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UNITED DEMOCRATIC MOVEMENT

MEDIA RELEASE

MODISE'S DENEL SPONSORED HOME MUST FORM PART OF ARMS DEAL INVESTIGATION

STATEMENT ISSUED BY BANTU HOLOMISA, MP
UDM PRESIDENT

The UDM is disgusted to learn from media reports today that the former Minister of Defence, Joe Modise was the recipient of home-construction courtesy of state arms company Denel. This is no light matter, it appears that this "gift" was not declared by the Minister; in direct contravention of the rules governing the conduct of Ministers and Members of Parliament. Two days ago the UDM wrote to the arms investigators highlighting the absence of terms of reference for their investigation, in spite of the express wishes of Parliament as reflected in SCOPA's 14th report. That letter already raised concerns regarding members of the Cabinet Sub-committee who negotiated the arms deal.

It now transpires that the Directorate of Public Prosecutions will not be prosecuting, or presumably include it in the arms investigation. This is rubbish, if there is no impropriety why has Mr Modise belatedly decided to repay Denel for the work on his house? It is exactly this type of situation that will be avoided by clear terms of reference for the investigation. As we have said before, one of the terms of reference must be the investigation of possible gifts or benefits accruing to members of the Cabinet Sub-committee, or their families, from arms manufacturers.

The UDM calls on the National Director of Public Prosecutions to demonstrate his commitment to fighting corruption and a proper arms investigation by re-opening the matter of Mr Modise's home.

With each passing day the evidence of impropriety in the arms deal heaps up. Claims to the contrary by government are simply unacceptable and irrational. Since when is it proper for Ministers and officials buy/loan/receive cars and housing from arms dealers? After all the high-ranking people we are referring to receive huge subsidies for accommodation and vehicle. UDM is certain that taxpayers would rather retract these subsidies and rather provide the poor with housing and transport.

The ANC no longer resembles the previous regime, they have actually become worse.

Enquiries:
Bantu Holomisa, MP
UDM President

Pretoria
17 July 2001

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