How Guptas captured Denel – leaked e-mails

Leaked e-mails expose how Denel’s CEO lied under oath to protect a dubious Gupta arms-deal partnership, as well as many other cunningly plotted moves involving high levels of government, notes a Financial Mail report. In its cover story, the FM tells how Denel’s newly appointed directors removed CEO Riaz Saloojee to pave the way for a dubious deal worth R100bn between Denel, the Gupta family and their business partner, President Jacob Zuma’s son Duduzane. The report says the Guptas tried to hide their involvement by structuring it through a company registered in Hong Kong, VR Laser Asia, and setting up a secret subsidiary in India. But, states the report, e-mails leaked to the Financial Mail and other media provide evidence that the Guptas were behind the deal all along, with the full knowledge and participation of Denel’s top brass and possibly also key officials in Public Enterprise Minister Lynne Brown’s department. Denel’s Gupta partnership has sparked a battle between the arms maker and Treasury, which says proper procedures weren’t followed. Denel has previously said it would not comment on the leaked e-mails. The FM says repeated attempts over four weeks to obtain responses to detailed questions proved fruitless.

Full Financial Mail report (subscription needed)