DaimlerChrysler South Africa (DCSA) and its associate companies always had and always would operate strictly within the law, the company said on Monday.  

In the context of the three-body probe into South Africa's multi-billion rand arms deal, this meant "full and wholehearted co-operation with the duly mandated authorities", a statement said.

"This co-operation will continue without reservation."

Earlier on Monday, the Independent newspaper group published a list of names of 33 "VIPs" who bought cars at a discounted rate from DCSA via European Aeronautic Defence and Space Company (EADS), which has a stake in the multi-billion rand arms deal.

'Sloppy journalism'

Only the last names of the beneficiaries were printed, but appeared to include African National Congress chief whip Tony Yengeni, and defence force chief General Siphiwe Nyanda.

Discounts on the cars ranged from 3,28 percent to 47,83 percent.

DCSA's statement said the company had been the subject of "untruths and distorted, relentless, and nakedly aggressive reporting in recent weeks".

This "unwarranted" attack from a minority in the media had "gratuitously" damaged South African economic and political interests internationally, it said.

DaimlerChrysler and EADS were separate companies worldwide.

'Normal marketing activities'

"In South Africa, as elsewhere, each company pursues its business interests independently.

"To interweave the two despite several clear statements of these facts is nothing more than sloppy journalism."

DaimlerChrysler was among South Africa's biggest and most loyal direct foreign investors.

Its long-standing commitment to South Africa created jobs, expanded the tax base, contributed significantly to the balance of payments through exports, and built communities through housing and health initiatives.

"DaimlerChrysler South Africa and its associate companies operate worldwide according to the highest ethical standards in business.

"We have never sought to influence anyone inappropriately. We will not do so in future. To suggest otherwise is to insult the leaders of this country and to undermine the image of South Africa internationally," the statement said.

Like every business competing within a sophisticated market economy such as South Africa's, DCSA and its associate companies employed a range of marketing initiatives.

"For us, it is absolutely natural that we and our associate companies, like our competitors, give very limited assistance with vehicles, such as discounts and access to used cars.

"All this takes place within the framework of our normal marketing activities.

"Used vehicles, as everyone knows, are more deeply discounted than new vehicles.

"To ignore the fact that 13 of the 33 vehicles mentioned in today's (Monday) report were used cars is either an indication of a lazy journalist, or a deliberate distortion of the facts".

There "is a world of difference" between corruption and buying a car at a discount, the statement said.

The arms deal is being investigated by the Auditor-General, the Public Protector and the National Director of Public Prosecutions.

With acknowledgement to Sapa and Independent Online.

The VIP Car List can be viewed with acknowledgement to the Cape Times, published 2001-07-02.