the allegations are baseless and he can provide objective evidence to prove that, then he must provide that evidence. If there is fraud or corruption, then heads must roll and the president must account.”

Davidson warned that if Mbeki did not release the documentation by 2pm on Monday, then the DA would invoke the Act.

However, the government has rejected the report saying the allegations were ”ridiculous as they are devoid of any truth”.

”There is nothing sinister about the deal because it was done as part of building bilateral economic relations between South Africa and Nigeria,” the government communications department said. – Sapa