/ 16 January 2006

State wants R34-million from Shaik

The state believes about R34-million was involved in Jacob Zuma’s ”generally corrupt relationship” with Schabir Shaik and it wants every cent back, News24 reported on Monday.

It said the National Prosecuting Authority’s Asset Forfeiture Unit (AFU) would file an application to this effect in the Durban High Court on Wednesday.

The application would seek a warrant giving the state control over Shaik’s assets in the arms manufacturing company that profited from the multimillion-rand arms deal.

In the application filed with the court, the state requests that a R250 000 bribe paid to Zuma by French arms manufacturer Thales also be recovered from Shaik.

The Durban businessman was last year found guilty on two charges of corruption and one of fraud, and sentenced to an effective 15 years’ imprisonment. His appeal will be heard by the Supreme Court of Appeal later this year.

Shortly after Judge Hilary Squires convicted Shaik, the AFU indicated it wanted to attach Shaik’s assets in accordance with the Organised Crime Prevention Act.

Squires agreed that the assets be placed under curatorship until he had heard arguments.

The state will focus on four benefits Shaik and his Nkobi Group of companies obtained as a result of his corrupt relationship with Zuma.

These are: shares to the value of R21-million in African Defence Systems (ADS); ADS dividends to the value of R12,7m; R500 000 received by Nkobi Investments for the sale of its shares in Thint Holdings to Thales; and R250 000 paid by Thales to Kobitech as a ”bribe” for Zuma.

The state will have to convince Squires of a link between Shaik’s corrupt relationship with Zuma and his obtaining of these benefits.

According to the state there is an ”overwhelming possibility” that Shaik’s relationship with Zuma was the main reason for Thales to do business with Shaik, reported News24. – Sapa