Trial Report: Thirteen

This report covers the period Friday February 18 to Thursday February 24.

Forensic Auditor, Hennie Bruwer completed his evidence in chief on Friday 18 February. He provided details of a second, apparently unauthorised, sale of NBC suits (Nuclear, Biological, Chemical protective suits) to a Belgian company by the name of Seyntex. According to Bruwer, the consignment included suits that had been sold to Armscor some nine months prior to this deal. Bruwer told the court that these deals had taken place in 1991. Bruwer also testified that he had traced the proceeds from this sale, through the accounts of a series of companies, and found that some of this money had been used to purchase a house for Basson.

The court also heard that in May 1991, despite the fact that Knobel testified that the threat of a chemical attack had abated, a new contract was signed between D John Truter and Technotek for delivery of an additional 25 000 NBC suits over the next five years. By 1994, when President Nelson Mandela was briefed on Project Coast, the SADF reported having 20 000 NBC suits in its arsenal.

Although Bruwer had not been able to find all the documentation necessary relating to the WPW group of companies based in the Cayman Islands, nevertheless, he was able to say that by June 30, 1993, R86-million had gone through the various accounts of companies in this group. R66-m of this had originated from Project Coast funds (of which some R21,6-m was repatriated to Coast). The balance of R19,6-m could not be sourced by Bruwer.

Bruwer concluded his evidence by outlining the final financial situation of some of the companies in which Basson is alleged to have an interest. He testified that in all cases these companies showed a net loss at the end of the day.

Cross examination of Bruwer commenced on Monday 20 February with Adv.. Jaap Cilliers presenting argument to discredit his report. Adv..Cilliers also charged that Bruwer had prolonged his investigation for personal financial gain.

Adv.. Cilliers, put it on record that documents retrieved from the office of American attorney, David Webster, were false and misleading. Although he put it to the court that Webster had made a statement in which he described his relationship with Basson as a friendship, Cilliers went on to say that Webster was a "consummate perjurer".

Adv.. Cilliers raised the possibility that Basson was merely the South African contact for other 'principles' who required Webster's services. Given the sanctions against South Africa during the eighties, means had to be found to procure items in such a way as to disguise the purchaser, the SADF. Cilliers drew on a statement made by Webster in which he said that he had been introduced to Basson by Wilfred Mole who introduced him as a cardiologist and South African businessman who wanted to encourage investment in South Africa. Mole, Cilliers told the court, was an expert sanctions buster who Basson had consulted to find out how to circumvent the international embargo. For this purpose, Cilliers claimed during the process of cross examination, most of the documentation found by Bruwer was false and had been constructed to present a particular picture of events to hide their true nature.

On Tuesday 21 February, Cilliers said that the chief purpose of the WPW Group, set up after Wilfred Mole introduced Basson to David Webster, was to facilitate the flow of funds from Project Coast to suppliers in such a way that their identities were protected. This was why the first three companies - WPW Inc, PCM Inc and Medchem Inc - were established in the Cayman Islands in 1986. At David Webster's recommendation, one account would be used for East Bloc suppliers, one for the Libyans and the third for "general" components. In other words, Basson's defence for all the deals conducted through the WPW group of companies, is that they were to the benefit of the unnamed 'principles' mentioned earlier.

Bruwer said that he had been unable to uncover any evidence showing that the WPW Group was set up or structured for the benefit of suppliers, it had been physically impossible to verify any purchases. The Special Force Headquarters Laboratory had been destroyed by fire, then dismantled by design. The chemicals allegedly obtained in Croatia had apparently been dumped in the ocean. No trace could be found of the 12 CAMs allegedly bought through Buffham, and SADF records never included the 45 000 NBC suits. In addition, all documents relating to Project Coast had been destroyed, so no invoices, delivery notes or other records were available. The only method of investigation had therefore been to trace the financial transactions through banks.

With regard to the NBC suits, Adv.. Cilliers argued that some of these suits, along with Chemical Agent Monitors, had been given to Unita and that it had been common practice that no records of these donations were kept. The defence said that they had consulted a Col. Schutte, the logistics officer in charge of Unita supplies from the end of 1986 to 1992, who told them that there was a "huge" internal problem in Unita's ranks following three genuine chemical attacks against them. According to Adv.. Cilliers, Schutte will state that the 50 000 Unita troops in the field were so panicked and terrified that all "the enemy" had to do was throw inert yellow smoke grenades to send the Unita troops scurrying into the bush, fleeing for their lives. Apart from the physical protection offered, it was thus psychologically essential that the SADF supply NBC suits to these men. Schutte also told the defence he had an annual budget of R300-million to supply Unita with everything from food and medicines to armoured vehicles.

The court was also told by Adv.. Cilliers, that thousands of troops had been issued with NBC suits during three continuous operations in Angola.

Cross examination of Bruwer continued on Thursday 24 February. During this time Cilliers explained that the proceeds from the sale of NBC suits were used to purchase proximity fuses needed by "the Army" which was weaponising CR in 120mm mortars for shipment to Unita. According to Basson, the mortars were weaponised "on the specific instructions" of the late General AJ (Kat) Liebenberg, and the weaponised mortars were dispatched to Unita by Military Intelligence.

Cross examination of Bruwer continued on Friday.

This report has been prepared by Chandr� Gould and Marlene Burger. Chandr� Gould is a research associate at the Centre for Conflict Resolution working on the Chemical and Biological Warfare Research Project. Marlene Burger is monitoring the trial as part of the CCR Chemical and Biological Warfare Research Project. The Chemical and Biological Warfare Research Project is funded by the Ford Foundation, the Friedrich Ebert Stiftung and the Norwegian Government.

Centre for Conflict Resolution, UCT, Private Bag, Rondebosch, 7701, South Africa Tel: (27) 21-4222512 Fax: (27) 21-4222622 Email: [email protected]