The Cape Bar Council has dismissed as "intemperate, damaging and untruthful" allegations made by Economists Allied for Arms Reduction (Ecaar-SA) against its former legal representative.

Ecaar-SA's Terry Crawford-Browne, who is challenging the government's multi-billion-rand arms deal, accused advocate Norman Arendse of "colluding with the government" in the Cape High Court case.

The two senior counsel appointed to investigate had found no grounds for the bar council to set up a disciplinary committee to pursue the allegations, said council chairman Owen Rogers.

"On the facts, which are common cause, there are ... no grounds whatever for the intemperate, damaging and untruthful accusations made against Arendse, SC, by the complainant," the senior counsel found.

They also found that, contrary to Crawford-Browne's statement, Arendse had not been "fired" by Ecaar-SA. He had withdrawn from the case and it was only after he had done so that Crawford-Browne claimed to have dismissed him, Rogers said.

The council unanimously endorsed the report.

Ecaar-SA wants the arms deal overturned and foreign loan agreements and export guarantees set aside.

With acknowledgements to Sapa and the Cape Times.