Publication: News24 Issued: Date: 2011-06-17 Reporter: Sapa

Bribe admission re-ignites arms deal saga






Reporter Sapa
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Cape Town - Opposition parties on Friday urged the Hawks to investigate the multi-billion rand arms deal after new allegations of bribery.

General Anwa Dramat, head of the directorate of priority crimes (the Hawks), should now re-open the investigation into the arms deal and investigate the claim that R24m was transferred to a South African consultant by BAE Systems, Democratic Alliance spokesman David Maynier said.

On Thursday, Saab chief executive officer Hakan Buskhe issued a press statement admitting that an internal investigation had revealed that about R24m had been paid by BAE Systems to Sanip Pty Ltd, he said in a statement.

The payments were then transferred from Sanip Pty Ltd to a South African consultant, the transactions were never entered into the accounts of Sanip Pty Ltd, and the payments took place without the knowledge of Saab.

"The consultant who received the secret payments is reportedly Fana Hlongwana, who was an adviser to former minister of defence Joe Modise, and who was alleged to have received up to R200m in commissions relating to the acquisition of 26 Gripen fighter jets from Saab/British Aerospace," Maynier said.

The information revealed by Buskhe was very serious.

It amounted to a prima facie case of bribery and/or corruption in respect of the arms deal and should be investigated.

"If the payments were above board, why was it necessary to launder the money through Sanip Pty Ltd, a company which was reportedly set up by Saab/British Aerospace to manage the arms deal offsets?

"The DA will therefore be writing to General Anwa Dramat, head of the Hawks, to confirm that the Hawks will be investigating the R24m payment reportedly made to Fana Hlongwana by BAE Systems," Maynier said.

In another statement, Freedom Front Plus leader Pieter Groenewald said the "fact that Saab has now acknowledged that it had paid a bribe in the arms acquisition transaction with South Africa and that names are being mentioned should have the result of an immediate investigation by the Hawks".

Other investigations, such as that of the auditor general and the public protector, had earlier found that there had been no irregularities but that there had been a number of allegations of bribery which could not be proven.

"Now that proof has been found, the Hawks cannot but investigate the issue," he said.

The arms acquisition program had always been clouded in controversy due to allegations of corruption and bribery and there was an opportunity now to investigate the issue and bring it to a close which would be in the interest not only of the SA National Defence Force but also in the interest of the whole country, Groenewald said.

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With acknowledgements to Sapa and News24.

That's what they're admitted, just to the bit paid by Saab laundered through SANIP (Pty) Ltd.

SANIP derives from South African National Industrial Participation.

There are a number of other special purpose vehicles (pig troughs) that Saab and BAE Systems (trough fillers) filled.

Here's a list :

Arstow Commercial Corporation;

Red Diamond Trading Ltd;

Novelmight Ltd;

Kayswell Services Ltd;

FNTSA Consulting Ltd;

Osprey Aerospace (Pty) Ltd;

Huderfield Enterprises Inc;

Brookland Management Ltd;

Zomita Development 5A; and

Hlongwane Consulting (Pty) Ltd.

Quotes :

UK bank statements obtained by the SF0 reveal that BAE paid over 15 million (over R1,6 billion) to advisers in order to assist in the securing and maintaining of the South African Hawk and Gripen contract. Of this, 10 million (R1,4 billion) was paid to covert "advisers" from the Red Diamond UK accounts and only 1 million (R160 million) was paid directly by BAE to overt advisers.

Between September 2003 and January 2007 Hlongwane Consulting was paid in excess of 10 000 000 by BAE. The payments were made from BAE's own Head Quarters Marketing account at Lloyds TSB directly into Hlongwane Consulting's Nedbank account.

The SFO investigation has revealed that Fana Hlongwane also received over ZAR51 000 000 through an agreement with a South African registered entity called SANIP (Registration Number 19981009353/07). SANIP is 100% owned by Saab, a Swedish company.

Lloyds TS bank records obtained by the SFO confirm that Red Diamond paid Huderfield over 26 million into an account in the


UK bank statements have revealed that BAE paid Osprey a total of approximately 2 million into its account at Nedbank in Johannesburg.

SANIP is a trading name of a UK registered company, BAE Systems (Gripen Overseas) Ltd (Registration Number 03473663).

Allan McDonald disclosed he had also received money from Arstow (approximately 5 000 000)

So how does R24 000 000 compare with 10 000 000 (R150 000 000) plus R51 000 000 equals R200 000 000.

About 12%.

The total the BAE and Saab paid in covert commissions was close to R1 400 000 000.

Hlongwane got about 20% of that.

Joe Modise got a large splodge from Hlongwane and Charter, but then some among us decided he needed to attend an important meeting in the sky with diamonds after a home blood transfusion from Llew Swan (who just happened to be there at the bedside with Tony Ellingford to witness Joe's last will and testament).

Richard Charter also got about 20%, but then some among us also decided he needed to attend an important meeting in the sky with diamonds, after first doing a canoe trip down the Orange River and having a wrestling match with the vortex of a rapid cause by a low weir and the blunt trauma of a canoe paddle to the head.


So Hlongwane got 20% and Charter go 20%. Where did the rest go?

Bredenkamp and Friends  : 20%
Thabo and Friends                : 20%
Ayenceeeeeeee            : 20%

But other than getting a meeting with Lucifer in the sky with diamonds, R500 000 corruption gets one 15 years in the pen or 2 years in Westville Prison Sanatorium and a lifetime of psychiatric misery in a mansion full of koi fish, Johnny Walker Blue Label and a jacuzzi full of damp prostitutes.

Simple arithmetic shows that at R1,4 billion @ R500 000 a pop the Department of Correctional Services will have to budget for a new pen housing 2 800 inmates for 15 years, as long as Lieutenant General Anwa Dramat and Major General Hans Meiring elect to do their jobs.

Maybe we should do a plea bargain and get the slimy Brits to keep Shrien Dewani and send us Sir Richard Evans, John Weston, Mike Turner and Sir Kevin Smith instead.

John Bredenkamp they can keep, he's too dangerous here. Better to grace the meadows of sunny England.

Allan McDonald can be the canary.

I'll personally attend the trial to hear him sing.

Where's the court of jurisdiction so that I can book my flight and 3 weeks of accommodation?

The conduct of Lieutenant General Anwa Dramat and his lackey Major General Hans Meiring is worthy of the closest scrutiny.

What are the wages of this sin?

May the good times roll.

PS      I look forward to some feedback for a change.