An Intelligence Report on South Africa
Enough lies have been told. It is time for South Africans to learn the truth.
The author will inform the reader about these lies and although it will be a shocking experience, the time is right for ordinary people to know the truth because it is ordinary people who must rectify these lies by voting to insure that a better future will evolve. By figure of speech, every person if sitting in a theatre can see what is happening on stage. The secret is to “see” what is going on behind the curtains.
One of the biggest mistakes white South Africans have made was to follow their leaders blindly because these leaders had helped to set them free from British rule. Actually the voters had liberated themselves by voting – not the political leaders. Because of this newfound freedom, whites followed politicians into apartheid. Many people in their hearts didn’t want to follow, but because they where set free from British rule by these people, they still support them blindly. Black South Africans now face the same dilemma by blindly following their leaders who liberated them from apartheid, but they now have the knowledge that whites didn’t have. Don’t follow leaders blindly!
Most modern democracies accept that ten years is a fair chance of implementing changes that can be felt by the voter. People shouldn’t be afraid to vote for another party if the other party does have a better policy. It has been scientifically proven that it is healthy to have a different government every ten years. In any case, any political party blaming other people for their non-performance is guilty of not keeping its promises to the people. This book is about the lies being told to every South African. This book is not about the past but the present and the future. However, mistakes of the past are important, so the right decisions can be made to grow into the future.
Because of a budget restraint the author was not able to make this book as comprehensive as he would have wanted it to be. However, the reader will get the picture and finally the truth will set everybody free. The reader will be able to identify future lies and make their voices heard by making their democratic choice with a cross at the voting stations at the next election. Remember politicians are trained public speakers and know the art of convincing people to believe in them.
In essence this book is about spies, informers, agents and co-operators. The main focus is on three secret groups behind the political scenes, manipulating politicians and business executives whom were/are spies, informers, agents and co-operators. A lot of names are mentioned, but the reader can be sure that these people won’t acknowledge their involvement or their activities. Because a major discrediting campaign will be launched against the author if, or when they discover who he is, he has decided to write this book under a nom-de-plume. It will give him a breathing space to counter any actions against him. It will also show the reader what type of people are involved and confirm that what is written, is the truth.
Politicians, who think they are untouchable because of their office as the President or a Minister must know that they are public servants, in other words they are servants of the people who voted for them. The ANC must also remember that with the last election, only about 60% of people voted. Out of approximately 25 million people who are registered to vote, 10 million did not vote for them; in other words they don’t support the ANC. Of the 15 million who voted, they only drew 60% of the votes. In other words only 9 million people support the ANC. That means 16 million people do not support the ANC alliance.
It is important to mention that the different strategies the secret groups follow are very flexible because the plans revolve around the future and nobody can accurately predict what will happen tomorrow, but there is method in all this madness.
There are three major groupings in South Africa that can be regarded as being very influential. Each of these groups represents a different ideology and tries to manipulate the South African government who, in essence, is the African National Congress (ANC) and its alliances, the South African Communist Party (SACP) and the labour movement Congress of South African Trade Unions (COSATU). Each of these groups has a strong support base from different countries abroad, officially as well as unofficially. The different groups will subsequently be surgically dissected, and very important, without any bias.
The first group the author had discovered is the Enlightened Action Group (EAG). The author had given the name to the group because there is no specific name for them, although they base their plans on Joseph’s plan from the BIBLE (The MOSSAD is using the same principle in recruiting agents). The EAG meet on a regular basis and the association in essence is economic. It is not limited to South Africa but the whole region of SADC. The Enlightened Action Group (EAG) is also called the Old Boys Club, Third Force, Action 2000, the Brotherhood and the Inner Circle. For practical purposes the abbreviation EAG will be used throughout. The EAG was established during middle to late eighties when it became apparent that apartheid’s days were numbered. With British power still in the back of their minds the so called Super Afrikaner (EAG) started formulating a plan to again get into power by the year 2004 (The Afrikaner had decided after British rule that they would never be ruled by somebody else). Important to mention is the fact that the EAG know that whites will never rule the country again, well, not directly anyway. General Tienie GROENEWALD had mentioned to the author that they (referring to the Freedom Front) accepted the fact that whites would not rule South Africa again.
The EAG consists of about 38 white South Africans who come out of the apartheid era. They are former Politicians/Government officials, Economists, Generals (Police and Defence Force) and Intelligence operatives.
Politicians/Government officials that are involved are Pik BOTHA, Neil van HEERDEN, Roelf MEYER, F W DE KLERK and Rusty EVANS. Economists that are involved are Barend DU PLESSIS, Chris STALS, Chris BALL, Anton RUPERT, Meyer KHAN and Danie CRONJE – see relationship (Annexure 7). Generals that are involved are Magnus MALAN, Tienie GROENEWALD, Basie SMIT and Mike GELDENHUIS and Intelligence operatives involved are Dr. Neil BARNARD and Sean CLEARY.
The names mentioned here are those of EAG members and don’t include the people that co-operate with them.
The plan has different dimensions and includes:
The identifying of ANC leaders as well as the ANC alliance leaders for recruitment and/or contamination for manipulation purposes by the EAG (Chapter 2) (The actual work was done by the apartheid Intelligence apparatus);
gaining control over the economy. If you control the economy you control the government (Chapter 3);
manipulation of Intelligence (Chapter 4) (Police, Military, South African Secret Service [SASS] (external) and National Intelligence Agency (NIA), (internal);
destabilising actions through escalation of crime, creating chaos in public works (Chapter 5) and;
finding international partners to help execute the plan and destabilisation of African
countries (Chapter 6) together with their international partners for the purpose of
establishing the so-called globalisation process.
The EAG methodological process in achieving their goals is very complex. They make extensive use of compartmentalisation. For example, in the economic compartment they have different projects like SUNROCK and ODESA and the people involved with SUNROCK only know about SUNROCK. So there are a lot of names within the group, and even within these groups the people don’t know the bigger picture. The name EAG was given to this group by the author and is not its official name, because nobody outside the group knows the real name. General Tienie GROENEWALD had mentioned, when the author showed him the illustration (Figure 1) that he can agree with the total illustration, except the name EAG.
There should be no doubt that the group exists. Die AFRIKANER, the official newspaper of the political rightwing group, the HERSTIGTE NASIONALE PARTY (HNP), published three articles. The first publication was on 7-13 February 1998 (Revealing of EAG a hoax?) (Annexure 1). It is significant that this article was leaked by SASS because of the same mistakes made as in the STAR article (Canary Islands-SASS and Cayman Islands-Internal Security). The second article appeared in the 13-19 February 1998 issue with the heading: Tienie GROENEWALD and Pik BOTHA together with Roelf MEYER (with under-writing of shocking revelations of secret meetings) (Annexure 2). The third article appeared in the publication of 20-26 February 1998 with the heading, names of other attendees revealed (with the under-writing of a secret meeting in Lyttleton) (Annexure 3). The article refers to the meeting as an EAG meeting and the following names were mentioned in the article: Pik BOTHA, Rusty EVANS, Magnus MALAN, Roelf MEYER, Dr. Corné MULDER, Sean CLEARY (see Annexure 4 in regard to Globalisation), Quinten COETZEE, F. DU RANDT, George (The butcher) DARMANOVITCH, Johan SMIT and Johan LEHMAN or LEEMAN.
Because the author invented the name EAG, and the name EAG was only known in the Intelligence services, it is quite obvious that the Intelligence services did observation on these people and then made use of its informers in the media to publish the articles. Bantu HOLOMISA was also present but his role will be explained later (he is not a member of the EAG, as the EAG consists of only white people). There was also an article in THE STAR newspaper on 5 February 1997 with the heading: “Shadowy group “seeks to seize power by 2004”. CHRIS STEYN (who is now married to EBEN BARLOW of Executive Outcomes [EO]) (Annexure 5) published this article (The article was leaked at the same time as the first article in “DIE AFRIKANER” with the same mistake-Canary Islands).
The author was a member of the South African Police Services Internal Security branch. All reports were also channelled to SASS with the knowledge of President Nelson MANDELA, Dullah OMAR and Barry GILDER (the then deputy director general of SASS whom the author had met personally at the old SASS building). In the STAR article the author had changed the name Cayman Islands that was in the police report, to Canary Islands in the SASS report. The name, Canary Islands was used, so it was SASS who leaked the report.
Also further evidence of the existence of the EAG was given to the author in person when he was asked to appear before a panel of the National Intelligence Co-ordinating Committee (NICOC) at Embassy House during August 1997. Before the meeting Bertie JACKSON of SASS had told him that they (SASS) do have evidence now of the existence of the EAG. The author’s report that he had to sign, refers to him as the “Head source on the EAG”, The summary of this report of the NICOC meeting was given to the author to sign by Ivan PILLAY of SASS. Ivan PILLAY is married to Evalyn GRUNDLING who had written the book on the apartheid assassins and it was she who made the links of the assassins to Jean-Ives OLIVIER and Alian GUENON.
Afterwards various newspaper articles were published referring to a secret group trying to destabilise the country. For example, the Rapport newspaper published an article on 30-11-1997 with the heading “Mandela se Spioene” (Mandela’s Spies). Nelson MANDELA also referred to a secret group of people trying to destabilise the country together with former ANC spies (Annexure 6). Tienie GROENEWALD also mentioned to the author that President Nelson MANDELA had called him into his office and showed him the STAR article and mentioned they have evidence that a secret organisation exists and who wanted to overthrow the ANC. What Nelson MANDELA wanted to achieve goes beyond comprehension, because surely he could not have thought that Tienie GROENEWALD would have admitted to him of their activities.
According to Bertie JACKSON, SASS on various occasions had the same problem with Nelson MANDELA confronting people with sensitive information given to the President in good faith. This behaviour hampered various secret investigations and prevented the Intelligence community to successfully complete their investigations, because for all practical purposes he had warned the people.
The term Globalisation is just another version of the expression New World Order, both with the same meaning. According to former President PW BOTHA, various attempts had been made by different people while he was President to make South Africa part of the New World Order. He bluntly refused because he would not sell out the Afrikaner people. According to him he was approached three times. The first time Anton RUPERT approached him, the second time by Meyer KHAN and the last time by Henry KISSINGER. After he refused the third attempt and just after his heart attack, as he put it ” I was betrayed by my own people”. PW BOTHA confronted FW DE KLERK afterwards and told FW that he had sold out the Afrikaner and that he (FW) had received money from Anton RUPERT. FW reply was: “Yes but I did not keep all the money for myself. I had given a lot of the money to the Potchefstroom University”.
In exchange the EAG have the silent support of the major players in the globalisation process. The major players don’t want the ANC into power, the reason being their relationship with the SACP and all the ‘black sheep’ in international politics like China and Libya.
The result that the EAG want to achieve is a new political movement (controlled by the EAG) in power, as well as control over the economy. The initial plan to achieve this goal was to recruit as many high ranking ANC, COSATU and SACP officials as possible, establish a new political movement, and let all of them walk over to the new movement. Also part of this process is to destabilise the country to the point of anarchy, blaming the ANC for it and alienating the people against the ANC. When the leaders walk over to the new movement with the people following, the process would have been completed.
Eight of the top ten leaders of the ANC national list before both elections were directly or indirectly, part of the EAG plan. (Former President Nelson MANDELA had mentioned at an ANC NEC meeting that he has files on all of them regarding the NEC members’ involvement/co-operation with the apartheid Intelligence.) The reason for also including people indirectly is because some people are used through the direct people without their knowledge. A resent example is the investigation into the arms deal where “clean” people where used to cover up for the “criminals” within the ANC, so the “clean” people became contaminated in the process.
Above mentioned was the initial plan, but as explained earlier, the plan is very flexible and has evolved into different scenarios. The present plan consists of different outcomes depending on the various outside influences from say the ‘Wise Men.’ Politically the idea is to establish alliances and concentrate on issues, moving away from ideologies. The second part of the plan is to create a split within the ANC, COSATU and SACP alliance. It is foreseen that COSATU and the SACP will break away and form a party to the left of the present ANC that will be called something like the SOCIALIST PARTY or LABOUR PARTY. During August 2000 the media also started speculating on a split in the alliance, confirming the author’s stance since 1996 (Annexure 8). In Thabo MBEKI’s opening speech during the COSATU 2000 congress on 18 September 2000, MBEKI acknowledged the fact that there is a group of people in South Africa that pretend to be the protectors of democracy and human rights but in fact want to destroy the alliance. He called them the capital protector’s -in other words, the people who control the economy (Annexure 9).
The ANC will be disintegrated through Thabo MBEKI with internal conflict, scandals and bad management. This already started taking place during August 2000 through apparent “leaked” information on the performance of certain Ministers who were going to be ‘re-deployed.’ Also taking place is the conflict between government and the labour unions. There is also a marked increase in issue-based groups voicing their opinions. Already within the ANC, senior Ministers are starting to voice their disapproval of Thabo MBEKI. Thabo MBEKI is playing a very dangerous game with the EAG and according to sources lives in fear of his life bordering on paranoia, but it can also be attributed to his drug use, as it is a known symptom of prolonged cocaine use. It is rumoured in the Intelligence circles that Thabo needs a glucose drip in the mornings to start his day because of excessive drinking.
He is also under a lot of pressure from all the different secret groups, who each subscribe to him to act in a way that benefits themselves and threaten to expose him if he doesn’t comply. With so many people to please, it is the view of the author that he will not see through his term in office. In certain educated circles, it is already an almost conclusive fact that he will be replaced shortly by Cyril RAMAPHOSA (Annexure 10). There are just too many agendas between the role players (EAG, Wise Men and Islamic Extremists) together with the foreign influence.
The most recent information indicates that the EAG plan is much more complicated than described above. It doesn’t limit itself to just South Africa but the whole region of SADC. The final idea by the EAG is to have the SADC region to be a United States of Southern Africa. It wants USSA to be a Super power/region. If you combine the present SADC countries’ minerals together it can be done – all strategic resources can be found in the area. It can also explain the reason why it is important to have MBEKI to replace Kofi ANAN.
The plan fits in with the Globalisation/New World Order process. Also very significant is the speech that CLEARY (See Annexure 3 regarding CLEARY involvement with EAG) had made to members of the SUPER LEAGUE (Annexure 4) regarding Globalisation.
Recent information indicates that especially MI/CCB had been able to successfully infiltrate most of the top structure of SADC countries’ political figures. The author knows certain of these syndicate leaders personally. A leader in SADC that doesn’t want to co-operate is simply overthrown. It therefore can explain the destabilising of the region since 1994; all SADC countries since 1994 experienced some form of destabilising and in most cases it can be linked back to the South African Intelligence Services. It is important to note that part of the Wise Men’s plan also includes destabilising SADC for the same reason as the EAG. The EAG is at this moment very active in neighbouring countries to South Africa forming alliances with politicians and settling into the economies.
A resent article in a French newspaper mentioned that Thabo MBEKI had made a secret deal with the Americans to support him to be the follower of Kofi ANAN as Secretary General of the United Nations after his second term.
The newspapers already speak of Cyril RAMAPHOSA (Annexure 10) as the next President as soon as 2003 and the author had reported it already in 1996. However this plan is very flexible. At this stage Thabo MBEKI is doing such a great job in distracting the ANC that it might be decided to let him continue doing so. If RAMAPHOSA comes into power, it will be for about a maximum of four years before the next phase of the plan will evolve, namely the repeating of the European history of the 1940’s, but only in the form of an USSA. Herewith Figure 1 showing the EAG structure. The same model can be applied to all SADC countries.
The author was aware of the existence of the second group, the WISE MEN, but not to what extent until now. Their objective can be traced back to the strategic plan from the cold war days drawn up by the USSR and China.
The Wise Men are the modern version of the PRESIDIUM of Communist ideology. Information regarding the Wise Men (WM) came from four high-profile persons.
Source A was an arms dealer for the former apartheid regime and presently a spy for SASS/DIS investigating the ADLER group, and source B was part of the Special Projects Unit that was set up by Thabo MBEKI. He also introduced the author to Winnie MANDELA, Riaan STANDER and Mathews PHOSA. Source C is a prominent politician and source D, a high profile businessman.
Source A is also close friends with various high profile persons including Sydney MUFAMADI. According to another source in the Scorpions, there is a document at the Department of Trade and Industry stating that source A and MUFAMADI are involved in Exxon. It is important to look at the involvement of Wolfgang BAUER and Gunter POLTZL, former friend/associate of CHAUVELLI, LIPMAN of Lipman Jewellers and Andrew MZIZI of the Inkatha Freedom Party [IFP] in the Exxon deal. The first person that informed the author about the existence of the Wise Men was source B. He mentioned that the group meets once a month and consists mostly of the old guard from the Rivonia trial. Source B mentioned four people, Essop PAHAD, Bill VENTER, Govan MBEKI and Walter SISULU, but apparently there are about ten people in this group. Subsequently, source A also mentioned Danie CRONJE, Chairman of ABSA.
Source D mentioned to the author that Cyril RAMAPHOSA, to whom he speaks at least once a week, and various other high profile Reconstruction and Development Program (RDP) appointees, have mentioned to him that they (RDP appointees) can’t do anything without the approval of the Wise Men (WM). Every speech that the RDP appointees make is written by the Wise Men.
Further confirmation of the existence of the Wise Men came from source C. The source had mentioned to the author that Mathews PHOSA, Tokyo SEXWALE, Cyril RAMAPHOSA and others had tried to stop the Wise Men during the ANC congress in 1995. According to the source Nelson MANDELA had told them at the congress that all major decisions within the ANC would be handled by the Wise Men. It is possible that Nelson MANDELA is now also a member of the Wise Men.
The methodological approach of this group is also multidimensional. However, the major threat of the Wise Men is in that they are hardened Communist. To be more accurate, it is a modern version of the old communist presidium. In communist ideology the presidium consists of the persons behind the scenes, primarily controlling/watching over the government, but also overseeing that the ideology is implemented throughout. Therefore, they also will try to act as catalyst against the EAG. To illustrate practically, Gibson THULA (Chairman of the South African Diamond Board), who is part of the EAG plan, will be neutralised by the Wise Men by dissolving the Diamond Board and establishing a new government-controlled institution. In sport there are many more examples. The “government” is taking control of all major sports, particularly traditional white sports. Typical communist doctrine is to alienate the people from their traditions on the one hand, but on the other hand to also get their hands on the money side. It is also apparent in the South African labour union situation, “government” implementations are one sided, which COSATU follows but not necessarily agreeing, while private implementations always have problems. Recently these differences are being used to create a rift between the parties that can lead to a split. This will be exactly what the EAG wants to achieve.
Also important to note is the apparent information that was leaked by the media during August 2000 that Cyril RAMAPHOSA formed part of an American/British plan to get rid of Thabo MBEKI. Recent Plot allegations now make sense considering that the EAG are closely connected to the CIA and MI6. This was part of the EAG plan in the beginning of 1996. However source C had mentioned to the author that this article that was published on 27 August 2000 in RAPPORT wasn’t actually correct. According to the source there was an assassination attempt on Thabo MBEKI. If this information is true it means that the Wise Men must be behind the assassination attempt, who in turn would try to blame it indirectly on the EAG. However, the role of the Islamic Extremists within the ranks of the Wise Men is also a point of concern, and it wouldn’t be a surprise if they had a finger in the pie regarding the assassination. The Wise Men are also unhappy with Thabo MBEKI because of his drug and drinking problem. If the assassination attempt were done by the EAG, there wouldn’t have been an article about Cyril RAMAPHOSA.
Taking into account that source D had said Cyril RAMAPHOSA is also under control of the Wise Men, the article must be the work of Thabo MBEKI. Strategically it makes great sense because the one problem the Wise Men and the EAG have is the fact that there is no obvious replacement for MBEKI. As a source in the scorpions had mentioned on various occasions to the author is that Cyril RAMAPHOSA is the actual number one person within the ANC. Therefore for MBEKI to survive he has to neutralise RAMAPHOSA while explaining allegations of the plot.
Because the Communist and Islamic ideologies are so close, the question regarding the role and influence of the Islamic Extremists must be put under a microscope, as well taking into account that the KABAL is financially supporting the Wise Men. On Sunday, 10 September 2000, almost all the papers mentioned that PAGAD is behind the terror campaign in the Western Cape and that they get support from abroad.
This is fact, but what the papers failed to mention was that:
1). PAGAD is only one organisation of many in the Muslim fraternity, and
2), the main issue is that South Africa forms part of a worldwide program by the Islamic Extremists. Muslims occupy some key government positions. These individuals, within the ANC government, are using their positions of authority to promote anti-Zionist sentiment. This strategy can clearly be seen in the build-up to the anti-racism conference that was recently held in Durban.
It is also important to note the apparent involvement of Muslims in the various big Government contracts like the arms, C-cell and taxi industries.
Cyril RAMAPHOSA told Generals Constant VILJOEN and Tienie GROENEWALD on a hunting trip they took him on before the ’94 elections, that he would always be a communist. The only problem with communism previously was that they never gained control over the economy. They still do not control the economy and never will, because the EAG does, but they do control almost all RDP appointments with an iron fist. All press releases and public speeches of these RDP appointees are overseen by the Wise Men.
According to source D these appointees live in fear and he had never seen anything like this before. They will go against their own better judgement but not against the Wise Men.
The Wise Men make extensive use of the media (an old communist instrument) to disguise their (ANC alliance) incompetence and blame all their “weaknesses” on apartheid. This is a very dangerous game the Wise Men are playing because they are busy with a process where they alienate white and black and in the process cause more racial divisions than apartheid ever did. Isolated racial incidents are blown out of proportion creating the false impression that it is the norm. As far as possible they also don’t allow any publicity that might be harmful to them. In essence there is no difference between the old apartheid censorship and the present “censorship”.
The Wise Men also started creating business for themselves because of the fact that the economy is controlled financially by the EAG. If you look at simple things like number plates, new drivers’ licences, new passports, new firearm laws to mention but a few, it all costs money. It also benefits certain people. It is interesting to take a look at which people got these tenders. Take then into account these people whom own their own businesses, cannot speak freely and have to get approval of the Wise Men before they are allowed to make even a public speech. It is then pretty obvious that the Wise Men/PRESIDIUM/communism is very much alive and flourishing. It goes beyond comprehension how the ANC can allow this to happen, considering that the SACP only has about 18 000 members. If you look further into the privatisation of ESCOM, TELKOM, TRANSNET and DENEL, it will be quite interesting to see who are going to be the major shareholders.
More evidence of the communist nature of the “government” (Wise Men) is the name changes of streets, towns, airports, dams, etc. This is typical of communist tactics. What amazes the author is that there are supposedly educated people among the people of colour, but these people although openly (not publicly) unhappy about the situation in the country, don’t try and rectify the situation either by becoming involved with politics or by publicly supporting somebody else. But taking into account what the author exposes, it should not come as a surprise that people don’t want to become active in politics because of the rotten nature of South African politics.
Another point to take into consideration is the role of DIS. DIS “was” the ANC Intelligence agency. Within DIS there were different departments. One of them was, or still is the security department of DIS. Most of these people are presently in directorships or higher positions in the Intelligence services. Who are these people loyal to? South Africa? No.
Major countries supporting the Wise Men are China, Russia, Pakistan, Libya, Palestine, Iran, Iraq and India. Taking into account how many of them are also Muslim countries, the reader will begin to understand the enormity of the problem. It also becomes logical to ask oneself about the relationship between communism and the religion of Islam.
The most recent information indicates that the Wise Men were infiltrated by the EAG when it became apparent that the EAG had been exposed. It also serves as a mechanism to identify problem areas that hadn’t been covered by the EAG’s initial plan. One of the other main reasons for the Wise Men is to create friction within its own ranks without causing too many problems for the white group EAG, is because it is black on black confrontation. It also serves as a bridging group to the Islamic Extremists. Infiltrating and establishing the Wise Men by the EAG is a typical example of the EAG conniving to position themselves for manipulation purposes, but it also shows the tactical brilliance that makes them very dangerous.
What’s particularly worrying, are RDP appointments within government, especially in strategic and sensitive positions.
Figure 2 below shows a basic structure of the Wise Men. It should be mentioned that the basic model of Figure 1 can be applied throughout all three groups, but figures 2 and 3 are additional to the basic model.
The third group, the ISLAMIC EXTREMISTS’ activities are also known. An illustration is hereby included (Figure 3). They are busy with a seven-year plan for South Africa. The American Muslim leader FARRAKHAN of the NATION OF ISLAM organisation, who visited South Africa a couple of years ago, is extremely active in South Africa. Their activities and recruitment process is far more advanced than anybody would like to admit. Their objective is to make South Africa a Muslim state.
They are busy with an extensive programme of recruitment, especially in the rural and poor areas, among blacks. This group makes extensive use of the high levels of crime to recruit blacks. Even the notorious robber Chauke converted to Islam.
The best recruits go for more advanced training in Johannesburg, Durban and Cape Town. The best recruits from here go abroad, especially to Afghanistan and Lebanon. As indicated by the author earlier in the chapter, ties need not be with the Extremists alone because Islam is a way of living, not just an ideology. The ties can also be to ordinary Muslim organisations.
The Israel foreign Intelligence agency, MOSSAD, has been monitoring these activities for quite some time and has developed an extensive network in South Africa. (MOSSAD is making use of AIN as a front). AIN is the link between the HIZBOLLAH (A MOSSAD operation gone astray) and PAGAD.
But with the Islamic Extremists already firmly entrenched in the South African Intelligence services, they have started with a counter operation through the official structures. Police Intelligence has for the past five years been busy with an investigation into MOSSAD activities in South Africa. When the author mentioned this to Bertie JACKSON and Ivan PILLAY of SASS, they then mentioned that the police had stolen the project from SASS. Mo SHAIK, a Muslim and senior member in NICOC was responsible for the exposure of Operation VULA of the ANC, according to Percy SONN of the Scorpions. According to a source within the Scorpions, NIA is to blame for the PAGAD violence in the Western Cape, comprising prominent NIA agents. Even the weapons are supplied by NIA and AIN, taking then into account that the gangster violence is also linked to NIA, and the DG for the Western Cape is Dr. Neil BARNARD of EAG.
Essop PAHAD, the Minister for the state President’s office is also a Muslim. Within certain circles in the Intelligence community, any discussion around Muslim activities is conducted separately, without any Muslims being present in the room. He is apparently also one of the Wise Men and is also part of KABAL. The role of KABAL within the Wise Men must also be taken into consideration together with the influence that the Extremists can exert. As mentioned before, the Extremists could well have been behind the assassination attempt. By neutralising the natural follower RAMAPHOSA, they might have thought that a person like Essop PAHAD stood a chance of becoming President because of his position in the SACP. The reason the author doesn’t include Jacob ZUMA in the equation is because too many people still think of him as too uneducated and he had fallen out of favour within the National Working Committee (NWC).
Telephone conversations between Dullah OMAR and the PAGAD leader during which OMAR warned PAGAD about police raids while he was still Minister of Justice and Intelligence, were available. Retired Commissioner Suiker BRITS headed these investigations and is now working with a private company AIN (Associated Intelligence Network – more about this organisation in Chapter 4). It is believed that AIN received their start-up funding from the MOSSAD. It must be taken into account that more bombs have exploded in the Western Cape, during the last two years, than during the whole period of the ANC military campaign against apartheid in the Western Cape.
The Islamic Extremists have infiltrated almost all-major state departments. NOCSA used so-called ‘apartheid sports’ to strengthen their own position among blacks in South Africa, but at the end of the day they stabbed the black officials in the back. It seems to the author that NOCSA’s real agenda, is to cause more division. It fits in with the Islamic plan.
They also infiltrated some of the other major political parties. Because of the similarity between them and communism, some of their operations are conducted together, but their loyalties stay with Islam. In most of the cases the different groups don’t know each other’s true identities or motives. The biggest foreign support comes from India, Pakistan, Iran, Iraq, Libya, Palestine and Afghanistan. But again to understand the underlying problem it might be a good idea to ask oneself the question: “Why is Israel involved in a war with these countries, and why is the West at “war” with these countries?”
Economically they look after themselves through major projects like the recently announced arms procurement program, by ensuring that the contracts are allocated to them (Annexure 11) (SHAIK brothers). THOMSON CSF (SA) is a French Intelligence (OLLIVIER connection) front company, used by the SHAIK brothers (Mo SHAIK former spy for SAP), to facilitate the deal. The Afrikaans newspaper, BEELD 19-09-00, confirms what Patricia De LILLE of the PAC said that the auditor general had found irregularities with the awarding of the contracts with the arms procurement procedures, and that people had received bribes.
In most of the RDP projects you will find a Muslim, and in most of the cases you will find the same people or their families, as with the arms procurement programme, you will find the SHAIK brothers’ names. The politicians, who are supposed to monitor that these things don’t happen, conveniently look the other way because people at the top, including Thabo MBEKI, had taken monetary bribes. To take the arms procurement programme as an example again, Joe MODISE, the former Minister of defence, had received money from British Aerospace (BA); MODISE, in turn had given money to MBEKI. General Lambert MOLOI (Joe MODISE’s brother-in-law) was instrumental in hiding this money through different companies, including Vuvani Projects.
The question can be asked why Lambert MOLOI is also involved in a company, UBAMBU INVESTMENT HOLDINGS, with OPM/UKUKHULA, a SASS front company. This is how the RDP programmes are managed. The most important factor is that the so-called re-investment programmes are mostly given to Muslim controlled companies. Even the Auditor General in South Africa is a Muslim. How on earth will it be possible to uncover and make irregularities public? The present process is suspect to say the least.
The author wants to make it clear again that this is not an attack on anybody, but questions have to be asked on about what is going on in South Africa? If one wants to build a house, the owner will want to know about the quality of the building materials. The same principle applies to the governing of the country; people have to know what is going on, it is their children’s future they are playing with.
Minister Steve TSWETE confirmed on South African Broadcasting Corporation (SABC 2) News on 11 September 2000 that South Africa can become a second Algeria. According to the Minister, the Islamic Extremists are waging a Jihad (Holy War) against South Africa and the situation can escalate into a full scale urban terrorist war (The most disturbing fact is that the EAG, through PAGAD agents, supports this process. Again the EAG are involved). The author’s contact in the Scorpions had mentioned that the Muslim Extremists want to turn the Western Cape into a Muslim state.
P. W. BOTHA had on occasion warned Nelson MANDELA that the Islamic Extremists would destroy the ANC.
The purpose of this chapter is to show the reader the extent to which the Intelligence infiltration into the various political parties has taken place.
THE AFRICAN NATIONAL CONGRESS (ANC), CONGRESS OF SOUTH AFRICAN TRADE UNIONS (COSATU) and SOUTH AFRICAN COMMUNIST PARTY (SACP)
People who were in exile because of their support for the ANC never exceeded 50 000, so they were not many. Senior Intelligence analysers established that most of the so-called comrades who left the country after the 1976 riots where actually common criminals. It was from this angle that ANC informers where recruited and others contaminated before they where recruited as well. Others that were not susceptible just got mothballed by their peers. If the ANC doesn’t get rid of these people, the country will never survive and secret forces will cleverly manage the country as they wish and South Africa will become another Africa statistic.
The political situation regarding the ANC, COSATU and SACP through EAG eyes can be analysed in four phases. The first phase was for the EAG to determine who the leaders were and who would become leaders within the ANC and its alliances. The second phase was to establish whom in the ANC and alliances already were on the payroll of the four different Intelligence establishments of the South African Government, as well as International Intelligence agencies’ payrolls. NIS gave a list of all the ANC spies, during the apartheid era, to PRESIDENT NELSON MANDELA. In other words the Intelligence structures were aware of the spies.
Confirmed spies and contaminated people at this moment in time are:
Legend: [C] = Contaminated (S) = Spy
Thabo MBEKI [C]
Jacob ZUMA (S-MI)
Cyril RAMAPHOSA (S-Security police)
Joe MODISE (S-MI)
Mathews PHOSA (S-MI)
Tokyo SEXWALE [C]
Sydney MUFAMADI (S-Security police)
Dullah OMAR (S-NIS)
Jeff RADEBE (S-?)
Billy MASETLA (S-?)
Siphiwe NYANDA (S-?)
Mo SHAIK (S-POLICE-Brig.Osie OOSTUIZEN)
Irvan KHOZA (S-MI)
Desmond TUTU [C]
Allen BOESAK [C]
Joe NDLANDLA (S-?)
Tony YENGENI (S-?)
There are some females within the cabinet as well, but the author does not know who they are.
The third phase for the EAG was to decide who would have to be phased out and be replaced by EAG choices as well as the best tactics to achieve these goals. Since late 2000 some of these people had become targets of the Wise Men.
The final phase was management.
To find the leaders there has to be an understanding of the different groupings within the ANC. There are five major groupings namely:
The Robben Island group that was manageable and would form the first five years of “democracy”;
The Lusaka group that was completely contaminated and who is now in power;
The South African Communist Party (SACP).
The labour union COSATU that was completely infiltrated and
The United Democratic Front (UDF), plus others.
The leaders that had been identified by the EAG were Nelson MANDELA, Chris HANI, Thabo MBEKI, Joe MODISE, Sydney MUFAMADI, Dullah OMAR, Mathews PHOSA, Jacob ZUMA, Cyril RAMAPHOSA, Tokyo SEXWALE, Tito MBOWENI, Steve TSWETE, Jeff RADEBE and Joe NDLANDLA.
The EAG found that many of the ANC stalwarts and their alliance leaders were already on the Intelligence community’s payroll – people like Joe MODISE, Dullah OMAR, Jacob ZUMA, Cyril RAMAPHOSA, Ivan KHOSA, Mo SHAIK, Billy MASETLA, Jeff RADEBE and Sydney MUFAMADI, to mention a few.
Nelson MANDELA was not on the payroll but he could be influenced. Nelson MANDELA didn’t want to appoint Thabo MBEKI; it was a Wise Men choice as his successor, while all of them knew of Thabo MBEKI ‘s drug problem.
Nelson MANDELA wanted Cyril RAMAPHOSA to be his successor. Why would Nelson MANDELA appoint the spies as senior Ministers when he knew of their treason? The only logical answer to the author was that he had co-operated with the EAG. Joe NDLANDLA was on the East German payroll according to self-confessed former spy from East Germany Rudolf WOLLENHAUPT (department K1,2) and therefore indirectly controllable from South Africa (see chapter six).
The network of informers, on the payroll of the Intelligence community, goes far beyond the few top structure informers. Each town council in South Africa today has at least one informer in it, working for one of the Intelligence services, and in some cases each of the Intelligence services has an informer in the same structure. The point that the author wants to make is that there is no shortage of informers for the Intelligence services within the ANC/COSATU/SACP alliance. Now it is just easier because they spy for the ANC, again costing the taxpayer a lot of money.
Cyril RAMAPHOSA, who was head of COSATU, had already been recruited when he was an activist in Carltonville (A photo of him having a braai with his handlers in the security branch is available, and is filed in the archives of the Security branch Intelligence counter-espionage section). If you understand in which way the Intelligence services operate, you would understand that they would never allow a successor to Cyril, who was an informer, to be succeeded by a non-informer. You can say with almost 100% certainty that Cyril’s successors would also be informers. Tito MBOWENI was Cyril RAMAPHOSA’s successor in COSATU, and a picture starts emerging that doesn’t look good. The picture only becomes clear when you see that Tito MBOWENI is the new Governor of the South African Reserve Bank. The EAG for all practical purposes still controls the Reserve Bank. (See chapter three regarding the role of the Reserve Bank and Chapter five in regards to MBOWENI drug use.)
In the third phase the Intelligence community started a process where the Civil Co-operation Bureau (CCB) contaminated prominent leaders through drug activities. It was so successful that even New Africa Foundation, an ANC economic organ, recieved major spin-offs from the capital it generated.
The ANC/SACP/COSATU alliance also made it very easy for the Intelligence community because of the policy within the alliance where crime was allowed to generate funds for the ANC. The crime for money policy become quite active after the 1976 uprisings when many of the people were actually ordinary criminals who fled the country and joined the ANC to escape arrest. Military Intelligence especially, had exploited this turn of events by recruiting these criminals to infiltrate the ANC. The operation was such a success that they even managed to contaminate some prominent leaders within most of the SADC countries.
Even today, these operations are still active and are exploited by the three secret groups. The ANC will never be able to stop these activities, unless they get rid of these criminal elements. Looking at corruption within the government and provincial structures, which, for all practical purposes, is committed by ANC members, the reader will get a better understanding of the problem that South Africa is facing, and is presently much more dangerous than any other given time in the South African history. The reason for saying this is because presently a culture of corruption has been created that will stay with South Africa for a very long time. This exacerbates the problem in that there aren’t many real alternatives for South Africans, seen from a political perspective.
It is a well-known fact that Thabo MBEKI was locked up in LUANDA in ANGOLA on drug charges in 1983. People that have been contaminated through drugs are Thabo MBEKI, Mathews PHOSA (confirmed MI informer), Tokyo SEXWALE and Cyril RAMAPHOSA (confirmed Security police informer) to mention a few. Even the chairman of the South African bid committee for the 2006 World cup soccer Ivan KHOSA (confirmed MI informer) is presently still involved with drugs.
There were also other operations. NICO SCEAVER contaminated JEFF RADEBE, a confirmed informer. When SCEAVER was in jail he met RADEBE and they became friends, SCEAVER was apparently recruited by Craig WILLIAMS, and apparently involved in the ESCOBAR operation/assassination together with the CIA.
In another operation some top business people within the ANC were contaminated. The SAPS Organised Crime Unit had 80 hours of video material on S.K.MASHELE. He thought he was working for British Intelligence MI6. One of the companies that had been used to launder drug money was KILIMANJARO INVESTMENTS and the directors are: Richard MAPONYA, Ivan KHOSA, Gibson THULA, adv. T.L.SKOYIYA, DR P.J.A. MTHAFUDI, L.J. MTHAFUDI and C.L. COBUS. KILIMANJARO was established to get shares in Coca-Cola, according to Richard MAPONYA. According to a source several people had been approached, including Desmond TUTU and Allan BOESAK to join KILIMANJARO and in return they had each received $25 000.
For all practical purposes the idea was to contaminate the involved parties. Ivan KHOSA is now one of the 27 syndicate leaders that the police are investigating. Gibson THULA was a former IFP member and then married into an ANC family and subsequently also joined the ANC. The author would be surprised if this isn’t just another Intelligence operation by the EAG. Gibson is now head of the South African Diamond Board. Strategically it is a very important position for the EAG if one is involved in big diamond smuggling, for instance with an old ally, UNITA. Taking into account that Victor BOET, a RUSSIAN pilot, and apparently also involved with the RUSSIAN Mafia, acknowledges that he was also flying arms to UNITA for Magnus MALAN, and it is no secret that UNITA pay with diamonds.
Chris HANI would have become the next President, but he was too radical for the National Party and knew too much about the contaminated group, so the EAG with the knowledge of MBEKI, eliminated HANI. According to latest information the command to assassinate HANI came from Tito MALEKA, head of security at Shell House and close confidant of Thabo MBEKI. Nelson MANDELA also knew of the assassination, according to a member of the family of a former secretary of President MANDELA. This can also be one of the reasons why Thabo MBEKI is so scared of an assassination attempt, because he knows how easily it can be arranged. Commissioner RADU was also killed and Commissioner Suiker BRITS wanted to re-open the investigation, taking into consideration that MUFAMADI was the driving force behind RADU? It never happened and Suiker BRITS got a major package from AIN (See chapter four).
The MANDELA era would be utilised by the EAG, with their informers strategically placed, to start a destabilising process that can go on naturally during the next era of Thabo MBEKI. Nelson MANDELA is fully aware of this situation, and one of the criticisms from an Intelligence point of view was that he couldn’t keep a secret. He confronted Thabo MBEKI with the facts, and Thabo convinced Nelson that he was innocent. Nelson believed Thabo and as they say, the rest is history. It was, and still is very easy to convince Nelson. The Intelligence services were very successful in alienating his family from him. It is interesting to note the difference Nelson MANDELA is making to the Mozambican economy. Is Graca MACHEL really interested in Nelson MANDELA or is she using him to promote her own agenda? Is Graca MACHEL an agent for the MOZAMBICAN Intelligence?
MBEKI can control the process on behalf of the EAG after the Nelson MANDELA era. MBEKI, because of his drug use was and is controllable. MBEKI is very active in the process of destroying the alliance. Secretly leaked information on people who are not performing within government cause confidence levels, as well as loyalty to drop. Already within media of June 2000, people started speculating about when the split was going to happen within the alliance. There is wide acceptance that COSATU, and perhaps the SACP, want to form a new party to the left of the ANC. The SACP know that they will never be a factor as a political party because they do not have the support of the masses. However, to indicate just how weak the ANC leadership is, all major positions within the ANC are held by SACP members that indicates the extent of SACP manipulation. To illustrate how big a parasite the SACP is, you have to look at the present policy of the ANC and it’s alliances. It doesn’t even come close to official SACP policy, considering that the Wise Men form part of the SACP strategy.
Most of the EAG members are from the National Party. One of the most bizarre pieces of National Party politics would be to understand how Pik BOTHA managed to stay in the party, let alone in government, while most of the people within government knew he was working for the CIA and KGB. According to Tienie GROENEWALD who had met CIA director CASEY, CASEY had told GROENEWALD that never in his life had he met a person more morally corrupt than Pik BOTHA, and within five minutes what Pik knew, the CIA and the KGB knew. He masterminded the downfall of PW BOTHA.
Then there is Marthinus van SCHALKWYK, a self-confessed spy, who single-handedly destroyed the National Party. How much of this was planned by the EAG or the Wise Men, to force white South Africans into a specific political direction? Whatever the answer, they had achieved their goal. VAN SCHALKWYK was chairman of Youth for South Africa, which, incidentally, was an Intelligence project. VAN SCHALKWYK confirmed that he was an agent for the Intelligence Services.
Another source and a former Student Representative Counsel member of TUKS (Pretoria University) said that it was absolutely amazing how doors opened when you work with and for these people (he had worked for NIA). But, that the opposite was also true when you don’t do what they tell you to do and how doors close and how effectively a person can be discredited. The question the author wants to raise: how much control do politicians actually have?
The document (Annexure 12) indicates that NIA was actively involved through VAN DER WESTHUIZEN with the party. The writing style however is that of Military Intelligence. It is common practice to blame another Intelligence agency when one is protecting one’s own interests. In essence, ACDP was formed and managed through the Intelligence network. The new leader of the ACDP is also believed to be just an extension of VAN DER WESTHUIZEN’s activities. The ACDP’s role was to draw votes from the black Christians in the ANC.
INKATHA was again managed through the security branch of the SAPS in Durban. The handler of this project was now retired Colonel Louis BOTHA. With the establishing of UWUSA, the Inkatha labour union, protection to BUTHELEZI was given by Durban security branch. The whole launch of UWUSA was paid for out of the secret fund of the Security branch in Durban. The Security branch paid for the buses that took the supporters to the launch. Everything BUTHELEZI had needed was given to him through Louis BOTHA to INKATHA from the Security Branch of the then South African Police in DURBAN. It is now also history that the Intelligence structures gave military training to IFP to counter the ANC. Since 1998 the IFP has also received financial support from the CIA. BUTHELEZI told the author that he had heard that Thabo MBEKI’s uses cocaine.
The author has been told by a former Colonel, who had worked at counter-espionage of the Intelligence section within the Security Branch of the police, of rumours that the PAC was established by the South African Military Intelligence to counter the ANC. A senior member of the PAC also confirmed that the rumour also existed within the PAC. However, it is more likely that this was planned through STRATCOM by MI to cause an internal rift.
It was widely rumoured that Eugene TERRE’BLANCHE had worked for the Security branch of the police. Some former members made affidavits in this regard, confirming the rumour.
The BKA was also a Security branch project. It drew all right wing radicals within the farming community into an organisation that was monitored by the Security Branch. This made it very easy to identify all future suspects.
Although widely believed to be the only clean political party, it is not to be. The Editor of this party’s newspaper is working for SASS, as the author had explained in Chapter one.
Once again a lot of speculation went around that, the Freedom Front was established by the Intelligence community, to draw right wingers into a party to prevent a civil war. If one looks at the facts, it is quite possible that the rumours can be true.
Jaap MARAIS (now deceased) told the author he had proof that Constand VILJOEN and Tienie GROENEWALD had received money, but failed to say from whom and why. In advocate Piet PRETORIUS’ book, VOLKSVERRAAD, (later published in English as ‘SELL OUT!’) he mentioned that Tienie GROENEWALD was a NIA informer. Another source told the author that there were suspicions within the party regarding GROENEWALD because of an alleged housebreaking where GROENEWALD’S computer, with sensitive information on it regarding Freedom Front information, was stolen.
General Constand VILJOEN has not received amnesty for the Freedom Front’s planning of a military intervention, confirming that there was a plan for a civil war. It might sound contradictory; because the author has just mentioned that the Intelligence community established the party, but the NP government needed a party that would have been able to intervene militarily if the negotiations had gone sour. It again sounds contradictory to the reader, for if the negotiations hadn’t worked, the NP could have used their own power and intervened, as they would have had the Defence Force behind them. However, internationally the NP wouldn’t have survived if they had done so themselves, so they needed someone else to blame hence the reason why the Freedom Front was created. So if military intervention would have been necessary, they could have used the Freedom Front as a scapegoat and blame it on the right-wing elements in the country.
The initial plan by the EAG was to create the UDM as a power base against the ANC. As explained by the author in Chapter One, the plan was to create a political movement with former prominent ANC officials in it to draw the voters away. The plan did not work because HOLIMISA was not willing to co-operate and alternatives where created. To illustrate to the reader that they did try to use the UDM for this purpose, the author would like to say that in Annexure 3 it was mentioned that an EAG meeting (Lyttelton) took place that was also attended by Bantu HOLOMISA. Obviously Bantu HOLIMISA wasn’t falling for this plan and soon afterwards, Roelf MEYER left the party.
The author would also like to bring to the attention of the reader that MEYER, on the television program People of the South by Dali THAMBO, told listeners, in reply to a question from THAMBO of his relationship with Cyril RAMAPHOSA. He told of the time he spent in the townships and that one person in the townships told MEYER that he was Cyril’s friend. MEYER’s reply to this was that he did not want to tell the listeners what his reply was, but it was in the line of a new political movement.
The author was not involved in any possible investigations pertaining to the DP.
Although there is no evidence of direct Intelligence activity in the Democratic Alliance (DA), the party does have people in the top structure that where contaminated like Marthinus VAN SCHALKWYK.
The most important aspect of the economic side of the plan for the EAG was to create a way of getting into the inner circles of the International Bank Debenture trading. The plans consist of various phases, starting with stockpiling huge quantities of gold and platinum (See Chapter Five). The amount of gold and platinum that was taken out of the country illegally is about two thousand metric tons of gold and two thousand metric tons of platinum. With this much bullion in foreign banks, it didn’t take too much convincing for the different central banks and top 100 banks to allow the owners of this bullion into the inner circle. The bullion was used as collateral in high yield programs also known as Capital Enhancement Programs and/or Rolling Programs (See International Bank Debenture trading). The total amount generated was sixteen trillion US dollars according to a former agent of Directorate of Covert Information.
All the major first world countries’ governments were actively involved in the high yield programs, including Allan GREENSPAN of the Federal Reserve, according to TOERIEN, who personally liased with GREENSPAN. TOERIEN was assisted by one of Switzerland’s top spies Jurg JACOMED. Other central banks that were involved were the Bank of England, the Bundesbank, Royal Bank of Canada. Other major banks that were involved include Bank of Tokyo, Deutsche Bank, Bank Pariba, Union Bank of Switzerland, Credit Swiss, Natwest and City Bank.
Before the plan is discussed it is necessary to understand International Bank Debenture trading.
The following section has been prepared by the co-ordinator of SUNROCK, the source is a former MI operative. All the available information is largely a hypothesis of which, the basis is strong. The following is then his view of the MI source on the CAPITAL ENHANCEMENT PROGRAMME (CEP):
The issuance of bank (credit) instruments dates back to the early days of “banking” when private wealthy individuals used their capital to support various trade-orientated ventures. Promissory Notes, Bills of Exchange, Bankers’ Acceptances and Letters of Credit have all been a part of daily “banking” business for many years.
There are three types of Letters of Credit that are issued on a daily basis. These are Documentary Letters of Credit, Standby Letters of Credit and Unconditional Letters of Credit or Surety Guarantees.
The issuance of a “Letter of Credit” usually takes place when a bank customer (Buyer) wishes to buy or acquire goods or services from a third party (Seller). The Buyer will cause his bank to issue a Letter of Credit that “guarantees” payment to the Seller via the Seller’s bank, conditional against certain documentary requirements. In other words, when the Seller via his bank represents certain documents to the Buyer’s bank the payment will be made. These documentary requirements vary from transaction to transaction; however, the normal documents will usually comprise of:
-Invoice from Seller (usually in triplicate)
-Bill of Landing (from Shipper)
-Certificate of Origin (from the Seller)
-Insurance documentation (to cover goods in transit)
-Export Certificate (if goods are for export)
-Transfer of ownership (from the Seller)
These documents effectively “guarantee” that the goods were “sold” and are “en route” to the Buyer. The Buyer is secure in the knowledge that he has “bought” the items or services and the Seller is secure in the fact that the Letter of Credit, which was delivered to him prior to the loading release of the goods, will “guarantee” payment if he complies with the terms as stated in the Letter of Credit.
This type of transaction takes place every day throughout the world, in every jurisdiction and without any fear that the issuing bank would not “honour” its obligation, providing that the bank is of an acceptable stature.
The Letter of Credit is issued in a manner that is recognised by the Bank for International Settlements (B.I.S.) and the International Chamber of Commerce (I.C.C.), and is subject to the uniform rules of collection for documentary credits (ICC400, 1983).
This type of instrument is normally called a Documentary Letter of Credit (“DLC”) and is always trade or transaction-related, with an underlying sale of goods or services between the applicant (Buyer) and the beneficiary (Seller).
During the evolution of the trade-related Letters of Credit, a number of institutions began to issue Standby Letters of Credit (“SLC”). These credit instruments were effectively a surety or guarantee that if the applicant (Buyer) failed to pay or perform under the terms of a transaction, the bank would take over the liability and pay the beneficiary (Seller).
In the United States banks are prohibited by regulation from providing formal guarantees and instead offer these instruments as a functional equivalent of a guarantee.
A conventional Standby Letter of Credit (CSLC) is an irrevocable obligation in the form of a Letter of Credit issued by a bank on behalf of its customer. If the bank’s customer is unable to meet the terms and conditions of its contractual agreement with a third party, the issuing bank is obligated to pay the third party (as stipulated in the terms of the CSLC) on behalf of its customer. A CSLC can be primary (direct draw on the Bank) or secondary (available in the event of default by the customer to pay the underlying obligation). [Extracts can be found in “recent innovations in International Banking” – April 1986 prepared by a study group established by the Central Banks of the Group of Ten Countries and published by the Bank for International Settlements.]
As these Standby Letters of Credit were effectively contingent liabilities based upon the potential formal default of the applicant, they are held as “off balance” sheets in respect to the bank’s accounting principles.
This type of Letter of Credit is commonly referred to in the market place as a “3039” format. This number is not found as a specific ICC400 (1983) reference and is purported to be a federal court docket reference number, which is related to a lawsuit involving such instrument.
During the period when SLC’s were being evolved and used, the banks, and their customers began to see the profitable situation created by the “off balance sheet” positioning of the instruments. In real terms the holding of the Standby Letter of Credit was attributed to a “contingent” liability and, as such, was held off the balance sheet, therefore in an unregulated area.
Due to constraints being imposed on the banks by regulatory bodies and government control, the use of these “off balance sheet” items as financial tools to effectively adjust the capital asset ratios of the banks, was seen to be a prudent and profitable method of staying within the regulations and yet to achieve the needed capital position.
At request of Central Bank Governor’s of the Group of Ten countries, a Study Group was established in early 1985 to examine recent innovations in, or affecting, the conduct of international banking.
The Study Group carried out extensive discussions with international commercial and investment banks that are most active in the market for the main new financial instruments. The purposes were both to improve central-bank knowledge of those instruments and their markets as the situation existed in the second half of 1985, and to provide a foundation for considering their implications for the stability and functioning of international financial institutions and markets, for monetary policy, and for bank’s financial reporting and statistical reporting of international financial developments. Alongside this work the Basle Supervisor’s Committee has undertaken a study of the report of the prudential aspects of banking innovations and a report on the management of bank’s off-balance-sheet exposures and their supervisory implications was published by that Committee in March 1986.
The growth of these instruments has been enhanced by two influences.
Firstly, bankers have been attracted to off-balance-sheet business because of constraints imposed on their balance sheets, notably regulatory pressure to improve capital rations, and because they offer a way to improve the rate of return earned on assets.
Secondly, for similar reasons, banks have sought ways to hedge interest rate risk without inflating balance sheets, as would occur with the use of the inter-bank market. [Extracts can be found in “Recent innovations in International Banking” April 1986 prepared by a study group established by the Central Banks of the Group of Ten Countries and published by the Bank for International Settlements.]
To understand the logic behind the actual mechanics of the operation, it is necessary to look at the way in which a bank usually operates. The bank credit rating and status within society is judged by the “size” of the bank and its capital/asset ratio. The bank lists its real assets and its cash position, including deposits, securities, etc., against its loans, debits and other liabilities showing a ratio of liquidity. Each jurisdiction of the World banking system has different minimum capital adequacy requirements and, depending on the status of the individual bank, the ratio over assets, in which the bank can effectively trade, can be as high as twenty times the minimum capital requirement.
In simple terms, for every $100 held in asset/capital, the bank can lend or obligate at least $1,000 to other clients or institutions against the cash at hand.
The money placed on deposit by the bank’s customers is dealt with in a different manner to the actual cash reserves or assets of the bank.
If the bank disposes of an asset, the reluctant capital can be “leveraged” using the bank’s multiplier ratio, based on the minimum capital adequacy requirements.
To bring all of this into focus and identify the application of these points to the matter of the question, we will now make the following overview:
A bank receives an indication from a client that the client is willing to “buy” from the bank a one-year obligation zero coupon, and effectively unsecured by any of the physical assets of the bank, the credit instrument is based solely on the “full faith and creditworthiness of the bank”.
Obviously the format of the credit instrument must be one that is acceptable in a jurisdiction and freely transferable, able to be settled at maturity in simple terms and is without restrictions other than its maturity conditions. The instrument, which immediately comes to mind, is the Documentary Letter of Credit or Standby Letter of Credit. However, as the issue is not trade or transaction related, most of the terms and conditions do not apply. The simple “London Short Form” version of the Standby Letter of Credit is perfect. The text is specific and does not contain any restrictions except the time when the credit is validated and can be presented for payment. It is in real terms a time payment instrument due on or after one year and one day from the date of issue, usually valid for a period of fifteen days from date of maturity.
Standby Letters of Credit also serve as substitutes for the simple or first demand guaranty. In practice, the Standby Letter of Credit function almost identically to the first demand guarantee. Under both, the beneficiary’s claim is made payable on demand and without independent evidence of its validity. The two devices are both security devices issued in transactions not directly involving the sale of goods, and they create the same type of problems. [Extract can be found from the paper entitled “Standby Letter of Credit: Does the Risk outweigh the Benefits?” published in the 1988 Columbia Business Law Review.]
The blank piece of paper which is technically an asset of the bank valued at say two cents, is now “issued” and the text added in say “ten million U.S. Dollars face value”, signed and sealed by the authorised bank officers. The question now is: “what is the piece of paper worth?” Is it worth two cents or US$ ten million, bearing in mind that it is completely unsecured by any tangible or real asset? In reality it has a “perceived value of US$10 million” in 366 days’ time, based upon the “full faith and credit of the bank”.
The next question, which must be asked, is: “Will the bank honour its obligation when the bank note of credit is presented”? This will, of course, depend upon the reputation and credit worthiness of the issuer.
Having now arrived at the “belief” that the “value” is US$10 million in 366 days’ time, the “Buzzer” must negotiate a price, or discount, which is acceptable to the Bank to cause it to “sell” the credit.
To arrive at the sale price one has to determine the accounting ramifications of the sale. The liability is US$10 million payable “next year”, and it is important to note that the reason for the one year and one day period is to take the liability into the next financial year, no matter when the credit is issued. The liability is held “off balance” sheet and is technically a contingent liability, as it is not based upon any asset. On the other side of the model, the bank is to receive cash from the “sale of an asset” and the cash is classified as capital assets, which in turn are subject to the ratio multiplier of say ten times.
So in real terms, the issuing bank is to receive say 80% of the face value upon sale which is US$80 million cash on hand against a forward liability of US$10 million in one year and one day’s time, the actual contingent liability being US$2 million. The cash received, US$8 million allows the bank to lend ten times this amount under the capital adequacy rules, so US$80 million is able to lend on balance sheet against normal securities such as real estate, etc. If the interest rate is say 8% simple and the loans (without taking into account the principle sums loaned) from interest alone is equal to US$6,400,000.
At the end of the year the credit is due for payment against the cash on hand and the interest received; in other words, US$8 million plus US$6,400,000 which total US$14,400,000 less the US$10 million shows a gross profit of US$4,400,000 or 44% plus the full value of the loan amounts (principle).
The reason for issuing the credit is now obvious, the resultant yield is well over the given discount and the bank is in a profitable position without risk. They have achieved a greater asset yield than by any conventional means.
There is a greater underlying reason that is also indicated if an overview of the complete supply system is taken. To understand the system one must take a view, which is not supported by any physical evidence, but is indicated by actual occurrences of events.
If one assumes that the money supply requirements for a specific period shows a need to print, say US$100 million of new issue currency, and the US Treasury is required to issue some, the impact of the release of those “new” dollars in terms of inflation and market effect is quite strong.
If, however, the US Treasury through the Federal Reserve Bank was asked to forward “sell” those Dollars for “cash,” the amount of “new” Dollars today is reduced by whatever amount is being yielded. If we take the case in question, suppose the Federal Reserve Bank had “contracted” with a major world bank to “issue” Dollar denominated one year of entities so that the “sale” did not appear “on market” and that the “sale” was at a discount of say 80% of face value. The cash yield back to the US Treasury would be US$80 million against a Dollar credit of same amount to the issuing bank, with the bank taking a US$100 million liability position at maturity date.
The US Treasury has now received US$80 million in cash back in from the market/system and need only print US$20 MILLION to meet its current obligation to the money supply. This is 20% of the original amount and, as such, its impact on the system is greatly reduced. Of course, if the amount sold is greater than the money supply requirement, the US Treasury has a reduction, which allows lower interest rates to be maintained and/or controlled.
The long-term position is not affected as the bank has taken on the liability – not the US Government. The Dollar credit is classed as “cash” for the purpose of capital adequacy and is not required to be physically “printed” as such. A simple ledger entry is sufficient.
The off market issue and sale of bank credit instruments is controlled by simple supply and demand techniques, and all US Dollar denominated paper is “issued” through the Federal Reserve Bank.
To do this, the FRB enters into an understanding with the UST and the top 100 world banks, excluding state operated banks, American banks (with the exception of Morgan Guaranty), Third World banks and any other banks that may have a capital/credit problem. The current list (based upon the January 1992 Bankers Almanac) totals some 62 banks.
Each bank agrees to allow the Federal Reserve Bank to issue, on behalf, a specific amount of US Dollar denominated paper or the alternative applies where the Federal Reserve Bank allocates a specific amount to each bank. The details are not published and no physical evidence has been available to the author. In any case, the result is that a specific volume is available and the Federal Reserve Bank is now able to release it on demand.
The various bank papers are “pooled” together to give the total position each year, and it is from the “Federal Pool” that the supply contracts are issued. The existence of the “Federal Pool” is not confirmed. However, various documents, including GNMA transfer documents, contain a “Pool Number”.
The “Grant master collateral contracts” that one hears about, are effectively issued by the “Federal Pool”. It is indicated that these are usually issued in US$500 million units, with each minimum denomination being US$100 million. In other words, the minimum order is US$500 million contracts. From our research, it has been indicated that the “cost” or deposit for one of these contracts is US$100 million cash. This obviously reduces the number of entities who are able to participate.
One point which should be raised at this time, although the market places and issue of these instruments is “unregulated”, the banks are effectively controlled by the B.I.S. and self-imposed rules. Otherwise the whole system would be subject to possible manipulation and abuse by a bank, entering into a form of “insider trading.” This would be detrimental to the system and the long-term effect of some.
The entities who are the holders of the “grant master collateral contracts” are commonly referred to as “cutting houses”, as they usually reduce the size of the denomination from US$100 million to as little as US$10 million. They in fact “cut down the size of the note” hence “cutting house”.
The cutting house then in turn “sell” delivery commitments to wholesale brokers, the cost of such is indicated at approximately US$10 million cash.
In both cases the cash payment or deposit can be called upon if an order is not met or paid on time, and if called for the contract, holder would lose his contract and would be “blacklisted” in the system to prevent any new contract position. The rules are very simple; cash payment at all times for all notes ordered. This is a cash-driven industry, not credit.
It is assumed by the author that each cutting house would normally issue say 50 delivery commitments or “sub master commitments” at US$2,5 million each. Therefore, their deposit of US$100 million is now covered, plus a reserve of US$25 million. This is very similar to the normal activities of post betting where the odds are “laid off” to restrict exposure.
The wholesale brokers are responsible to feed the volume of instruments to the clients or customers who are at the retail distribution level and, subsequently, to the secondary market.
The issuing banks can be identified as the manufacturers of this product; in this case the product is bank paper. The Federal Reserve Bank can be identified as the importer (80%). The Federal Pool can be identified as the storage depot (82,5%) for the entire product prior to sale and are responsible for the bulk release to the regional distributors. The cutting houses can be identified as the regional distributors (85%) and are responsible for the release of units to the local distributor. The wholesale brokers can be identified as the local wholesaler (87,5%) who releases units on demand to the retail showrooms. The primary clients can be identified as the retail showroom (89%) that delivers the units to the public buzzers. The public buzzer exists in the secondary market (92-94%), such as pension funds, Middle East (Muslim) clients’ banks (to buzz on the secondary market is not classed as contrary to the rule). They hold the instruments until maturity and gain the preferred yield from the discount against the face value (100%) from the issuing banks.
The biggest problem encountered by the author regarding this matter is the contradictory and somewhat unusual attitude of the banks when any attempt is made to obtain any definite documents or undertakings. Bank officials have denied the very existence of these instruments, at senior level, and yet, within the same bank, requests to purchase said instruments have been received by the author.“In smaller markets only Governments are allowed to participate therefore knowledge/existence of this type of transactions in South Africa is limited and or denied.
“Also the regulatory position of these instruments creates a major problem for any regulated entity to participate. How can a regulated body handle an unregulated item!
It is the opinion of the author, based on all the information available that the main reason for most of the mystery and misinformation is quite simple. This is a sophisticated form of financial ‘engineering.’ It makes normal accounting principles a complete mockery and basically exposes the banking system for what it is.
In reality, the whole system is flawed, and is one that no one really understands; we based our daily life on a “paper house”. Nothing has really changed since the very first “money” transactions or even earlier, “I’ll swap you two blue shells for three red shells and I’ll give you three red shells for your XYZ goods”. The whole monetary system is based on “perceived value” including currencies, credit, and day-to-day life.
A bank note issued by the Bank of England is in reality an unsecured “Promissory Note” payable on demand. Its face value is its perceived value. However, if the word demand were changed to future date, of say one year and one day, the perceived value has now been reduced to cover the “cost of money” for the period.
If we were to discuss the value of one single fifty-pound note, the “value” today would be approximately forty-five pound. However, if we wished to “discount the present value,” several million of these notes, it is reasonable to expect that the “wholesale” buzzer would expect a better “price”. The note, however, still has a “perceived value” of fifty pounds and a present value of approximately forty five-pound.
Very little “cash” is used in the day-to-day operation of business; mostly it is in the form of ledger or “paper” entries. Even when a private bank account is used, over and above all transactions are “paper” driven not cash? A cheque is a “Promissory Note”, either unsecured or guaranteed by the bank up to a certain limit (cheque guarantee card). If a bank draft is “purchased” the draft is still unsecured but is perceived to be a 100% guarantee of payment.
The current trend towards “plastic” and “electronic banking” is an indication of the future and is based purely upon the amount of business, which takes place daily. The banks can no longer cope with physical “paper” and need to reduce each transaction to a simple ledger entry. The end result is less “money” and more “business”.
The use of these instruments as a medium for short-term investment is obvious, if one takes the differential between the “invoice” price and the “present value” and moves a client into and out of the instruments on a regular basis, the effective yield is substantial.
The downside risk is nil, if one retains strict protocol over the potential purchases, with a worse case scenario of the fact that the client would either not transact or therefore not be at risk. If an instrument had been purchased and for whatever reason could not be onwards “sold or discounted”, the client would automatically achieve a substantial yield based on the maturity value against the “invoice paper”.
The preceding document is a summary of the circumstances and evidence that has been presented and are based purely upon the same, as received. No representation is made or implied as to the legal position of the information contained therein or for any resultant losses, if so incurred as a result of the use of any of the referred to information.
Any potential investor or participant is advised to seek independent legal and/or financial advice before making any decisions regarding this type of investment.
The preceding information is considered confidential and is not to be copied, reproduced (in part or whole) without the express written permission of the author.
All Prime Banks of the world in one form or another issue prime bank instruments, also referred to as collateral or Prime bank credit instruments.
Generally the collaterals are issued in the following form.
Type of Prime bank debenture instruments: Prime Bank notes, or Prime Bank Guarantee’s.
This type of instrument is issued for a period of 10 or 20 years.
Also Standby Letters of Credit are another form of Debenture Instrument, however, normally Standby Letters of credit are only issued for a one year period.
What we hold are contracts with the following classifications and specifications.
1. Type of instrument
-Prime bank notes
Term of issuance
-10 years plus one day
-7,5% fixed, payable annually in arrears
Menu of issuing banks
-Top one hundred of the world with credit rating of A or better
2. Type of instrument
-Prime bank notes
Term of issuance
-20 years plus one day
-7,5% fixed, payable annually in arrears
Menu of issuing banks
-Top one hundred of the world with credit rating of A or better
3. Type of instrument
-Prime bank notes
Term of issuance
-10 years plus one day
-14% fixed payable annually in arrears.
Menu of issuing banks
-Top one hundred of the world with credit rating of A or better.
4. Type of instrument
-Standby Letters of Credit
Term of issuance
-One year plus one day
Menu of issuing banks
-Top one hundred of the world with credit rating of A or better.
The above-mentioned Instruments are sold through Grant Master Commitment holders.
They have the exclusive rights to sell the Instruments on behalf of the US Government and indirectly the eventual issuing Banks.
A Fiduciary Bank’s role is purely to protect the interests of the entity of whom the Fiduciary Bank is contracted to.
The Fiduciary Bank is normally placed between the buzzer of one commodity and the seller of that same commodity. This is being based on a trading situation.
With regard to Prime Bank Debenture Instruments, the process is much the same, the only difference being that the prime Bank Debenture Instrument replaces the commodity.
The vested interests of the entity contracting the Fiduciary Bank is primarily as follows:
Non-circumvention and non-disclosure of any party to the other protection of any trading profits which arise from any transaction.
These are the main principles behind contracting a Fiduciary Bank.
The technical aspects of the procedures are as follows:
The Fiduciary Bank must always act on behalf of the client at all times.
The Fiduciary Bank will receive either funding or collateral confirmation commitments.
Below is an example of a typical transaction:
A conditional bank purchase order and a conditional SWIFT wire transmission, as per exhibits 1A and 1B, are provided.
These are known as Conditional Funding Instruments and would be transmitted to the Fiduciary Bank by an agreed and accepted bank form. This is normally by key tested telex, issued from a bank of the top 200 in the world.
Upon receipt into the account of the party initiating the transactions, the Fiduciary Bank must authenticate and validate the authenticity of the Funding Instrument.
How does the Fiduciary Bank authenticate such a Funding Instrument?
A certain bank issues the Conditional Funding Instrument.
This bank has certain officers who are authorised to sign all conditional Funding Instruments on behalf of the bank.
One way to authenticate the said instrument is by checking the issuing banks authorised signatures through a bankbook directory associated with this type of banking.
Providing the signatures on the Bank Funding Instruments match those of the ones listed in the bank directory, the instrument is then considered to be authentic.
Please note there are other methods of authentication, which are internationally used and accepted.
Once the Instrument is considered to be authentic by the Fiduciary Bank, the Fiduciary Bank must issue an identical Funding Instrument to the collateral-supplying bank.
Hence protecting the identity of the purchaser and also confirming the actual invoice amount as per specified in the contracts deposited.
1. The Fiduciary Bank receives a Conditional Bank Purchase Order for the purchase of Standby Letters of Credit issued for a period of one year and one day, with an invoice price 85% of the face value (face value 100,000,000 US$).
The invoice price of which is payable to our Grant Master collateral suppliers is only 82,25% of face value.
2. Therefore, the Fiduciary Bank would then have to issue a Conditional Funding Instrument to the Collateral Supplying Bank to the amount of 82,25%.
3. This leaves an average of 2,75% to be held in the account of the party to whom the Fiduciary Bank is contracted.
4. On full completion of the transaction, the Fiduciary Bank would then deduct the agreed bank fee from the overage remaining in the client’s account, but only when the collateral supplying bank are in receipt of the Collateral Funding Instrument.
The reason for the implementation of a corresponding bank to front the transaction at hand is as follows:
Prime Banks, when engaged to perform these types of transactions, tend to be very restrictive with regard to assisting clients.
Logically, all Prime Banks of the world are involved in the discounting of their own Bank Debenture Instruments and obviously do not appreciate individuals transacting in this field.
Therefore, generally Prime Banks do not undertake to perform these transactions on behalf of a client directly.
This brings us to the point where obviously without the usage of a well-known international bank to act as our Fiduciary Bank, this leads to a situation that obstructs any further developments.
Therefore, The objective is to use a small private or commercial bank and in turn this bank would instruct one of their corresponding banks to confirm on their behalf. The private or commercial bank would, in turn, take instructions from the account holders prior to any instructions being transmitted to the corresponding bank.
1. Account(s) would be opened on behalf of the clients to lodge the said collateral contracts, this being in the private Commercial bank.
2. The said contracts would, in turn be placed in an account held by the private/commercial bank in a corresponding Bank.
3. The private/commercial bank would then transmit instructions to the corresponding bank via key tested telex or:
Another agreed form of bank communication to confirm receipt of the said contracts. This communication also confirming on behalf of the private/commercial bank an approximation of a window time when the private/commercial bank was anticipating confirming the first of the Conditional Funding Instruments.
4. In turn, the corresponding bank would receive, on behalf of the private/commercial bank confirmation with full bank responsibility, a guarantee to deliver the said collateral against a Conditional Funding Instrument in the agreed form.
5. Once received, the corresponding bank would advise to the private/commercial bank what had been received into their account.
6. In turn, the private/commercial bank would advise their account holders of what was received.
7. The account holders would then instruct the private/commercial bank where to advise the availability of the said collateral and in turn, the private/commercial bank would instruct the corresponding bank.
8. The corresponding bank, once the said confirmation was made to the Funding Bank, would then receive a Conditional Funding Instrument in the agreed form for the purchase of a specific Debenture Instrument.
9. Once received by the corresponding bank, the corresponding bank again, always on behalf of the client (private/commercial bank), would authenticate the Conditional Funding Instrument.
10. Once authenticated the corresponding bank must then issue a Conditional Funding Instrument in the identical format as received from the funding bank, the only difference being: The Corresponding bank would receive the gross amount agreed for the purchased of the said Debenture Instrument. In turn, the corresponding bank would then issue the new Conditional Funding Instrument for the net amount as per contracts in the said banks.
For example: The transaction consists of the purchase of Standby Letter of Credit in the amount of: US$500.000.000,00.
Agreed invoice price (gross) – 86,25%
Net invoice price – 82,25%
Trading differential: – 4,00%
The corresponding bank would receive the initial Conditional Funding Instrument in the amount of 86,25% of face value. The corresponding bank would then issue to the collateral-supplying bank a Conditional Funding Instrument in the net invoice of 82,25%.
The differential after all bank charges, as agreed, for both banks when deducted would be transferred to a parallel account opened in the corresponding bank for and on behalf of the clients who instruct the private/commercial bank.
Moving back to procedure
11. Once the collateral supplying bank receives the Conditional Funding Instrument, they will authenticate and validate the said Instrument, and in turn confirm the registration numbers, safe keeping receipts and any other applicable screening information relevant to the transaction. They will also submit an invoice for payment.
12. In turn, once the corresponding bank receives the verifiable screening information, they in turn will advise to the bank that committed the Conditional Funding Instrument, the verifiable information, along with invoice of payment.
13. The funding bank that receives the above-mentioned, then proceeds to authenticate. Upon authentication, the Funding Bank will be requested to make payment as per the invoice, and then release funds.
Also arrangements will be made for the delivery of the hard copies by bank-bonded courier. This being between banks only.
P.S. Please note all instructions will be given by the account holders, and the steps as indicated above will always be carried out on behalf of the client.
Please be advised of the following procedures regarding the placement and activation of the said master collateral (contracts).
1. A fiduciary agreement must be drawn up between the Fiduciary Bank and the Contract holders.
2. Opening of accounts to receive contracts.
3. The contracts will be lodged into one of the accounts provided.
4. Upon placement of the contracts into the account(s) provided, the fiduciary bank must acknowledge receipt of the contracts along with an approximation of a window time of when the Fiduciary Bank anticipates transmitting the first of the Conditional Funding Instruments. (Bank purchase order)
5. Upon receipt of point 4, the Collateral Confirming Bank, will acknowledge receipt of the above and confirm acceptance of the approximation of the window time to transmit the Conditional Funding Instrument, and further guarantee to deliver the required collateral’s upon receipt of the said Funding Instrument.
6. Upon receipt of point 5, by the Fiduciary Bank, instruction will be given to the Fiduciary Bank by the account holders to solicit the Funding Instruments to be confirmed by the Fiduciary Bank.
7. Upon receipt of point 6, the Fiduciary Bank must then confirm the availability of the Conditional Funding Instruments to the Collateral Confirming Bank. This being once the initial Funding Instrument is validated and authenticated by the Fiduciary Bank.
8. Once the said Funding Instrument is transmitted to the Collateral Confirming Bank, the Collateral Confirming Bank will transmit registration and cusip numbers to the Fiduciary Bank, this being for authentication.
9. In turn the Fiduciary Bank would then confirm the registration numbers and cusips to the original Buyers Bank.
10. Upon authentication by the Buyers Bank the said funds will be called for release by the Fiduciary Bank, in turn the said funds will be transmitted to the Collateral Confirming Bank.
Instructions will be given where hard copies of the collateral will be delivered to the Buyers Bank by bonded courier.
In turn, hold a master collateral contract between ourselves and several of the Grant Master Holders of the world.
The said instrument is discounted at various prices depending on the specifications of each of the issued instruments.
The reason for discounting the instruments is purely because of the volumes that are purchased.
The minimum amount that can be purchased at one time is US$100.000.000,00 with rollovers to US$500.000.000,00.
Hence the major buyers of these instruments are large Insurance companies, large corporations in the private sector, and in some cases Governments.
The instruments are discounted at the following prices:
1. Prime bank notes issued for a period of 10 years and one day, with interest coupons of 7,5% paid annually in arrears. (Herein after referred to as: PBN 7.5/10). Invoice price 73% OF FACE VALUE.
2. Prime bank notes issued for a period of 20 years and one day, with interest coupons of 7,5% paid annually in arrears. (Hereafter referred to as: PBN 7.5/20). Invoice price 63% OF FACE VALUE.
3. Prime bank notes issued for a period of 10 years and one day, with interest coupons of 14% paid annually in arrears. (Hereafter referred to as: PBN 14/10 ). Invoice price 85% OF FACE VALUE.
4. Standby Letters of Credit issued for a period of one year and one day, interest zero percent. (Hereafter referred to as: SBLC’S ). Invoice price 82,25% OF FACE VALUE.
Institutes, trusts, banks, and so forth purchase these Instruments for two main reasons:
An Insurance company purchases, say US$500.000.000,00 of SBLC’S at a cost of say 85% of the face value. In order to receive the equivalent of US$500.000.000,00 in face value amount, the investor would only have to pay: 85% of US$500.000.000,00 = US$425.000.000,00 thus giving an annual yield of more than 17% for the year long investment.
2. Project funding:
Large companies have required funding for various different projects for many years.
Until recently project funding in the normal conventional way was relatively simple for large corporations.
The reason: If a large corporation required a loan to commence the construction of a hotel.
Providing the lending source considered the hotel project to be viable, and the borrower had in the past a good track record with the funding institute, it was relatively easy to secure the required loan, not forgetting the project and possibly other assets had to be placed with the lending bank as collateral.
However, owing to the recent world recession, funding institutes, banks, trusts, have adopted the attitude that only clients who can provide a very attractive project along with some form of bank Guarantee, would then be eligible for a loan.
Therefore, many private individuals who then approach their banks for the Guarantee are rejected.
This leaves only two options:
1. Wait until lending conditions improve or change or:
2. Buy a bank guarantee, at a discounted rate and then in turn use the bank Guarantee to collateralise a loan.
A client purchases : PBN 7.5/10
Face value amount : US$100.000.000,00
Invoice price : US$73.000.000,00
Once the Guarantee is purchased at a cost of US$73.000.000,00, the client would then receive a Guarantee of US$100.000.000,00 with interest coupons of 7,5% p/a for a term of 10 years.
The client then confirms the Guarantee to a Funding Institute, along with a Viable Project, and subject to approval of the Project, would then receive from the Funding Institute amount of money equivalent to the face value of the Guarantee.
Bank Guarantee : US$100.000.000,00
Amount of loan : US$100.000.000,00
Less bank fees of 2% : US$98.000.000,00
Cost of purchased Guarantee 73% : US$73.000.000,00
Differential between cost of Guarantee and loan amount: US$25.000.000,00
If the above operation is performed in the mannerism as described above, then it would take four times the net amount received 4XUS$25.000.000,00 to have sufficient funding for the proposed project.
All that is necessary is to repeat the process four times.
After the first operation was successfully completed, the client would reinvest in the same way as in the first place.
What happens if the client with the project does not have enough assets liquid to purchase the Guarantees required commencing with the operation as described.
A situation then arises of which through a fiduciary bank working with our group, would assist in the following way.
A project would be submitted for approval, this being from the interested borrower.
Subject to approval by ourselves of the project we would proceed as follows: We would instruct our Fiduciary Bank to confirm to a Funding Institute Bank that collaterals can be provided as per the requirements of the Lending Institute.
In turn, and upon receipt of this communication, the Lending Institute would then confirm to our Fiduciary bank the terms and conditions of the agreed loan and proceed on a bank to bank basis it the conclusion of the loan.
Fiduciary Bank confirms on behalf of the client that upon receipt of good, clean and clear funds, bank Guarantees issued by a bank from the top 100 banks of the world would be available to collateralise a loan.
In turn the funding bank would then deposit funds in to the Fiduciary Bank conditionally to the delivery of the agreed bank Guarantee.
In turn the fiduciary bank would then confirm the availability of funds to the collateral supplying bank and purchase the bank Guarantee with the funds deposited by the Lending bank.
The bank Guarantee is then confirmed to the Lending Bank for authentication.
Upon authentication of the Guarantees the funds are automatically released and are no longer conditional.
The procedure is worked on a back to back basis, for example: Whatever conditional-funding instrument is confirmed to the Fiduciary bank, the Fiduciary bank issues the identical Funding Instrument to the collateral issuing bank. So the Fiduciary bank performs all movements on a simultaneous basis. The cost of the bank Guarantee for this operation is: 73% of loan amount.
The loan amount would be: 100% of the face value of the bank Guarantee.
Less bank charges: 2%
Total loan: 98% of face value of the Guarantee provided.
Again we then take the differential between the cost of the actual bank Guarantee and the net loan amount.
Cost of Guarantee : 73%
Loan amount : 98%
Differential : 25%
Again this process is repeated four times to obtain the full loan amount.
Upon completion of the first cycle as explained above, the differential (25%) is held in trust on our behalf by our fiduciary bank.
This being until such time as the full cycle of operations is complete.
Upon completion, funds for the proposed project will be administered by our Fiduciary bank and on our behalf as mandators for the subsequent trusts and funding institutes funding for the project would then be administered on the bases of stage payment being made concurrent to the stage and development of the project.
The difference between this format of project funding and the first is that the first example was based on trading.
The prospective borrower actually buys the Bank Guarantee at a discounted rate, and then uses the full benefit of having a Bank Guarantee with a higher face value.
However, in the second example where the borrower does not have the financial resources to purchase the Guarantee with their own funds, then the 2nd example comes into effect.
Therefore, the Lending Institute secures their full loan amount from the completion of the first stage.
A separate loan agreement is the drawn between the borrower and ourselves as mandators for the Funding Institute to administer the funding for the proposed project at the same time agreement are finalised regarding agreeing terms and conditions of interest and capital repayment of the loan.
Further, a first charge would be taken on the project as a second security.
The same format applies to buy and sell operations with regards to the disbursements of any trading overage, the only two differences being:
1. No project is required.
2. The trading differential is smaller, therefore making large quantities of funding available to make the differentials to the amount of the first example. One final point with regards to the straightforward buy and sell operations.
There are several reasons why the Debenture Instruments we have available are in demand.
1. Very discounted rates for investment purposes, and excellent return and annual yield for a US Dollar investment.
2. Portfolio Enhancement
E.G. Boosts stocks and shares of the corporation as well as asset base, if integrated into the portfolio of the purchasing corporation.
3. Purchase or bank Debenture Instrument for re-sale in secondary market. (Please refer to Secondary Market explanation)
Collateralisation for eventual project funding.
The secondary market“ (See Figure 4)“, as it is commonly referred to, is a market made of small private investors, banks, and trusts, plus security and brokerage houses.
Owing to different concepts adopted by institutes, banks, and private sector; investors create what is known as the Secondary Market.
What does the secondary market consist of?
Take current interest rates for depositors based in the US.
The current interest rate is currently around 3%-4% per annum approximately.
Many small investors within the US have liquid assets between US$5.000.000,00 and US$10.000.000,00.
Taking the current depository rates and the current inflation rate, it does not make good reading concerning any short-term investment plan.
Entities purchase Standby Letters of Credit at a discount rate of 85% of the face value. Owing to the low investment returns in the US at this moment, investors who have the possibility to yield 8% on a US Dollar investment tend to be many.
It should be remembered that although the depository rate is between 3%-4%, we must take into consideration the fact that American banks are not considered to be the world’s strongest banks.
Therefore, for long term deposits of one year, investors consider Standby Letter of Credit issued from a top 100 world prime bank as a secure investment: also, for example US treasury bonds but however, these bonds yield much lower rate of return.
Therefore entities purchase the Standby Letter of Credit at a discounted rate of 85% of the face value.
This process is very similar to “Bridging”.
Following purchase, they then deliver the Standby Letters of Credit to the trust who administer the programme and sell to the trust on behalf of the trusts and bank’s clients the Standby Letter of Credit at a price of 90% of their face value.
The investor receives 8% and the bank and trust receive 2% administration fees, once again the process is repeated and repeated, buy and sell, buy and sell.
The initial investor is an entity that is an investor trader in the money markets, familiar with all aspects of the process involved.
The secondary market consists of investors who are protected by the fund manager of the trust/bank and very content with the secure investment of virtually double current investment yields currently available throughout the USA.
The process can be rolled as much as three times per week, giving the major benefit to the initial investor, hence the reason for the demand of Debenture Instruments and the volume at which they are required.
Also, other Debentures are rolled on the same bases, not to the same demand.“
Rudi TOERIEN personally told the author that he had put together SUNROCK and that it was a Military Project. He also mentioned that he had worked for MI and Jurg JACOMED of the Swiss Intelligence Services and that JACOMED had assisted him with Sunrock. He mentioned that Magnus MALAN, Chris STALS (Annexure 13 -questionnaire from CEIX given to a source of the author showing CIEX is involved with SASS in investigations, Annexure 14 – Newspaper article confirming CIEX involvement with SASS), Danie CRONJE (See Annexure 7) and Barend DU PLESSIS were personally involved and that he had met them on various occasions. TOERIEN was also the person who had put together the structure regarding Project ODESA (Figure 4).
There is evidence that gold was smuggled out of the country in large quantities. One incident to evidence that there were people smuggling gold out of the country was with the arrest of Willem LOTTER at Lanseria airport with about 117kg of amalgam.
The pilot was Deon KRUGER. Both of them were observed through a NIA project at “DIE WERF” by people like Dr. Neil BARNARD, former Director General of National Intelligence Service (NIS) and Admiral Dries PUTTER. “DIE WERF” is apparently a known gathering point of the EAG, which is also the reason for NIA to monitor “DIE WERF”. According to some informed people in the case against LOTTER, it was mentioned that he would get off. They also mentioned that high profile ANC members were involved, including Cyril RAMAPHOSA, Tokyo SEXWALE and Thabo MBEKI. It is interesting that with the recent arrest of Ivan KHOSA, that the gold and diamond issue was mentioned. The reaction was typical of the three monkeys, “see no evil, hear no evil and speak no evil”.
Apparently, the amalgam/gold is transported through ZAMBIA, DAR ES SALAAM and then on to EUROPE. Alternatively, when gold bars were smuggled, the route was to South America where it was re-melted and put back into the system again. TOERIEN viewed the documents along with Jurg JACOMED (Annexure 15), a self-confessed co-operator with Dr. Wouter BASSON and General Lothar NEETLING. JACOMED, TOERIEN and MALAN met regularly, according to TOERIEN, in regard to SUNROCK.
A South African attorney was arrested in Zambia for gold smuggling; apparently his surname is VAN NIEKERK (Annexure 16- Special Projects Unit Report) and had formed part of the SPECIAL PROJECTS UNIT investigation before it was disbanded amid major controversy. According to members of the disgraced unit they also had evidence of MI involvement. There where also allegations regarding the involvement of Dr. Claudio ANTONI.
The author had personally seen documents that TOERIEN had shown him regarding 872 metric tons of platinum in the trust of Dr Ericson DOMINICK. According to TOERIEN who had received the documentation from JACOMED, DOMINICK was representing Pik BOTHA. Sir Gustav SUSSE (Annexure 17) (born in GERMANY on January 5th, 1943) is the European chancellor of “THE KNIGHTS OF MALTA” (Also see Chapter Five) and President of the Hamstead Trust took over from DOMINICK as manager of Pik BOTHA’s trust.
To summarise the gold smuggling, there should be no doubt that the EAG were involved through the Intelligence machinery.
The schematic illustration below, Figure 4, on the construction of project ODESA was given to the author by TOERIEN:
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Figure 4 continued:
The foregoing schematic illustration, according to Rudolf WOLLENHAUPT, is about 75% complete. As explained in the preface, the author’s aim with the book is to show the links and not to uncover every detail, because it would cost just too much.
The money that the EAG created is being used from front companies overseas to manipulate the South African economy (if you control the economy you control the government – See Annexure 9). The EAG is capable of manipulating the stock exchange. With the fall of the Rand in 1997, Minister of Finance Trevor MANUAL publicly said that they don’t understand what is happening with the Rand.
Another grip the EAG has on the economy is that some of the major black empowerment groups in South Africa receive their money/start-up capital from the EAG. In most cases the persons don’t even know where the money is coming from, as in the case of NAZALA INVESTMENTS.
Chris STALS (Former Governor of the South African Reserve Bank), Magnus MALAN (Former Minister of Defence), Barend du PLESSIS (Former Minister of Finance) and Danie CRONJE (Chairman of ABSA) were directly involved with the high yield programs for the EAG, according to Rudi TOERIEN and Col. Dr. Pieter JOUBERT. Both had worked for MI. According to TOERIEN there were various occasions where Magnus and Barend had joined him and Jurg JACOMED regarding SUNROCK.
A disturbing factor regarding the existence of Jurg JACOMED is that when the author told SASS about JACOMED, they said that there is no person such as JACOMED. In his own handwriting TOERIEN gave the author the particulars on JACOMED together with certain ODESA transaction codes.
Schematic illustration (Figure 5) was given to the writer by TOERIEN on ODESA:
Another fascinating link is the involvement of TOERIEN in the DOMA Church. Together with TOERIEN within the Church were Jaques JOUBERT, Gert van ROOYEN and Charles NEWMAN. Jaques JOUBERT and Charles NEWMAN were actively involved with diamond smuggling together with Shai AVISAR (Israeli Mafia), Jerry MEENTZ, Johan ERICKSON (Directly involved with Pik BOTHA and Magnus MALAN in the Erickson’s Diamond House), Brian GOODCAM and Jeffrey RIECHMAN.
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Advocate Dawie ROSSOUW also told the author that TOERIEN had meetings with Barend DU PLESSIS regarding SUNROCK. A source who is currently (2000) working for SASS in a covert operation in the ADLER group, also confirmed above-mentioned people’s involvement with SUNROCK. Rudolf WOLLENHAUPT had shown the full SUNROCK file to Dirk KRUGER. The author knows WOLLENHAUPT personally and WOLLENHAUPT had shown documents regarding the involvement of BROWN (Director at ABSA) with a front company, “Goldfinger,” operating out of BEIRA, Mozambique. It is also important to mention that WOLLENHAUPT told the author that he (WOLLENHAUPT) had received his documentation from Braam ASSIENG, a former VIP personal assistant at NEDBANK, Fox Street.
There are two reasons for the significance of this statement by WOLLENHAUPT. Firstly SUNROCK had its origins at NEDBANK, Fox Street. Secondly, the author in turn had mentioned the name to Luci FIKASECO, Executive Director of CIEX, who in turn mentioned then to the author that NQUCA had approached CIEX to trace Braam ASSIENG. CIEX is being used extensively by the South African Intelligence Services on economic investigations. CIEX Managing Director is Michael OATLEY, the former 2ic of MI6 in Britain, and was co-opted personally by President Thabo MBEKI. CIEX had managed to win blinding trust from the Intelligence community and had financially taken the Intelligence services on various occasions for a ride. CIEX had bought 11 D.I.R.T. software programs from an American company for $2 MILLION each while it was possible to get the same programs in South Africa for about R200 000.
The present government also tried through the disgraced SPECIAL PROJECTS UNIT (SPU) that was set up by Thabo MBEKI, to “uncover” the funds. There is strong evidence that the SPU was only established to uncover and neutralise the leaks. The SPU however had to produce authentic documentation on the subjects to justify themselves. One of the members, Peter GOSSLER, was one of the major players in SUNROCK according to TOERIEN. The information that was generated through SPU was quite accurate and confirmed the author’s stance on the EAG and the economic plan. The problem with SPU was that they had access to all Intelligence reports and they knew where information was coming from regarding SUNROCK and ODESA. After SPU established the targets to neutralise the leaks, SPU became “corrupt” and the investigation was closed down and the economic plan of the EAG was branded as bullshit. In this process TOERIEN became discredited as well. The targets were branded as unreliable criminals; however, none of the targets ever got locked up.
The SPU also filed reports on FW DE KLERK’s involvement in the financial destabilisation actions. The SPU made use of a Greek contact that apparently informed them on the EAG activities and the role of the South African Protégés and Greek communities, including the transfer of large amounts of money to Greece and Portugal (Annexure 18).
Dirk KRUGER gave the following schematic illustration to the author. Dimitri ECON showed it to Dirk KRUGER. Col. Dr. Pieter JOUBERT, a former MI operative, and OSMIUM researcher gave the same illustration to the author while he worked at a MI front, SERENGETI GROUP OF COMPANIES.
Tito MBOWENI, the new Governor of the South African Reserve Bank, also forms the part of the EAG and is just a continuation of the EAG. He is just an extension of Chris STALS. Do people really think that the take-over would have gone that smoothly if there weren’t approval from the people in the business world?
Intelligence operators told the author that there is confirmation of huge amounts of money leaving the country. One person that has been identified is KOSEF of INVESTEC, together with his attorneys. This outflow of money was linked to the EAG by NIA. In one operation KOSEF took R14 million out of the country together with Manny JUDEN and the DAI Group.
There is also evidence of certain advisory reports to Alec ERWIN that have been manipulated to prevent ERWIN instituting changes that could have hampered EAG operations. Alec ERWIN didn’t know of this altering, but it did influence his decision.
The Wise Men is actively manipulating inflation-, growth- and other economic- figures to create an impression that the South African economy is sound and well. This is done to protect the Government and the alliance. If the true figures were known they won’t stay in power.
The Intelligence side of the EAG plan was the most important. You can describe it as the brain behind the EAG plan. It is important to mention that methodologically there is not much difference in the approach of the three secret groups. The EAG was able to arrange that NIA and SASS Director Generals SEGHASE and MASETLA, both former spies, be appointed. Their Minister during the MANDELA era, Dullah OMAR, was also a former spy and is still working for his former controllers, now just in the form of the EAG. Their current Minister, Joe NDLANDLA, had worked for the East German Intelligence. The South Africans could never recruit him directly. MASETLA of SASS worked for the CIA as well, after his appointment. His handler, PRICE of the CIA had a permanent address close to McDonalds, close to the N4 off ramp in Pretoria, were they met at least twice a week. (KIPP the co-handler was present when Alex KOVARIS handed cocaine to Thabo MBEKI at their safe house in Rosebank and helped arrange small boys for Cyril RAMAPHOSA at another safe house, also in Rosebank). John KIPP of the CIA was also present and also had contact with Tienie GROENEWALD. According to GROENEWALD, he had seen KIPP the last time just before he went to parliament.
The EAG have operatives in the formal structures, as well as former operatives working in an informal structure. Each of the four Intelligence structures has primary and secondary roles. It’s important to mention that this is not an official policy of the Intelligence groups, but EAG policy with their people within the structures. The Wise Men and Islamic Extremist both make use of the same strategy but with different role players. The author concentrated mainly on the EAG.
The new “Big Brother” proposed legislation is not to catch the criminals but rather to protect the high-ranking criminals in Government.
Main controller of EAG: Tienie GROENEWALD. EAG operators: Dr. Wouter BASSON and his nephew Wouter BASSON, alias Chris BRITS of the CCB.
Minister-Joe MODISE (Former)-MI spy during apartheid era:
-EAG puppet for Defence
-Received money from British Aerospace (Arms deal)
Head of Defence, Sipiwe NYANDA – MI spy during apartheid era.
-NIS (NIA and SASS were previously known as National Intelligence Service) operatives had already kidnapped him in Swaziland and he was in the boot of the car when the operatives were told to release him.
Military Intelligence was responsible for the high-yield programs, the smuggling of gold and platinum, and the implementation of the drug contamination project. They also recruited criminals to run their destabilising process (Ferdi BARNARD in TRC hearing on 02- 10- 2000). For example: Mathews PHOSA was an informer for R1 600 a month and was investigated by NIA for his role in the drug route from Maputo in Moçambique that is also linked to Alex KOUVARIS, a known agent for the CCB. It is also confirmed on 10-11-2000 by the author that the CCB is still active, but working for the EAG. A deep-cover SASS agent gave this information to the author.
Also important to notice that Dimitri ECON, who has links with Alex KOUVARIS, is also a CCB co-worker with links to almost all the major countries’ spies in South Africa, viz.:
Also take into consideration the fact that Dirk KRUGER had contact with Dimitri regarding SUNROCK. It was Dimitri who had shown Dirk how the rolling program was put together and it corresponded with Dr. Pieter JOUBERT’s explanation to the author.
The author subsequently learned that the CCB is still active, and/or had been reactivated. Both the contacts are from the Intelligence Services.
Management and training of crime syndicates.
Main controller of EAG: DR Neil BARNARD
Minister Dullah OMAR (Former)-NIA spy during apartheid era
-EAG puppet for Intelligence
-Presently EAG creator of taxi violence
Joe NDLANDLA (Former)-East German spy
-Indirectly controlled by EAG
Head of SASS – Billy MASETLA (Former)-NIA spy during apartheid era:
-CIA spy presently
Establishing of Executive Outcomes together with MI6 of Britain and CIA (Eben BARLOW was handled by Mo SHAIK)
Re-employing of retired Intelligence operatives in the RSA for destabilising of SADC
“Sweeper” for EAG and overseeing the EAG secrecy and keeping the EAG informed, finding the leaks.
Main controller of EAG: Neil BARNARD. Main operator for EAG: Mike KENNEDY
Minister – Same as for SASS
Head of NIA-SEGHASE (Former)-MI (DCI) spy during apartheid era:
Vusi MAVIMBELA, SAPS spy (Received R3000 p/m while in Swaziland)
Management of apartheid-era spies, that are present politicians.
Management of the Italian, Portuguese, Greek, Russian, etc Mafia organisations.
Destabilising of the Public Sector and management of radical groups like PAGAD.
The overseeing of assassinations. The total monitoring of all the Intelligence agencies’ secret projects.
NIA effectively blocked all investigations regarding the EAG through the Special Projects Unit. Riaan STANDER and Thabo KUBU received information regarding the file on the police regarding the EAG. They went to Mathews PHOSA, the then Premier of Mpumalanga. PHOSA “urgently” took them to Thabo MBEKI in the middle of the night. Mbeki, the then Vice-President, established the Special Projects Unit. Within three months R3 million was stolen (sources inside mentioned the real amount as being R30 million) and the unit was closed. The unit came under investigation by Johan ALBERTS regarding the disappearance of the money (He also “investigated” the SMIT murders and “red mercury”). All of a sudden Johan ALBERTS is also now appointed as a director at NIA, and the information that the unit was investigating doesn’t exist, and all investigations regarding the EAG are stopped. STANDER was suspended, but subsequently re-instated. KUBU, who was under Joe NDLANDLA’s command who was responsible for the rape of HARRINGTON when in jail in Zimbabwe, also become reinstated.
Eugene RILEY who was a NIA spy had filed a report (Annexure 19) before the assassination that Tito MALEKA, alias TITIS, had given instruction that Chris HANI should be assassinated. The NIA handlers of RILEY were POTTIE and Ivan. Tito MALEKA was in charge of VIP protection and security at Shell House and therefore had known when HANI’s bodyguards wouldn’t be on duty. Eugene RILEY was shot and killed at his home under mysterious circumstances. RILEY’s contact was Mohammed Amien LAHER, alias RAMON, who was the son in law of the big drug lord KHAN. KHAN was an ANC and MI spy. LAHER also worked for both DIS and MI. LAHER was recruited by RILEY around ’87 when LAHER was arrested. Tito MALEKA was a contact of LAHER.
Kevin TRYTSMAN, ex CCB, and now working for Tito MALEKA is/was also good friends with George ‘The Butcher’ DAMANOVICH (EAG) and Ferdi BARNARD (ex CCB and DCI). WALUSZ again was close friends with KOUVARIS (CCB agent). Arthur KEMP had drawn up the so-called “hit list” with Gay and had helped with the research. KEMP again was good friends with Phillip POWELL who was involved with operation Long Reach together with Craig WILLIAMS and Riaan STANDER. A month before the assassination POWELL, KEMP and HANI were on the same flight. So KEMP was the person in the inner circle who “researched” the “hit list”.
WALUSZ was also involved in arms smuggling with his brother for the apartheid regime as well as for the ANC.
As previously mentioned by the author, both sides had prior knowledge of, and were actually co-operating in the assassination plan of Chris HANI and the subsequent cover-up.
[South African Police Service] Main controller of EAG: Van DER MERWE. Main operator for EAG: Osie OOSTUIZEN- making use of OPM, a SASS front, as a front for himself and EAG.
Minister Sydney MUFAMADI (Former) – SAPS spy during apartheid era (During his time as Minister, FIFAZ the commissioner of Police was involved in honey-trapping MUFAMADI) -EAG puppet
Steve TSHWETE (Present) SAPS spy during apartheid era
-Has drinking problem
Management of Right wing and escalating of crime through ineffective policing
The ineffective investigations of criminal cases and protection of any EAG cases – like the leaking of the plot allegations.
The author did not investigate their activities. However the author had meetings a few months before it was established with Mathews PHOSA and Riaan STANDER the day before they had met with Jacob ZUMA. It was at this meeting that Mathews PHOSA confirmed to the author that he was working with Riaan STANDER since 1992. Taking into consideration that Riaan STANDER was involved with Craig WILLIAMS on project Long Reach, the situation became very sinister. Also very sinister are the appointments of former Intelligence and Police officials – in many cases, officials with close links to the EAG. Police officials also reported widespread corruption within the Scorpions’ ranks where Scorpions officials pay police officials to give the Scorpions cases that have already been investigated by the police, and the Scorpions then just make the arrests and receive the credit.
Foreign Intelligence services are more active in South Africa than ever before. The reason for this is that most foreign countries perceive South Africa to be the gateway to Africa. Another important consideration is the fact that if Southern African countries’ debts are going to be written off, Southern Africa, for all practical purposes becomes the richest region in the world. Take into consideration that this region, mineral-wise, is one of the richest regions in the world. So without any debt it won’t just become a global player; Southern Africa can become the leader in the New World Order.
Also important to know is the fact that in the modern espionage world, business has become the norm as a front. These business people are flashy and move in the right circles, so to arrest them becomes almost impossible. Also one of the modern spy’s tasks is to ensure economic advantages for their own countries. A practical example is the now much controversial arms procurement transaction, and the French spies’ involvement were quite eminent.
John KIPP is a CIA operative who has contact with Gen. Tienie GROENEWALD and Thabo MBEKI when MBEKI received drugs from Alex KOUVARIS. Because Intelligence operatives use different names, it is difficult to know what their real names are and with whom else they had contact. However, It is confirmed that they do exist. The CIA is very active in Ruanda, causing nervousness, especially in the DRC. The author confirmed that the CIA has contact with the EAG as well as the IFP. The source in the EAG told the author that there is an exchange of information between them and the CIA.
According to a high-placed source in the EAG, CIEX is an MI6 front. Their legend as a foremost “private” company that specialises in economic investigations, gives them a perfect excuse to gather any information in this region and also help to establish access. Through CIEX, MI6 has direct access to MBEKI. It is important to note that until the ANC had been banned, MBEKI was a SACP member in Britian.
It will be only logical for MI6 to have an interest in MBEKI during his time in exile and even more logical to continue their interest now that he is President (British Aerospace’s £2 million payment into Vuwani Projects). The EAG also have close links with MI6 according to a source within the EAG and again information is exchanged.
The French Intelligence Service is one of the most active in the region, if not the most. Their network in SADC is not very big in terms of numbers but they make extensive use of the super-spy structure whereby they have at least two very high profile persons in every country that have contact with most of the influential people. In South Africa two of the people that have been identified by the author are Alain GUENON, who was the French Intelligence contact who liased with the South African DCI operative Wietzke Van Wyk De VRIES during the apartheid years. It seems that the South African Intelligence has a hold on OLLIVIER because of his homosexual orientation. It was also confirmed that Dominique NASPLEZES, the partner of Jean-Ives OLLIVIER, does work for MI. Jean-Ives OLLIVIER is the international link; he reports back directly to the head of French Intelligence and the President, and he co-ordinates internationally.
SADC Presidents that OLLIVIER have contact with, include RSA (But secretly opposes MBEKI), DRC, (But supporting the opposition of Jean-Pierre BHEMBA), Angola (Also supporting UNITA), Mozambique, Congo Brazzaville and Zambia. He is trying to get access to Zimbabwe, Botswana and Namibia. He also is active in the Ivory Coast, Nigeria, Algeria, Burundi, Uganda and Tanzania. The author also knows that he is active on other continents including Europe, Far East and Middle East.
OLLIVIER also approached one of the author’s sources to help him get rid of Thabo MBEKI. During December 1998 OLLIVIER approached the source. Apparently OLLIVIER had told the source that French speaking African countries want to get rid of Thabo MBEKI. OLLIVIER admitted to the author that they know about MBEKI’s drug problem and they were aware that MBEKI’s imprisonment in Angola was for a drug-related offence. Noseweek of June 2001, made mention of MBEKI’s imprisonment, but stopped short of giving the reason, which was drug related.
The French Intelligence worked on various projects with the apartheid government and OLLIVIER was the contact. OLLIVIER had close links with Pik BOTHA and Rusty EVANS. Another source of the author in the Scorpions told him that they are looking into OLLIVIER’s activities as a money launderer for the EAG. Also see issue 35 of NOSEWEEK.
The German Intelligence also makes use of the super-spy structure, but it varies slightly from the French model. When the head of the BND visited South Africa a couple of years ago, the BND head visited almost all the major German companies during his visit. The German’s have various business and professional people in South Africa and they report directly to the Minister’s office in Germany, with one person in this region verifying the information. The number in Germany that these people phone is 094 9173 527 9103; this was confirmed by NIA’s Counter-espionage department. One of the persons using this number is Christiaan MEYER, who is also involved with the ADLER group. Deon MUNSTERMAN was the controller in Germany. An agent from Germany working out of an international front company with well-established contacts in Intelligence, through whom the author had met the person mentioned, said major concerns for the German government was the disappearance of 72 tactical nuclear warheads. A senior politician within the ANC confirmed that the ANC is aware of this and they are concentrating their efforts in Mpumalanga, as Mpumalanga is geographically the most likely place where these warheads are hidden.
Mark WULLOSKEN, an ex KGB officer, is also linked to Dimitri ECON (Econ was also with John KIPP[CIA] and Alex KOUVARIS [ex CCB] when MBEKI received drugs, and who is an ex-MI agent and father of Paul ECON). Dimitri and Mark are known to one of the author’s sources and were also fully aware of project SUNROCK.
AIN runs two offices at 42 Andries Street, WYNBERG in SANDTON, and 23 Foregate Square, FORESHORE in CAPE TOWN. The main individuals involved with AIN are/were Warren GOLDBLATT (Former owner and operator of MANTIS security), Gary LAZARUS (Since deceased), Gert OLIVIER (Former police officer and principal front), Stephan GOLDBLATT (Brother of Warren and principal of APS) and Tony LEVIN (Principal in CAPE TOWN).
Their Modus Operandi is to recruit and/or contact former and serving SAPS officers and these include inter alia Jack Le GRANGE (since left), Suiker BRITS, Bushy ENGELBRECHT, Wouter MENTZ and Henry BEUKES. Through these contacts extensive access is gained to current SAPS dockets that are filtered for cases most likely to show the most profitable returns.
AIN has a very special relationship with Commissioner Jackie SELEBE through Warren GOLDBLATT and it has been reported by contacts that SELEBE receives money from AIN. Warren also cultivated close links with Winnie MANDELA.
It has also been mentioned to the author that AIN initially was a MOSSAD front company. GOLDBLATT was apparently one of the contact men. It has also been mentioned that the timing devices for the bombs in the Western Cape was bought by AIN and then supplied to PAGAD. Apparently the link is that MOSSAD had established HIZBOLLAH as a counter to HAMASS, and then through HIZBOLLAH infiltrated PAGAD with the purpose of forcing the South African government to neutralise any Muslim Extremists and then of course giving MOSSAD another angle to infiltrate the Extremists on a world-wide scale.
It is also reported that German Intelligence channelled money through 24 front companies, supposedly to “watch” over prominent/leading investigators/Intelligence operatives, preventing them from developing the need to divulge sensitive information.
Former Superintendent Henry BEUKES was the SAPS head of the unit investigating PAGAD and the active handler of Ayob MUNGALEE (Predating NIA involvement with him). He is reported to have received an initial amount of R10 000 for letting an AIN consignment of guns through to PAGAD. These guns originated from AIN’s private armoury and were never declared as lost or stolen. BEUKES subsequently joined AIN on a full-time basis.
AIN is also reported to be behind the Western Cape bombing incidents which were attributed to PAGAD, specifically the court and airport incidents. The objective was to secure contracts. See issue 35 of NOSEWEEK into other allegations.
Other areas in which AIN is reported to be active is the securing of monopolies in the cellular phone industry, exploiting the rivalry between Vodacom and MTN and the so-called HITS system.
Extensive supporting, but unconfirmed indicators also exist which links AIN to illicit diamond trading and MOSSAD operations.
Established by EO (It is important to remember that EO was established by MI6, SASS and CIA collectively) and jokingly referred to as ‘Other People’s Money,’ OPM receives $90 000 p/m from SASS as a front project. The directors of OPM on January 7 were Andre OOSTHUIZEN (Former national head of the Police Security Branch Intelligence section, and also the person who advised the destroying of the Security branch files of all ANC activities. He also claims to have a personal relationship with Mo SHAIK [Reported to be an informer for the apartheid regime and also linked to the scandalous/corrupt arms procurement program, and now Ambassador to Algeria] 25%, Riaan BELLINGHAM (Former VLAKPLAAS section head) 25%, Louis COETZEE (Former NIA Counter-Intelligence operative involved with the section at Counter-Intelligence who monitors all Intelligence services [NIA, SASS, SAPS, MI and now Scorpions] secret projects) 25%, and Nico PALM 25%. Presently (December 2000) Piet Le GRANGE (SASS deep cover agent) has also become a director with OPM, buying out Louis COETZEE’S 25%.
Toward the end of 1998 OOSTHUIZEN approached Yosef MOHAMMED of UBAMBU INVESTMENT HOLDING to create a black empowerment company. Out of these discussions a company, UKUKHULA SECURITY SERVICES, was created. Also involved in this company was Lambert MOLOI, also a person involved with the arms scandal (See Vuwani’s company Annexure 11). The shareholdings were divided between Ubambu Investment Holding 40%, OPM 40%, Integrated Profile Assessment 9% and K BADIMO 11%.
Past and present clients include: the Angolan Military Intelligence, the Debswana diamond corporation to whom they give training in Intelligence gathering; the Congo-Brazzaville and DRC government to whom they provided VIP protection and training, the Malawi government to whom they acted as security advisers. Other clients include Rembrandt, Anglo-American, Group Five Civils, Vodacom, Freshmark, Murray & Roberts, RSA Department of Justice, and obviously as front of SASS, their most important “client,” giving SASS instant access to above-mentioned companies but also to the EAG.
There was also a stage when a German, Gerhard VIELBERTH of IMI was interested in buying out OPM. As VIELBERTH, a suspected German Intelligence operative, the interest shown by both parties is quite obvious.
OOSTUIZEN, COETZEE and LE GRANGE had direct links to Rudolf WOLLENHAUPT, a suspected former East German spy who has been falsely linked to various criminal and weapon dealing activities by NIA. It is suspected that EAG operatives within were behind these attempts to get rid of WOLLENHAUPT because of WOLLENHAUPT’S extensive knowledge of EAG activities.
The MD of OPM, Osie OOSTHUIZEN, together with Lambert MOLOI, is also now involved in the providing of security for embassies in South Africa.
CIEX has been identified by various sources from the author as a front of MI6.
The MD of CIEX is Michael OATLEY, a former 2ic of MI6. Because MBEKI was a former exile in the UK it is suspect why MBEKI puts so much trust in CIEX. CIEX has been trusted with some of the most sensitive and Top Secret information of South Africa. It would be ridiculous to think that the information would not end up with MI6.
MBEKI had effectively used his official position as President, instructing the South African Intelligence services to give CIEX Intelligence information to “investigate” and effectively the information ends up with MI6. As President he legally spies for BRITIAN, making a joke of South African Intelligence services.
It has been well reported that CIEX does work for SASS, NIA, Department of JUSTICE and obviously for the President himself.
When the author phoned Martin WELZ of Noseweek regarding certain information that Luci had asked the author to obtain, Luci phoned the author half an hour later and told the author to be careful to whom he speaks. Another example was when MBEKI, at a media conference, showed an organogram regarding the weapons deal. MBEKI told the media that he had received the organogram from the Intelligence services and a couple of days later WELZ confirmed in the media that he had drawn the organogram. It is also a well-known fact that Luci receives approximately R1-million a month from different state departments to do so-called investigations/Intelligence.
It is a well known fact that the ANC is still actively using their old Intelligence structure DIS as a type of alternative for the formal Intelligence structures, and in the process exchanging information, leading again to a situation where the formal Intelligence structures become completely ineffective. If any other political party would dare attempt to launch a similar structure, the ANC would have cried ‘foul’ about that. This arrogance creates a precedent that can lead to other political parties or groupings doing the same. In the right hands Intelligence is more powerful than physical war.
While Thabo KUBU, a former DIS member and now a NIA employee, was suspended because of corruption during his time as head of the special investigation unit, he had worked for the ANC Intelligence unit at Shell house.
Tito MALEKHA is believed to head this unit and he himself is also in contact on a daily basis with French Intelligence operatives leading again to an Intelligence breach. It is also reported that he is one of Thabo MBEKI’s few confidants. Tito MALEKA reportedly also makes frequent visits to one of the suspected EAG front companies’ Northern Hemisphere. One of the people working at Northern Hemisphere mentioned that they do have a very good relationship with Tito MALEKA. The person also confirmed that they know exactly what is going on in Thabo MBEKI’S office. This also confirms the author’s stance on the link between the RIGHT, senior ANC, ANC Intelligence and the Chris HANI assassination.
It is believed that LEBONE was also a front company for SASS. Before Piet LE GRANGE was with OPM, he was one of the founding members of LEBONE. LEBONE has embezzled more than R10 million from various victims, some of them International donors. Someone else who worked at LEBONE was Fanie HATTINGH, who worked as a cover agent for NIS and was described as very proficient in recruiting ANC members under a false flag. Another director of LEBONE was Professor SONO who is now a Democratic Alliance member, and who supplied some information on the SHAIKS’ involvement in the arms procurement deal to the Mail and Guardian.
Each of the destabilising projects will be discussed separately so the reader will be able to get the full picture. The SADC process will be discussed in the next chapter.
The destabilising process in South Africa includes the active and systematic process of disrupting the public sector by the EAG. The EAG have people in every department of the public sector, and persons like dr. Neil BARNARD and Tienie GROENEWALD personally tasked some of their operatives in this regard according to sources in the Intelligence services.
The author will also give the reader an idea on certain crime priorities and the involvement of the EAG.
Nico ANDERS, now SCEAVER, a former GERMAN that apparently operated closely with Craig WILLIAMS in the assassination of ESCOBAR, is also now actively involved with Jeff RADEBE in destabilising the RSA government RDP housing project. Nico SCEAVER (Jewish) is the name he is using now, his real surname being ANDERS (German). He was born in Africa and moved with his parents to South America while still in his teens. He became a very close friend with ESCOBAR while in school. After school he laundered money for ESCOBAR through oil deals (indications are that he also helped South Africa with sanctions busting), apparently he then lost all his money on a deal that went sour. He then went to Israel and worked on the Kibbutz where he adopted the Jewish faith and also changed his surname to SCEAVER. He then came to South Africa where he had a shop in the CBD of Johannesburg. He got involved in a deal with Volkskas Bank and swindled about R300 million out of them. He was then jailed and met Jeff RADEBE in jail where they become friends. The money was never recovered.
As mentioned, he was then involved with the setting up of ESCOBAR in an operation that was managed by Craig WILLIAMS for the CIA and ESCOBAR was assassinated.
WOLLENHAUPT got involved with Mark WILLIAMS with an airline company that was co-owned by SCEAVER. The same airline was linked with arms smuggling according to the author’s source in Air Force Intelligence. At that stage Mark was paying WOLLENHAUPT a salary and WOLLENHAUPT’s confidant was Piet LE GRANGE of OPM. Shortly after WOLLENHAUPT had broken his ties with Mark, WOLLENHAUPT got involved with Sydney MUFAMADI, Gunther POLTZL and Wolfgang BAUER in EXXON.
To get back to the housing projects that Jeff RADEBE is responsible for, it is reported by sources of the author that RADEBE, together with SCEAVER, are involved in a scheme where property of the state, that is been privatised by RADEBE’s department, is bought by SCEAVER below cost and then sold by SCEAVER at a profit. The profit is then shared between them.
RADEBE is also now in the forefront in the clash between COSATU and Government over privatisation. RADEBE is well supported by MBEKI from the Government side. The purpose of this clash is to try and brake up the alliance. Taken into consideration that RADEBE is a former spy and MBEKI contaminated through his drug activities both being manipulated by the EAG on the Government side and the leadership of COSATU most probably also EAG manipulated the net result is obvious to destroy the alliance.
A source of the author in the Intelligence service reported that they had information on a black Defence Force general who recruited a female in Durban at an ANC conference, who worked at the Justice department.
She was instructed to destabilise the department in any way possible. The general apparently worked for Tienie GROENEWALD and Dr. Neil BARNARD according to the source and got his instructions from them personally. If this is true and one looks at patterns, the same can apply to Health, Education, Police, Correctional Services, Defence, Provincial Affairs, Intelligence, Labour, Agriculture, Foreign Affairs, Home Affairs etc. Taking then into account that most of the departments DG’S are former spies of the apartheid regime, it is not far-fetched that a pattern does actually exist and that the EAG is responsible for these actions.
Bulelani NGUKA “bought” his BMW 740i from Calla BOTHA, a former CCB member.
Sydney MUFAMADI, who was an informer, got also honey-trapped by FIVAZ, the former Commissioner of Police. He was given a sexy secretary who arranged for a flat where they had their meetings and when MUFAMADI had to sack FIVAZ, FIVAZ took out the photographs and MUFAMADI couldn’t do his job. Africa KHUMALO received a 4×4 SsangYong MUSSO from Luci FIKASECO of CIEX. The Commissioner of Police, Jackie SELEBE, also received favours from FIKASECO. SELEBE is also involved with AIN and receives kickbacks. Intelligence Operatives budgets is cut to a point where they have difficulty just in paying basic fees. For example, an average project costs about R1, 5 million and then there would normally be a minimum of three projects per year. In other words, just in projects alone their budget is about R4,5-million.. The new revised budgets for the same unit is now R500 000 a year in total. Then people want to know why crime is out of hand. The author knows of various instances where police officials been banned after revealing true crime statistics.
Various theft cases occurred at NIA that included vehicles and sophisticated electronic equipment. Most of these cases indicate that they were inside jobs.
Corruption is also rife and various people have been suspended. Interesting though is the fact that most of these cases can be traced back to former spies in the ANC for the apartheid regime.
NIA is also linked to the violence in the Western Cape on the sides of PAGAD and the gangsters.
A worrying factor is why Neil BARNARD’s brother, still in NIA, announced that NIA is going to close down their covert operations and is going to operate only overtly in future.
Moch REGENSTRIECH’s involvement with CEP as a NIA source is well documented, fuelling the suspicion that Intelligence is involved with the EAG.
A major point of concern is why SASS, who is supposedly to work outside the South African borders, is working actively inside South Africa. According to the constitution it is illegal. Also worrying is the fact there is no coherence between the different Intelligence services. The one hand doesn’t know what the other is doing and it is costing the taxpayer money.
It is also apparent that SASS’ selection of informers and companies that have been co-opted like CIEX, is taking SASS for a ride and is basically stealing taxpayers’ money. CIEX had convinced SASS to buy 11 of the D.I.R.T. programs at $2 million a piece.
Front companies of SASS like OPM receive $90 000 p/m and LEBONE is also involved in subversive activities.
The present Minister is Dullah OMAR. This is important, because if you look at the restructuring of, for example, the taxi industry, you will find that the same people that were involved with the arms deal are also involved with the “reforming” of the taxi industry. One of the areas were the CCB was involved in regarding the destabilising process, was with the taxi violence. Taking then into consideration that the CCB is still active, and OMAR’s relationship with the previous Intelligence services, it is obvious that the EAG people are behind the destabilisation. A question that also should be asked is the relationship between the restructuring program of the taxi industry and DaimlerChrystler hand out of Mercedes’.
The author has previously made mention about the relationship of COSATU’s top structure with the Intelligence services of the apartheid regime. So the new labour laws that were passed by government can be seen, if you look at the effect it has on foreign investment, that somebody had made a huge mess; with laws like that no foreign investment will come forward.
Again the restructuring of for example TELKOM, is a process of the Wise Men to get their hands on the economy. The restructuring is supposed to benefit RDP but if you look at the new cell phone company C-CELL, that received the contract, it is the same people that were involved with the arms bid. The author has already discussed the relationship of these people with the EAG.
The new law stating that all mineral rights will from now on belong to the government is just another way of trying to get their hands on economic wealth.
The ESKOM privatisation program is just another example.
The newly formed EXXON is riddled with irregularities. A so-called international arms dealer, Rudolf WOLLENHAUPT, is involved with Sydney MUFUMADI. WOLLENHAUPT is also a SASS spy. Is SASS now in the oil business? Take into consideration that SASS is the sponsor of LEBONE who had stolen millions of Rands from foreign investors.
To understand what is happening, the author will focus on two provinces. The reader can then make his/her own calculated assumptions on the rest of the provinces.
The Western Cape, like KwaZulu-Natal, is not under ANC rule. In certain circles it is an embarrassment for the ANC, but not much of a problem. The real problem in the Western Cape is the apparent unrest in the area.
The real problem lies with the gangster-related violence and drug trafficking and all indications point to certain elements from the apartheid era as the main instigators as indicated before. (See Annexure 20 regarding the involvement of the Italian Mafia and EAG links. It is also widely speculated that some of the major consignments of drugs were supplied by Dr. Wouter BASSON and had been supported by former operatives of the CCB in the TRC hearings).
On the other side of the coin, so to speak, you have PAGAD who initially was established to counter the situation regarding the gangsters and drugs. Conspicuously all of a sudden PAGAD became an Islamic Extremist Group with some of the major role players being identified as NIA agents. (It is one thing infiltrating an organisation, but being involved in supplying of bombs by NIA is totally unacceptable).
A question that should be asked is whether there is any significance in Dr. Neil BARNARD (former Director General of National Intelligence Service (NIS)) as Director General of the Western Cape, being partner to the violence. BARNARD’s links to the EAG, together with his brother’s statements in NIA should also be taken into consideration when one wants to formulate an answer.
Take into account the history of Mpumalanga with its first Premier Mathews PHOSA and his confirmed links to MI, followed by confirmed involvement with the drug trafficking between Mozambique and South Africa. Considering further that PHOSA was positively linked to the Labour Union’s uprising in Swaziland, and the major corruption scandals that Mpumalanga had been plagued with, the question can be asked how much of this was actually planned.
Take into further account that PHOSA admitted to the author that he closely operated with Riaan STANDER since 1992, and that the NIA investigation was done in 1994 regarding his drug activities. It is then quite logical to make a calculated assumption that the above allegations were planned and had formed part of the EAG plans.
The police organised crime branch and NIA conduct various investigations regarding drug activities in South Africa. The sources the author had met from the different services confirmed that Thabo MBEKI, Cyril RAMAPHOSA, Mathews PHOSA, Tokyo SEXWALE, Joe MODISE and Irvan KHOZA were all involved with drug activities. Most of these people had been exposed during Operation Jericho.
Another important source of the drug activities in South Africa that has been ignored, is the now infamous People’s Poet, Mzwakhe MBULI, who openly stated that he had information regarding drug trafficking in South Africa (BEELD 11-11-2000). A contact of the author who had spoken to MBULI had confirmed that MBULI has information regarding the trafficking of drugs, and Thabo MBEKI was one of the people involved. Three days before he got arrested, MBULI was at the author’s contact’s house with all the documentation regarding the trafficking. The contact wasn’t able to see him and he (MBULI) told the contact that the people involved in the trafficking were going to set him up, and before they could meet again, MBULI got arrested. But the most important part of the saga is that MBEKI confronted the contact at an ANC National Working Committee (NWC) meeting regarding the contact’s meeting with MBULI.
In affidavits by Slang van ZYL and Calla BOTHA, they implied that Staal BURGER and the CCB management were involved with Alex KOUVARIS in drug trafficking between South Africa and Zambia. Other former agents the author had spoken to, confirmed that Alex KOUVARIS was involved with trafficking, together with Spiros VOVOS, a right hand man of KOUVARIS who was managing a mandrax factory out of Maputo in Mozambique.
Three different sources confirm that MBEKI uses drugs at present. MBEKI’s erratic behaviour can be blamed directly on prolonged drug use. He is presently using cocaine. MBEKI reportedly is also an alcoholic. From a psychoanalysis point of view, cocaine and alcohol compliment each other. They fall under the Psychoactive Substance Use Disorder under the DSM-III-R classification. A NIA contact of the author mentioned that MBEKI presently needs a glucose drip in the mornings to get going. Another contact of the author, who has close contact with SASS operatives, mentioned to the author that his bodyguards must physically lock him (MBEKI) up in a room to dry him out before meetings. He is also still in contact with Paul ECON; coming from another source he had received cocaine from Alex KOUVARIS (Annexure 21). ECON was present, together with John KIPP of the CIA when Thabo MBEKI received drugs from KOUVARIS (See Annexure 22 bottom photograph of the flat that had been used). MBEKI must have sleepless nights about the videotape of this incident.
MBEKI’s wife confessed to Didi PILLAY (Former NIA agent) in the presence of Mathews PHOA’S wife in tears that she can’t handle the pressure of Thabu MBEKI’S involvement with drugs any more. It won’t surprise the author that a recording was made of this conversation, as it is standard procedure.
It is also confirmed through a former NIA operative that RAMAPHOSA was also under investigation and a photograph (Annexure 23) is hereby included from the file. The photo shows a female; one so-called LE FLEUR. She was picked up at Johannesburg International airport in RAMAPHOSA’s personal car after she had returned from a flight where she had made arrangements for 35 000 packets of mandrax to be smuggled into South Africa. Another source that had reported on MBEKI and ECON, also reported of RAMAPHOSA’s involvement with small boys (This link will be discussed under child smuggling) [Photo of flat included-see Annexure 22 top]. A SACP MP told the author it is general knowledge that Cyril is homosexual and that his marriage is a hoax.
Already discussed under Mapumalanga. A small point to add also is that during the 1994 investigations, Intelligence operatives already had physical evidence regarding his involvement with drug activities. He was handled by MI in Nelspruit and then handed over to DCI in 1988 and then DCI used him to contaminate other ANC officials through drug activities. Didi PILLAY and Mathews PHOSA were lovers and has a love child. PHOSA should ask himself where the photograph is that were taken of them naked in bed together. Crystal Springs resort was often used as a hand over point.
Police agents were present in Hillbrow where SEXWALE made arrangements with his runners, according to a source in SASS. Nelson MANDELA showed him the file and was subsequently asked to step down as Premier. His wife was also at a later stage arrested for diamond smuggling, but high-level intervention had seen to her being released. It is also reported that he had paid Thabo KUBU’s bills during his suspension at NIA. Bill VENTER also brought Tokyo into Anglo. When SANAB had arrested a prominent drug lord he phoned Tokyo, and Tokyo’s reply was that he would phone Thabo MBEKI so that he (Thabo) could resolve the problem.
He is presently under investigation and is one of the twenty-seven syndicate leaders that had been identified by a special investigation team. Thabo MBEKI personally instructed the investigation team to investigate Irvan KHOSA. KHOSA was subsequently arrested for tax evasion. The investigating team made use of typical FBI investigative methods in that they, not being able to prove drug trafficking, nailed him on tax evasion. A source in Scorpions confirmed that KHOZA was a MI spy. The reason for him being out of favour is his apparent political ambitions. He was also one of the directors on KILIMANJARO on which 80 hours of video material are available, but not in official circles.
When KHOSA was asked about the unlicensed firearm found in his house, he told them they should ask Jacob ZUMA (also a former MI spy). The formal reaction on the documents regarding high level involvement with gold and drug activities that were also found in his home, is all of a sudden made out to be unsubstantiated. MBEKI is obviously trying to create the impression that Government will act against criminals, sadly this is just an impression. A deal has already been struck not to charge KHOSA before he hadn’t had a opportunity to clarify his tax assessments.
The author had met personally with a prostitute who was with Tito MBOWENI. She also mentioned that Tito had smoked crack in her presence. The author has already explained that Tito was just an extension for the EAG, and his take-over from Chris STALS was an arrangement within the EAG. Tito MBOWENI, who had taken over from Cyril RAMAPHOSA as chairman of COSATU when Cyril was a security police spy, must have also been an arrangement from within the Intelligence fraternity. The Intelligence fraternity wouldn’t allow an “outsider” to take over. Taking then into consideration now that Tito is a drug user, it makes perfect sense that Tito forms part of the EAG plans.
Joe MODISE was mentioned as being one of the informers in Zambia and assisted the apartheid Intelligence structures in contaminating ANC officials through drug trafficking in Lusaka. He played a major role in Operation Jericho as a source.
According to reliable sources from former and present police agents and informers of the Gold and Diamond branch, high ranking ANC members have been involved in the trafficking of raw gold (Amalgam) before the 1994 elections. The three main individuals involved in the “operation” are/were Cyril RAMAPHOSA (Since his days as an informer for the Security branch in Westonaria and his position as a NUM leader), Tokyo SEXWALE (Also a former labour union leader) and Thabo MBEKI. The latter is being quoted as the authority.
Whilst still involved in NUM, RAMAPHOSA urged union members to steal amalgam from the mines, saying that the proceeds would accrue to ANC party coffers. After 1994 these operations continued and the stolen Amalgam was transported by official motor vehicles belonging to the Gauteng Legislature while SEXWALE was the Premier. Apparently some of this Amalgam was stored at Shell house.
Willem LOTTER, a farmer from Lotterkrans, district Perdekop, processed the Amalgam to a semi-refined state. Willem LOTTER was seen meeting with Dr. Neil BARNARD, former head of NIS at Die Werf. The place was under surveillance from NIA because so many meetings of suspected EAG people took place there.
LOTTER was arrested by the police at LANSERIA airport with plus minus 117 kg of gold. Deon KRUGER, their pilot, flew the semi-refined gold out of South Africa. In a report by the Special Projects Unit resorting under MBEKI, it was mentioned that almost 200 tons of gold was stolen per year. According to the SPU report, the gold was transported with a private plane through ZAMBIA and DAR ES SALAAM to EUROPE. According to a seized document, the final destination was Lugana, Italy. According to the SPU report an attorney, one VAN NIEKERK was arrested in this regard and that the SPU had evidence that MI where involved as well.
Paul ECON is the son of Dimitri ECON. (See KGB, CIA and drugs reports elsewhere in the book) and still a very close friend of MBEKI, co-ordinated these activities. According to a NIA report, people involved with this operation were Brig. Doppies MINNAAR, Brig. GOOSEN, Jesse DUARTE, Louis John STEVENSEN, Wessel KEMP, Gen. Wouter GROVE, Judy SEXWALE, Brig. MODISE and Charles PREBACH.
On the diamond side, Hazel CRANE, who was married to Shai AVISHAR, was working as a police informer for the Gold and Diamond branch and later for the Organised Crime Unit. It is believed that she was using these contacts to her own advantage. It is also possible she was giving more information than just the diamond smuggling, as she was reporting/giving information to Doppies MINNAAR. According to one of the author’s sources, Jaques JOUBERT (Paul ECON was also involved) was working with Pik BOTHA and Magnus MALAN through the front company JACKHOLD and NAMIB GEMS as part of a MI project. Part and parcel of this business were UNITA diamonds through JACKHOLD and NAMIB GEMS to DE BEERS. In the BURGER of 15 JUNE 2001, DE BEERS denied reports from the Angolan government that they deal in UNITA diamonds, but can it be where there is smoke there is fire? The author was invited by a source to stop at his gate at a specific time to see who attended a meeting regarding UNITA diamonds, and LIPMAN arrived in his Rolls Royce and got out, together with Anton RUPERT. The people were there, so the author has to at least partially believe the source.
Another source has given the author a full layout of the diamond network and confirmed Pik BOTHA and Magnus MALAN were personally involved in the smuggling of diamonds. The major contact for them was Johan ERICKSON. They also made use of the DAI group whose leaders is Matoran SMULUG and PATAGIO who was like a brother with Shai AVISHAR head of the Israeli Mafia in South Africa. PATAGIO worked closely with Manny JUDEN who was the link to Serge MULLEN a Belgium contact. The DAI group worked also closely with Jeffrey REICHMAN who is the link to Johan ERICKSON, Jaques JOUBERT and Charles NEWMAN. PATAGIO is still very close and actively involved with Pik BOTHA and Magnus MALAN in diamond smuggling.
It had been widely speculated that top officials have been involved in the disappearance of children, but actually there are some facts available. The author had met an officer in the Security Branch who had an informer within the Gert van ROOYEN circle. It is a known fact that Gert van ROOYEN was involved with sanction busting together with Pik BOTHA. Somehow MOSSAD was also involved through Moss ESTAR and Ronald TANUR, both being linked to VAN ROOYEN. Both were kicked out of MOSSAD because of their paedophile activities, taking into further account that one of Pik’s closest friends is Les LEBANON of KADETT INVESTMENTS, who also is a known paedophile. Magnus MALAN has also been confirmed through various sources of being a paedophile. Both Pik and Magnus had been linked to the children that had disappeared for apparently sanction busting activities.
A most worrying factor also are the reports of Satanism in which Paul ECON is involved together with above-mentioned people, and Cyril RAMAPHOSA who is also a confirmed paedophile, and TOERIEN (see Annexure 24). The involvement of the DOMA church where TOERIEN was a minister and Gert van ROOYEN, Jaques JOUBERT and Charles NEWMAN were members, show that this group had no borders when it come to their operations. To use a church as a front is not acceptable. But one of the biggest unanswered questions will be if the CCB brothel in ZURICH was linked to the disappearance of the children. Considering that TOERIEN worked hand in hand with Jurg JACOMED, the spy from Switzerland, who was the target at the CCB brothel. How many other people were contaminated by the brothel of the CCB in ZURICH?
The author would like to express that the paedophile link can be confirmed, but not the Satanism link, although various affidavits in this regard had been made and reported at the TRC.
Also confirmed but not linked to the paedophile ring is that Cyril RAMAPHOSA, Roelf MEYER, Magnus MALAN and various associates are homosexual. Important to note is the EAG link with the people mentioned. The ANC recruited Dr. Tertius DELPORT because of his homosexual activities to gather information from him during CODESA.
As mentioned before, Magnus MALAN was helping UNITA acquire weapons through Victor BOET. BOET has personally admitted it. BOET is also working with the Russian Mafia.
The South African government was also supplying the rebels in the DRC with weaponry. It has been rumoured that EO will help the MDC in Zimbabwe.
Dr Wouter BASSON still had contact with Iraq in May 1999.
South Africa also manufactured 72 tactical nuclear warheads that have disappeared, fuelling the rumour that the “old guard” had hidden them as a last resort if plans didn’t go their way to use them.
The South African Intelligence Services during the apartheid years made extensive use of the various Mafia’s to bypass sanctions. It is known that making use of these Mafia’s were official policy, therefore the increase of crime can partially be blamed on the old apartheid regime because they give them official status during apartheid; only now these Mafia’s are back to their real speciality of crime. A problem that has to be addressed now is how much influence these Mafia’s have developed with the new ANC government. Looking at certain involvement and friendships with present politicians that was formed during the “apartheid” years, it seems that the Mafia’s have got everything under their control. Another point of concern is the EAG role in this contamination process by the Mafia’s on present politicians.
The Mafia’s role was very important to the Intelligence structures because it was the Mafia’s who needed to infiltrate the new leaders within the ANC. Most of them became leaders in exile because they brought money in to the ANC through criminal operations. As a Communist Party Member of Parliament told the author, “Everybody knows that we where involved with crime to raise funds”. More than 80% of ANC operations were known to the apartheid Intelligence. A great deal of this success can be attributed to the Mafia’s.
As the Mafia’s motive is to make money, it was easy money together with protection from the government. Crime and corruption can be directly attributed to the fact that there is no more money coming from the Intelligence structures, so to keep up with their lifestyles, they have to increase their criminal activities. They still have protection, but much more limited.
One of the pivotal figurers in the Italian Mafia is Don Roberto von Palace KOLBATSCHENKO, or more commonly known as Vito PALAZZOLO. Another notorious Italian criminal and close friend, Francesco PAZIENZA, was questioned in regard with the collapse of Banco Ambrosiano and the death of the MD that was found hanging from a bridge in London. Taking chapter three into consideration, one needn’t figure out what the reason was for the NP, and in person, Pik BOTHA, who was linked directly to the EAG, to accommodate PALAZZOLO in South Africa. Even now, following various requests from the Italian government to the ANC government in 1997, PALAZOLLO is still in South Africa.
A deep cover agent that infiltrated the contraband smuggling had discovered that Pik BOTHA and Magnus MALAN, together with Craig WILLIAMS, were involved.
It is important to add that Craig WILLIAMS had a personal ID number within the Italian Mafia and the Italian Mafia was also involved in these smuggling operations. WILLIAMS also worked closely with another Italian, Mario RICCI, of the company GMR. In GMR’S company report, RICCI described himself as Ambassador and Plenipotentiary Minister of the Coptic Catholic Knights of Malta. It is known that Italian criminals in particular like to use the Order, and plus minus 25 of these false orders exist. Annexure 17 was given to the author by TOERIEN. He told the author he had received it from Gustaf SUSSE of the Knights of Malta who represented Pik BOTHA, and that they wanted TOERIEN to do a CEP (See Chapter Three) for them. Taking then into consideration that there are only about 25 known false orders, it is again clear that there is a much bigger relationship than most people had previously known to exist. Craig’s personal relationship with Pik BOTHA and Magnus MALAN shouldn’t be discarded as just a political relationship. As the author has explained throughout the book, the same people are always involved and it can’t be just purely coincidental, as coincidence doesn’t repeat itself so many times with the same people over and over.
One of the main role players in the Portuguese Mafia is Nellio DENISE. He has three hotels in the Hillbrow area namely, Breakers, Mimosa and another one of which the name is unknown. He is involved in drugs, prostitution and truck hijackings (about 60% of all hijackings can be traced back to him). His contact was Basie SMIT, but now he has various informers within the police Anti-hijacking unit. He has two warehouses that the author knows of from where he distributes his merchandise to mostly Portuguese-owned shops and supermarkets. He has been infiltrated by the police but never arrested.
Alex KOUVARIS, although only second in line, is the main role player with the Safari hotel in Hillbrow as his main base. He is also involved with drugs and prostitution, but his runners are Nigerians. He is linked to the CCB through Staal BURGER
The Russian Mafia has been linked through Victor BOET to Magnus MALAN. They are involved with prostitution, weapons and gambling rackets like cage fighting. The Bulgarian Mafia for all practical purposes works with the Russians.
The Boere Mafia is more a syndicate and the main operator, PONG, is now in jail.
Both being active mainly with rhino horn smuggling, prostitution and crimes related to the Sea Fishery department. They and PONG, as well as Pik BOTHA and Magnus MALAN are involved with rhino and ivory smuggling, together with certain elements within the Intelligence machinery.
Shai AVISHAR, who was killed in 1999, was believed to have been the leader of this group. It is also believed according to various contacts that the Israeli Mafia was used as a front for MOSSAD. Shai was the third leader of this group that had been killed. Hazel CRANE was married to him and provided the flat that he had stayed in. Doppies MINNAAR of the Police Organised Crime Unit was Hazel CRANE’s handler. The apparent reason for the assassination of Shai AVISHAR was because Shai AVISHAR sent money to Yossi HARARI, the “godfather” of the RAMAT AMIDAR, Israel’s largest crime family. Two witnesses have already been killed and an attempt on the suspected killer of Shai AVISHAR, Lior SAAT, has been made.
A reliable source of the author mentioned that Shai AVISHAR was never killed but is actually in a witness protection program. Shai AVISHAR had photographs of him and Nelson MANDELA and Thabu MBEKI on the wall of his flat showing in which circles the Presidents of South Africa socialised.
In any other true democracy with all the scandals going around, no President would have been allowed to continue in that post, and no political party would have survived, indicating to the author that ANC supporters are emotional when they vote and are being exploited by their leaders. Thabo MBEKI himself said on national television in response to the Winnie MANDELA debacle on 16 June 2001, that in no modern democracy would Winnie MANDELA’s behaviour have been acceptable. So, in view of the following scandals, it is obvious that Thabo MBEKI must do the honourable thing and resign because he is destroying the ANC. Maybe that is exactly what he is doing together with the EAG. You must have a potato for a brain if you still support the present government (The ANC). The only political party that is relatively clean according to the author’s research is the UDM of Bantu HOLOMISA. Roelf MEYER and his fellow EAG people tried to corrupt him, but failed and left the party. It may also explain why he was kicked out of the ANC.
On top of all the scandals is the blatant cover-up’s. This will ultimately lead to the downfall of South Africa because “clean” people are drawn into the criminal nest and won’’ be able to escape once inside.
There should be no doubt that irregularities had occurred during the arms procurement process, and prominent people had received money to influence decisions. Dr. Richard YOUNG was for all practical purposes forced not to use his classified documentation by Minister LEKOTA. In not giving YOUNG permission to use his documentary proof LEKOTA successfully prevented YOUNG to proof that corruption was involved. When the author approached a certain German group to do the investigation for them against the allegations, their reply was that they know about the irregularities and the German government had actually given their approval. What they did want to know from the author was where the leak in South Africa was coming from so they could stop it.
Again it is important to dig a bit deeper and see which people are involved with the scandal. Long before anybody had any suspicion that there were irregularities, certain German contacts of the author had mentioned that he have a look at the company VUWANI (Gen. Lambert MOLOI, the son in law of Joe MODISE is one of the directors). According to the sources, VUWANI was used to channel money to local people. The money came from British Aerospace and paid into MARWOL INVESTMENT in a Netherlands bank account. From there it was channelled through the Reserve bank (Charles van STADEN handled the transfer) to UKHOZI AEROSPACE and finally to VUWANI. From VUWANI money was paid to Joe MODISE and Thabo MBEKI.
The author discovered another irregularity when he looked into the activities of THOMPSON CSF. It is a well-known fact that THOMPSON CSF SA had been used by the French Intelligence as a legend for their operatives. Jean-Ives OLLIVIER, who now helps Thabo MBEKI with his image in French speaking African countries, whose links to THOMPSON CSF (SA and FRANCE) are also well documented, go back as far as the mid 80’s. Jean-Ives OLLIVIER’s relationship with French Intelligence is also well known. As the author had written earlier, modern Intelligence is about creating economic markets for your country. The French scandal with DUMAS the Former French Minister of Foreign Affairs together with Former President of ELF Loik Le Floch and former Elf executive Alfred SERVAN in the frigate sale to Taiwan just shows the author is right on the mark. SERVAN had close links with OLLIVIER, the involvement of OLLIVIER in the supplying of the armament suites for the South African frigates was definitely not coincidental. THOMPSON CSF South Africa received the contract for the armament suites in the frigates. Coincidence? The author is of the opinion that the French got their inroads to the deal through their old network, the EAG. Another friend of OLLIVIER, Francois MITTERAND’s son, spent Christmas 2000 in jail for weapon smuggling to Angola.
Siphiwe NYANDA, who took Jean-Ives OLLIVIER to Thabo MBEKI, admitted having received a Mercedes motorcar. Tony YENGENI, the ANC chief whip in Parliament, also received a Mercedes motorcar; actually two. One of which he gave to Wivine Ndlandu KAVIDI, a Congo-Brazzaville girlfriend of Jean-Piere OBA from Congo-Brazzaville, and arranged Congo-Brazzaville passports to Jean-Ives OLLIVIER and OLLIVIER’S partner, Dominique NASPLEZES.
Another angle to look at is the involvement of the Wise Men and Islamic Extremists in the arms deal. The author is not going into detail but the reader can have a look at Figures two and three in chapter one; the involvement is obvious.
As Max DU PREEZ mentioned when he broke the news about Thabo MBEKI’s womanising ways, is that everybody is talking about it in the corridors, but no one seems to have the guts to bring it out in the open. The same can be said about the drugs and scandals in which Thabo MBEKI is involved. The author has met various high ranking people within the media, intelligence, academic and business sectors who know about most of the activities that the author is now bringing into the open in this book.
One of the issues regarding Winnie MANDELA’s letter, revolves around Thabo MBEKI and his alleged night of passion with Sam SHILOWA’s wife.
The author was on a COIN course in 1983, and with him in his platoon was a person who mentioned three things to the author namely; (1. South Africa has Nuclear weapons; (2. South Africa is busy developing an attack helicopter and; (3. South Africa is busy doing research, developing a method of curbing blacks from multiplying. The plan is to make it look natural so the world wouldn’t suspect anything. One of the aspects was to make it a sexually transmittable disease because of the blacks’ hyperactive sexual tendency and having multiple sexual partners.
Various people are speculating about Wouter BASSON’S involvement in such a project. It wouldn’t surprise the author if South Africa was actually involved in developing the VIRUS and that other Western countries actually co-operated. Logically, from a Western perspective, it would make sense because they will save substantial amounts in foreign aid.
It is also been confirmed that Thabo MBEKI and various other senior ANC members are HIV positive. When the exiles returned the CCB ran a major operation in the “transit camps” by making available HIV positive woman to the men.
NEXTCOM brought in a court order against CELL-C, alleging that irregularities occurred in the awarding of the contract to CELL-C. Allegedly the Minister of Post and Telecommunications, Ivy MATSEPE-CASABURRI, and the Office of the President, interfered in the awarding of the contract. The issue was settled out of court, but there are still outstanding issues. One of the most important questions that is still outstanding is why again the same people that where involved with the arms scandal, are also involved with the CELL-C scandal. It seems that within the ANC there is a small group enriching themselves through their official positions. The inroads that the Muslims are making in getting their hands on the economy become more imminent in the Cell-C deal.
The incident that took place on 16 June 2001 just showed that MBEKI doesn’t have any respect towards elders and women and showed a lack of etiquette. MBEKI’s public reply on SABC 3 on 22 June 2001 showed exactly what the author had warned against in the preview. Thabo MBEKI’S reply that the gathering was a government arrangement does not carry any water, as he said that the gathering was in commemoration of the 16 June 1976 uprising against the previous government. Secondly, the gathering was addressed by the ANC Youth League vice-chairman and Walter SISULU (Wise MEN) who were there by Thabo MBEKI’s invitation because of their role in bringing apartheid to an end, (Also meaning it was ANC) which meant that Winnie MANDELA should have been seated alongside MBEKI. But sitting next to MBEKI was Mangosutho BUTHELEZI, the apartheid (EAG) puppet supreme. Perhaps the real reason for Thabo MBEKI not even sharing the platform is more of a situation where Winnie MANDELA is kept informed about these activities and he is too afraid to face her.
This followed a previous scandal between the two of them when a letter written by Winnie MANDELA to Jacob ZUMA, spelled out the unhappiness about another incident where Thabo MBEKI has said at a National Working Committee (NWC) meeting that Winnie MANDELA had spread gossip about his womanising activities. Winnie MANDELA told the author that the day after the incident, she had spoken to Tito MALEKA in regards to the incident. Tito MALEKA’S reply, according to Winnie MANDELA, was that he, Tito MALEKA, who is also in charge of ANC VIP protection, firstly knew about the incident, and secondly, he also mentioned various female cabinet Ministers including, Frazer MOLEKETI, as Thabo MBEKI’s mistresses.
MBEKI tried to retaliate with the Woman’s Day celebrations by circulate posters of him and Winnie to attend a meeting in the Western Cape knowing that Winnie won’t be at the meeting.
Again South African officials had fallen into a foreign trap. As with Thabo MBEKI and the Intelligence services, on Mbeki’s recommendation, that make use of foreigners to advise them, the SAA also brought in a foreigner. It seems that Thabo MBEKI and certain officials think that foreigners know better, but most worrying is that most of the times the foreigners don’t make a real difference, but leave the country with a lot of money. South African Airways (SAA) had appointed Coleman ANDREWS as President and CEO of SAA. Coleman ANDREWS came to South Africa with big fanfare but no mention was made about his past with WORLD AIRWAYS. WORLD AIRWAYS were often involved in clandestine paramilitary air services for the US Air Force. Coleman ANDREWS left WORLD AIRWAYS with a $1 million package and left WORLD AIRWAYS with a share price of $3 per share, whereas before it was $13 per share. Coleman ANDREWS’ package when he left SAA, was estimated to be in the range of R500 million. Alec ERWIN’s response in Parliament that it is not extravagant for a foreigner, does not carry water, because compared to the WORLD AIRWAYS package, it is extravagant, again giving the public reason to believe that the Government is hiding something. The only reason that there is a high-level cover-up, is that there are high-ranking officials who received money. Government won’t cover for small fish. At the same time saying that Thabo MBEKI didn’t know about this, is bullshit. Thabo MBEKI changed the law to allow him to personally appoint Director Generals, the reason being that he wants to be more in touch with the different departments’ performances.
If one analyses why Steve TSWETE made public the names of Mathews PHOSA, Tokyo SEXWALE and Cyril RAMAPHOSA, the reader will see that these three names are the same ones the author has mentioned right throughout the book. Taking into consideration that Thabo MBEKI’s name is not there makes it obvious that this was a strategic move. The question is now -by whom? The chances that the Islamic Extremists were responsible for it, are highly unlikely. Ever since the mid-nineties there has been conflict between the groups. Both the other groups, the EAG and the Wise Men, gained an advantage out of the plot scandal. The EAG got their advantage through the fact that the three persons, Tokyo SEXWALE, Mathews PHOSA and Cyril RAMAPHOSA can’t be arrested now because the issue had become politicised anyway. Their names where linked to a plot as far back as 1996. If the EAG where behind this plan to expose the names, the advantage now is that if the three are not going to be charged, it will mean that publicly they will be regarded as being not guilty, and any further investigations regarding the plot will be brushed off as nonsense. This means that the EAG can continue with their plans without any interference.
The Wise Men gained their advantage through the fact that none of the three persons can now challenge Thabo MBEKI. The Wise Men are under the impression that Thabo MBEKI supports the Wise Men, again to the advantage of the EAG, and any plans of the Wise Men to stop them is neutralised. The author will give a more comprehensive summary in the final chapter.
The recent scandal regarding officials of the Central Energy Fund that received more commission than was allowed, is even more compelling than the general public is aware of. Consultants bought oil for $9 per barrel from Libya and then sold it for $23 per barrel to the Central Energy Fund. The Central Energy Fund then sold it to Government at market price that was around $32 per barrel and took commission. The problem wasn’t the 10% commission they took on the $32 per barrel, but the extra $9 per barrel they made, because the Central Energy Fund is supposed to be a non-profitable organisation.
In another twist around Thabo MBEKI, the Vice-President, Jacob ZUMA, out of the blue made a statement that he supports Thabo MBEKI and he does not have any presidential ambitions.
Then there are also the so-called ‘foreign advisers,’ Michael OATLEY, a former second in command of MI6 of CIEX, and Jean-Ives OLLIVIER, a French spy working for Thabo MBEKI. According to Intelligence sources Michael OATLEY is still working for MI6 on SADC affairs and Thabo MBEKI is aware of this, meaning that Thabo MBEKI is committing HIGH TREASON. The same goes for Jean-Ives OLLIVIER, but he is working for the French Intelligence.
Again the same people that where involved with the arms deal and CELL-C contracts can be seen in the so-called taxi reform process. It will also be interesting to learn the answers to the taxi leaders’ sudden silence on these issues. Not too long ago when the former Minister of Mineral and Energy Affairs, Pik BOTHA, announced a petrol increase, all taxi unions embarked on a strike. The petrol price has almost doubled since then without a single strike. Did COSATU pay the leaders of the Taxi unions to be quiet? At the same time the new reform is nothing more than a moneymaking racket by the Government. All the new taxis will need to be financed, giving full control over the taxi industry to the Government.
Although not a real scandal, one has to look at the labour union as an excuse for a few to make money. For instance, if there are a million people affiliated to COSATU, and each person pays R30 per month, COSATU is making R30 million a month. What is COSATU doing with this money? Some people are making money, and it is not the workers, who pay R30 per month. Taking into consideration that Cyril RAMAPHOSA had worked for the Security Police, Tito MBOWENI, who is using drugs and therefore most likely to be an informer as well, and Sam SHILOWA getting out of his limousine with a fat Cuban cigar (costing R250 each), and each one telling the people that the rich get richer and the poor get poorer, it becomes a real joke, making a mockery of the workers paying R30 per month. How many times have these leaders visited the real workers at their workplace? Labour unions should be non-profitable organisations as they are supposed to help people, not steal from them and enriching themselves. It is also interesting that the Department of Labour announced that they are going to limit the registration of new unions. Why? Are the new unions a threat to the profitability of COSATU? COSATU, who are shareholders in MTN and the Randburg Water Front, to mention but two, what are the advantages to the people? Only management scores.
The Intelligence community was also responsible for various scandals. Some of them include the spy camera at the German Embassy, high technology computers that were stolen, various vehicles were stolen, one of their informers was actually planting bombs with PAGAD and the organogram of the arms deal, to mention but a few.
The CIA, MI6 and the EAG and its representatives in the Intelligence community are destabilising the whole of SADC. Countries like Angola, DRC, Congo-Brazzaville, Zimbabwe, Uganda, Mozambique and South Africa are being destabilised. The main reason for this destabilisation is economic. The South African destabilising goes hand-in-hand with the EAG plan of coming into power again by the year 2003.
Another source for destabilising the SADC and Great Lakes region is the Wise Men. Swaziland, Zimbabwe, Botswana, Namibia, Lesotho are all countries that are unstable because of Labour unions. Part of the cold war strategy was to destabilise the SADC region in the way it is being done now. The question now is – who is behind this process within the movement; is it the Wise Men, the EAG, Islamic Extremists, one of the West’s Intelligence services? Only if the answer is found to this question can stability return, together, of course, with the expulsion of criminals within political parties.
As mentioned in Chapter 1, the three main groups in South Africa, namely the EAG, the Wise Men and the Islamic Extremists are also involved in destabilising the SADC region. The Islamic Extremists’ activities are limited mainly to South Africa but will expand northwards as their support base gains strength in the South and is based on religion. The Wise Men’s plans for the SADC are based on the Communist strategies as devised by the East Block countries ideologies and make use of the labour unions. The EAG plans evolve around a super economic region and use a combination of the above and criminal activities.
It is history what happened in Lesotho and the subsequent involvement by the South African Defence Force. It could have served as a warning to neighbouring countries that South Africa will and can become involved militarily if the need arises. But the most worrying factor is that this intervention coincides exactly with the USSR communist strategic plan for SADC during the cold war. Primary Intelligence indicates that Wise Men Intelligence structure was responsible behind the scenes within Lesotho, thus creating the need for an intervention. Also part of this information was that the election results that were the cause of the problems, were actually altered by the Wise Men so that their puppet could become President. South Africa was part of the so-called investigation stating that no fraud was involved. What actually happened was that the Wise Men wanted a government they can manipulate in Lesotho. This led to the subsequent intervention by the ANC, intervening militarily against the opposition, who actually won the election. The author is of the opinion that the group in the ANC that was responsible were the Wise Men, although other possibilities can’t be ruled out.
The apartheid regime’s involvement with RENAMO is a well-known fact. It is however disturbing that there is still an underlying restlessness in the country.
Within RENAMO there are also some underlying problems that can lead to a split within the group, resulting in clashes that can escalate in an ongoing civil war. DAKAMA who feels threatened by DOMINGOS, subsequently kicked DOMINGOS out of RENAMO. What is also history now are the bloody clashes that left 42 people dead. A disturbing factor is why RENAMO only now, after almost a year, protested against the election results.
Another factor to take into consideration is the establishment of a movement by DOMINGOS with the business elite within Mozambique. The author is aware that DOMINGOS has presidential aspirations and is a leader who knows the political game and also has foreign support.
Jean-Ives OLLIVIER also had received shares in the Polana Hotel in Maputo, which was arranged for him by Pik BOTHA in person. According to a source, a loan wouldn’t have been granted to Karos hotels to upgrade the Polana Hotel if OLLIVIER hadn’t received some shares.
The uproar from the labour unions was, according to Intelligence reports, linked to Mathews PHOSA instigating the unions. However, everything is still not fine and can at any moment escalate into a civil war. It is also interesting to note the increased newspaper articles regarding the so-called democratisation of Swaziland and the call for SADC countries to put pressure on the King. Again Intelligence indicates that Wise Men within COSATU is behind the destabilising of Swaziland. All indications are that Swaziland will become a second Lesotho. What is worrying is that Mathews PHOSA reportedly was involved, leaving open the possibility that the EAG is trying to seize the communist plan, and looking to Joseph’s plan, it might well be that a new angle is in the process of being formed. There is no doubt that the problems originate from South Africa.
The EAG has a long-standing relationship with Swaziland, and their former informers were COSATU leaders. The Wise Men know this, and have their own people inside COSATU, as do the Islamic Extremists. A catch-22 situation exists in most of the cases but it doesn’t stop groups to still execute their plans. However, at this stage the only group that can “openly” execute its plans are the Wise Men, and if something goes wrong, they can blame it on apartheid (In essence they mean EAG). Because the EAG strategy is not about manipulation and control, but rather influence, it can be assumed that the Wise Men are behind these troubles, as the EAG already has enough influence in Swaziland.
In this country with strong links with the regime during the apartheid regime, there is also an underlying restlessness that can escalate.
The most recent events in the region and the implications for the region are enormous. South Africa had lost billions of Rands in investment opportunities that went astray. There are strong rumours that former EO operatives will be contracted to protect farmers.
But most important is that behind the destabilising in Zimbabwe, are the labour unions in Zimbabwe, with support from COSATU. The Wise Men and the EAG can be accredited with the current destabilisation process in Zimbabwe. The strategies of both groups for the region include making use of COSATU to rid Zimbabwe of MUGABE via the MDC.
The Wise Men’s main objective is of an economic nature in that they are striving to gain control of Zimbabwe’s economy via COSATU and through their labour union, which supports the MDC.
The EAG making use of ex-CCB operatives who were involved with criminal syndicates and used in the contamination process of the apartheid years. The Minister of Defence in the Mugabe government forms part of these criminal syndicates. Therefore, on the one hand, the EAG can control the process of lawlessness through non-intervention by the security establishment of the government. On the other hand, they manipulate the MDC through COSATU. Again it is about full control over the country, so both the Wise Men and the EAG can carry the blame for the trouble in Zimbabwe. The EAG and The Wise Men want to oust MUGABE because he is uncontrollable. More farmers had been killed in South Africa than Zimbabwe but the media make extensive use off the farm issue in Zimbabwe to discredit Mugabe. This show that the issue is not about land resettlement but rather about control of a leader.
Since 1989 COSATU has been very busy in activating labour in Botswana. Needless to say is that the end result will be similar to what is happening in Zimbabwe, Swaziland and Lesotho.
OPM, established by EO, and acting now as a front for SASS, was responsible for the training of BOTSWANA Intelligence top structure personnel. You don’t need to be a rocket scientist to figure out that it was nothing other than a recruitment exercise.
Namibia is also troubled in the Caprivi region. Some people had crossed into Botswana and subsequently got political asylum. The same pattern is evolving here.
Although the government seemingly made major progress, UNITA is on a comeback trail and has threatened to take the war to the towns. At the end of the day when the government gets the upper hand, countries like America and France start to support UNIITA. When UNITA gets the upper hand, they support the government. At the end of the day they get oil at $9 per barrel, more than 60% lower than the market price. America and France then export their own oil at market prices. Also worrying is the fact that UNITA apparently had received chemical and biological weapons, according to a reliable source. To illustrate the double standards from especially the Americans, it had been mentioned to the author that the Americans had made a deal with UNITA whereby America would help them in return for UNITA’S help to overthrow KABILA.
Jean-Ives OLLIVIER is also active in Angola and has very close ties with the President DOS SANTOS. OLLIVIER has a long-standing relationship with DOS SANTOS. OLLIVIER was the contact person for the apartheid government during the negotiations for the release of Special Forces officer, Wynand DU TOIT. It has been reported that the French have become very active in the day-to-day activities of the country. OLLIVIER was also involved in the arms supply to the government. Not surprisingly, he was supplying UNITA.
The war in Angola has gone to far and to long to change to a peaceful settlement. The best solution is to divide the country in two.
The French are very active in this country through Elf that advanced the money to oust LISSOUBA. French operatives operating in this country include Jean-Ives OLLIVIER, Alfred CERVAN (He has been convicted in France with the former Foreign Minister for corruption) and ROBIERE. They have contact with the President himself who makes no decision without the approval of his French advisors. Dominique NAZPLESES, as well as OLLIVIER, had received their Congo-Brazzaville passports from Jean-Pierre OBA. OBA’s girlfriend is the lady who is driving around in Tony YENGENI’s Mercedes. The French control this country for all practical purposes.
CHILUBA is personally trying to recruit people to assassinate the present President. CHILUBA has about $54million to his name and is also trying to gather a military force to assist in the overthrowing.
Three persons from Israel had bought R600 million worth of diamonds, according to General MUNENE. One of the author’s contacts has just returned from Moscow where they made purchases for KABILA. MOSSAD is presently involved with a project to monitor the chemical and biological manufacturing plant in Libya. The author has confirmed that the French and Belgians had been behind the assassination of KABILA. The author has also confirmed that the South African government, together with Jean-Ives OLLIVIER, is supplying the rebels of Jean-Pierre BHEMBA with all necessities, from arms to provisions. OLLIVIER made the arrangement through Tito MALEKA, Siphiwe NYANDA and MBEKI in person in exchange for the building of MBEKI’S image in French-speaking African countries. OLLIVIER is also actively involved in contaminating MBEKI and feeds the French Intelligence with all the information. The French had made use of OLLIVIER’s connection in Angola to infiltrate high-ranking officials in the DRC. A number of DRC high ranks were in exile in Angola and are married to high ranks in the Fatunga tribe in Angola. One of OLLIVIER’s spies is also now a senior Minister. OLLIVIER is making use of this Minister to channel information and certain contracts to the Angolans where OLLIVIER again “helps” with acquisition.
According to sources, another assassination can’t be ruled out; again fingers point to OLLIVIER and his French operators. Gen. OLENGA and the Minister of Intelligence, KASADI, were mentioned as OLLIVIER’s spies in the DRC government. OLLIVIER and the French are supporting Jean-Pierre BHEMBA. OLLIVIER mentioned to the author that when BHEMBA gets into power, money would not be a problem. A UN security report mentioned that OLLIVIER was involved with the theft of DRC resources.
Some apartheid syndicate operators are still very active in the country with crime-related activities in which government officials are involved with. Also in this country an underlying uneasiness exists.
The major collaborator with the EAG is the German group, Adler, which represents The Fourth Reich. One of the leading figures within this group is Gunther Poltzl. The author had met Gunther on various occasions, but the only reaction he could get out of him is that he said he knows a lot, but will never speak.
The first person and the major contact regarding the information regarding Gunther and the Adler group is a former East German spy. It is then also important to mention that Gunther and Wolfgang BAUER are presently involved with WOLLENHAUPT and Sydney MUFUMADI in an oil deal with EXXON.
Gunter was apparently also involved in the assassination of Chris HANI. Since World War II, the Adler group was also actively involved with South African economic and political affairs, as well as the high yield program.
Together with the Adler group and individuals in the German government, the Germans were able to create the biggest hoax in regard to enriched uranium for their nuclear power stations in Germany. Germany has approximately 72 nuclear power stations, and after World War Two with the treaty, they were not allowed to manufacture their own enriched uranium, so they had to buy from other countries at great cost. So they apparently started to “recycle” their used uranium, but according to the contact they only recycled about 3%. The rest was bought from South Africa and the then USSR.
It is important to take into consideration that an exact replica of the Lichtenstein Castle had been built in Hout Bay, South Africa. The Lichtenstein castle apparently had played a major role in the history of the Third Reich, so why would somebody build a replica in South Africa?
Gunther POLTZL also has close ties with Gunther KOLPING, and POLTZL’s attorney is ANTCHISOVICH. There are still a lot of questions that need to be answered, but there appears to be more and more questions coming up, the deeper one digs. A book that has to be read together with this group is: GERMAN HISTORY 1860- published by GOLDSTEIN PUBLICHERS.
The author has made use of four contacts that have given information regarding the Adler group. Other names that had been positively linked to the Adler group are:
According to WOLLENHAUPT, the author should approach Christiaan MEYER, a former station head of German Intelligence in NIGERIA. MEYER is the person who uses the telephone number that was given in chapter four under German Intelligence. WOLLENHAUPT had checked the number for the author and confirmed that the number belongs to German Intelligence.
Also interesting is that it was a known fact that Dirk STOFFBERG, who was linked to “RED MERCURY,” was a great NAZI supporter, often parading in his NAZI uniform.
The fundamental theme from where everything evolves are the high profile apartheid informers like Jacob ZUMA, Mathews PHOSA, Cyril RAMAPHOSA and Joe MODISE within the ANC, and the subsequent drug activities of Thabo MBEKI, Tokyo SEXWALE, Mathews PHOSA, Joe MODISE, Cyril RHAMAPHOSA. If this is not resolved, the ANC and this country’s people will never be free. From this situation all other problems evolve and opportunities open up for foreign forces to corrupt situations like the Arms procurement, Cell C, Drivers licences, SAA debacle, the corruption within the Central Energy Fund and others. Figure 7 gives a summary to the reader.
Point A represent the EAG. Point B represents the Wise Men and point C represents the Islamic Extremist. Point D represents the ANC alliance and the Government at the present moment with point E the position where they are supposed to be. If points A and B on the circle were drawn in a strait line they would have represented opposites. The reason why a circle is used is that they are opposites but their methodological approach is very similar to the point that they almost meet. C is a combination of A and B. The big problem is that D is in the middle of these groups because of the contaminated people. The only way out for the ANC and to move to point E is to get rid of the contaminated (A, B and C) people. This is the only way forward and if it is not done the future of South Africa and the region is doomed. To the people who are protecting these people you are jeopardising your own freedom and the people you are protecting isn’t worth it.
It can be confusing and contradictory because of all the groups involved in the destabilising processes. This is perfectly normal. The bottom line is that there are secret groups destabilising the country. Even the NP themselves acknowledged as far back as November 1994 to the UN Conference on Organised Crime in NAPLES, ITALY, that smuggling routes where established for arms, ivory, stolen cars, heroin and cocaine by the apartheid government. The ANC themselves acknowledge that there are secret forces trying to destabilise the country. No government in the world will acknowledge what the author has exposed. That is why the author has informed the reader in the preface that with all the information that is given in this book, in future readers will be able to analyse the news on their own and be able to read between the lines.
The people mentioned in this book who are in power will never acknowledge the fact of their involvement as mentioned. As a matter of fact a major propaganda drive against this book will be launched by them by twisting the truth and making them lies.
Another concern is Thabo MBEKI’s preoccupation with sufficient Intelligence. What does he have to hide? Already there is the SASS, NIA, MI, SAPS, Intelligence, Scorpions, DIS, the ANC’s Intelligence service and the newly formed Special Intelligence structure in the President’s office and a bunch of private companies like CIEX and Congress Consultants. As the author mentioned elsewhere, it is very good to have Intelligence structures, but what we have here is absurd. One structure is enough, if they do their job properly
As the author stated in the beginning, this book is not about the past but about the future. If your intention is to build a country then you capitalise on the positive and not harp on the negative, because the negative aspects divide. The three main groups, the EAG, the Wise Men and the Islamic Extremists are clearly using criminal elements within the ANC to enhance division through their own agendas. It is therefore imperative that these criminals be removed from government. The only people, who can effectively accomplish this task, in the immediate future, are the uncontaminated leaders within the ANC. In the long run, the responsibility rests squarely on the shoulders of the voter’s to decide the future of South Africa.
REMEMBER; THIS BOOK IS PROTECTED BY COPYRIGHT. IF YOU COPY THIS BOOK ILLEGALLY YOU ARE NO BETTER THAN THE CRIMINALS IN THIS BOOK!
Please inform all the people on your E- mail address book about the book, to be informed is the only way forward!
ANC = African National Congress
ACDP = African Christian Democratic Party
AIN = Associated Intelligence Network
AWB = Afrikaner Weerstandsbeweging
BKA = Boere Krisis Aksie
BND = German Intelligence
CCB = Civil Co-operation Bureau
CIA = Central Intelligence Agency
COSATU = Congress of South African Trade Unions
DA = Democratic Alliance
DCI = Directorate of Covert Information
DG = Director General
DIS = “was” the ANC Intelligence Agency
DP = Democratic Party
DRC = Democratic Republic of Congo
EAG = Enlightened Action Group
EO = Executive Outcomes
ESCOM = Electricity Supply Commission
FF = Freedom Front
HNP = Herstigte National Party
IFP = Inkatha Freedom Party
KGB = Russian Intelligence
NAI = New Africa Initiative
MDC = Movement for Democratic Change (Zimbabwe)
MI = Military Intelligence
MI6 = British Intelligence
MK = Umkhontu We Sizwe
MOSSAD = Israel Foreign Intelligence Agency
NAI = New Africa Initiative plans
NIA = National Intelligence Agency
NICOC = National Intelligence Co-ordinating Committee
NIS = National Intelligence Service
NOCSA = National Olympic Committee of South Africa
NP = National Party
NUM = National Union of Metalworkers
NWC = National Working Committee (ANC)
OPM = Orion Professional Management
PAC = Pan African Congress
PAGAD = People Against Gangsters and Crime
RDP = Reconstruction and Development Program
SACP = South African Communist Party
SADC = South African Development Countries
SAPS = South African Police Services
SASS = South African Secret Service
SPU = Special Projects Unit
TRC = Truth and Reconciliation Commission
UDF = The United Democratic Front
UDM = United Democratic Movement
UNITA = Angolan Political Party
USSA = United States of Southern Africa
WM = Wise Men