Feinstein is Still Seeking Honest Answers from BAE |
Publication |
Business Report |
Date | 2007-10-31 |
Web Link |
Former ANC MP Andrew Feinstein, who is now a London businessman, writes in After
the Party, his book mainly about the arms deal,
that the Campaign Against the Arms Trade bought him a share in BAE Systems to
enable him to attend the company's annual general meeting (AGM) in 2002, a year
after he had resigned as an MP.
This enabled Feinstein to be acknowledged by then BAE chairman Richard Evans, so
he could ask whether the board "didn't feel it was ever so
slightly unethical" to provide a R5 million donation to a charitable
trust, of which South Africa's then defence minister, Joe Modise, was life
president, at the time when tenders for fighter and trainer jets were being
considered. BAE won the contract with Saab.
Evans responded that he knew nothing about the
donation.
A year later, in the Guardian newspaper, BAE admitted to funding the MK Military
Veterans Association "to demonstrate that we wish to be
good corporate citizens *1 doing business in South Africa".
At the AGM last June, Feinstein asked what a £75 million (R1 billion) entry for
commissions was used for. New chairman Dick Olver refused
to give an assurance that money had not found its way into the hands of any
South African defence department official, politician or political party *2.
Feinstein suggests there was nothing wrong with making significant sums
of money, but the public sector "is not the place to do it". It was also
inappropriate for President Thabo Mbeki to praise Modise - who took over the
chairmanship of Conlog, which benefited within weeks from the arms deal - at his
funeral. It sent the wrong message.
Where does this leave us? While Feinstein left parliament due to reasons of
conscience, his questions outside of the institution are
still valuable, and pertinent. But it is unlikely that his advice will be
heeded, especially as he is now outside of the body where a difference can be
made.
It's a bit like the day after a party: one feels a little fuzzy about whether
Feinstein's book will make much difference *2.
Business will probably go on as usual, with firms arguing that they are doing
all the things they do *1 "as good corporate
citizens".
With acknowledgements to Business Report.