/ 8 January 2005

Arms deal ‘smells of corruption’

South Africa’s official opposition Democratic Alliance (DA) has called for a judicial commission headed by a respected judge to probe “the serious questions” that continue to hang over Auditor General Shauket Fakie and President Thabo Mbeki involving South Africa’s arms deal, following press reports of a “cover-up” and alteration of an official arms deal report.

African Christian Democratic Party (ACDP) deputy president Jo Ann Downs said it was “a fundamental principle that the Auditor General’s office must be completely independent of any political influence. It is usual, before any report is finalised, to consult with the head of department on any findings.

“It is highly unusual for the Auditor General to consult directly with political heads, particularly where they might be implicated in the report.”

Business Day reported that Fakie met with the president after arms deal drafts had gone to the presidency in October 2001.

The Mail & Guardian also reported a cover-up.

Business Day reported that draft versions of the Joint Report into the Strategic Defence Packages compiled by the Auditor General, the Public Protector and the National Directorate of Public Prosecutions revealed “hitherto undisclosed differences between government and the defence force over the nature and extent of the arms acquisition process”.

It also reported “further compelling evidence” that government forced through massive changes to the final report on the arms deal — to re-equip the navy and air force — apparently in an attempt to protect the contractual integrity of the R30-billion deal.

Draft versions of the report — released after a three-year legal battle between snubbed bidder Richard Young — revealed that the late defence minister Joe Modise played an influential role in ensuring that a R15-billion purchase of jet aircraft went through. He apparently ensured that the British made aircraft Hawk were chosen rather than a cheaper Italian Aermacchi MB339.

Official opposition DA MP Eddie Trent said the reports indicating that the president and senior Cabinet ministers allegedly removed any potentially embarrassing allegations of irregularities and fundamental flaws from the draft arms deal report, “is further proof that the controversy surrounding the deal will not go away until it is properly investigated by a judicial commission”.

“It is clear from these reports that both the credibility and independence of the AG is now severely compromised in relation to the arms deal. It appears that, despite the AG’s repeated denials to the contrary, he was indeed forced to bow to political pressure from the executive and in particular from President Mbeki.

“The reports allege that President Mbeki personally made rebuttals to every allegation of irregularities in the draft report. The president’s direct intervention in what was supposed to be an independent report is a very serious allegation that needs to be fully dealt with as a matter of urgency.”

Downs said it was “disappointing that the report on the arms deal would seem to have been substantially altered in both its tone and findings before release, despite the AG’s contrary reassurances to Scopa (parliament’s public accounts committee).

“These alterations were only brought to light after Mr Young obtained the original documents through a court order. The AG only released these documents with great reluctance.

“Absolute transparency on the part of the AG, Cabinet and the presidency was necessary in the conduct surrounding the arms deal. This has clearly not happened.

“The fact that reports have been changed, altered or massaged would bring any government down in more established democracies.

“The smell of corruption drives out investment and growth in Africa, and the President, the Cabinet and the AG must hold themselves responsible for the scandal and its consequences,” said Downs, who is a member of the KwaZulu-Natal legislature. ‒ I-Net Bridge

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