Scrap fraud trial postponed to October

A SEARCH for additional documentation related to an allegedly corrupt scrap copper sale agreement that Telecom Namibia had with one of Namibia’s largest scrap dealers, Dresselhaus Scrap CC, has forced an almost eight-month postponement of the trial of the three men still being prosecuted in connection with the sales.

The trial of former Telecom Namibia General Manager James Camm and businessmen Ettienne Weakley and Heinz Dresselhaus is now scheduled to continue before Judge Collins Parker in the High Court in Windhoek from October 6. The trial started on January 29 with the three charged men all pleading not guilty to 11 counts of corruption, 13 charges of fraud and six counts of theft.The trial ran until the end of last week, when it was postponed to early October.The prosecution is alleging that Weakley, Dresselhaus, Camm and Telecom Namibia’s former Manager: Procurement, Ivan Ganes, were jointly involved in a scheme in which Telecom Namibia’s sales of scrap copper to Dresselhaus Scrap between mid-1997 and early 2001 were manipulated in such a way that Dresselhaus Scrap was allowed to pay Telecom Namibia less than the prices that had been agreed in a written agreement between the parastatal and the scrap dealership.It is further claimed that Dresselhaus Scrap was also allowed to charge Telecom Namibia for its labour and removal costs where Dresselhaus Scrap itself dismantled old phone lines from which it collected the scrap copper, whereas the agreement between Telecom Namibia and Dresselhaus Scrap specifically stated that removal costs would be Dresselhaus Scrap’s responsibility.According to Weakley and Dresselhaus, though, the initial written agreement that their scrap dealership concluded with Telecom Namibia in October 1997 was not the only valid agreement that they had with the parastatal.They claim that it was later agreed with Telecom Namibia that the price that Dresselhaus Scrap was to pay for copper bought from Telecom Namibia would be lower than the price stipulated in the written agreement – which however also contained a non-variation clause – while it was also properly agreed that Dresselhaus Scrap would be entitled to charge Telecom Namibia for its removal costs where the scrap dealership itself dismantled old phone lines.Ganes, though, has insisted during the testimony he has been delivering before Judge Parker over the course of eight days over the past two weeks that he and the three charged men had jointly conspired to implement a corrupt scheme in which Dresselhaus Scrap would be allowed to pay lower prices for copper bought from Telecom Namibia and would be allowed to charge the parastatal for removal costs.The extra profits were to be shared equally between the four men, Ganes is claiming.Ganes, who in June 2005 received an effective two-year jail term after pleading guilty to 13 charges of fraud in connection with the way the agreement was implemented, is supposed to return to the witness stand to face further cross-examination from defence counsel Willie Vermeulen, SC, representing Weakley and Dresselhaus, when the trial continues.A request from Vermeulen for Telecom Namibia and its lawyers to provide additional documentation on the operation of the scrap copper sales agreement to the defence prompted the postponement of the trial, which had initially been set to run to the end of this week.Camm, Weakley and Dresselhaus all remain free on bai.Camm is being represented by George Coleman.Deputy Prosecutor General Danie Small is prosecuting.The trial started on January 29 with the three charged men all pleading not guilty to 11 counts of corruption, 13 charges of fraud and six counts of theft.The trial ran until the end of last week, when it was postponed to early October.The prosecution is alleging that Weakley, Dresselhaus, Camm and Telecom Namibia’s former Manager: Procurement, Ivan Ganes, were jointly involved in a scheme in which Telecom Namibia’s sales of scrap copper to Dresselhaus Scrap between mid-1997 and early 2001 were manipulated in such a way that Dresselhaus Scrap was allowed to pay Telecom Namibia less than the prices that had been agreed in a written agreement between the parastatal and the scrap dealership.It is further claimed that Dresselhaus Scrap was also allowed to charge Telecom Namibia for its labour and removal costs where Dresselhaus Scrap itself dismantled old phone lines from which it collected the scrap copper, whereas the agreement between Telecom Namibia and Dresselhaus Scrap specifically stated that removal costs would be Dresselhaus Scrap’s responsibility.According to Weakley and Dresselhaus, though, the initial written agreement that their scrap dealership concluded with Telecom Namibia in October 1997 was not the only valid agreement that they had with the parastatal.They claim that it was later agreed with Telecom Namibia that the price that Dresselhaus Scrap was to pay for copper bought from Telecom Namibia would be lower than the price stipulated in the written agreement – which however also contained a non-variation clause – while it was also properly agreed that Dresselhaus Scrap would be entitled to charge Telecom Namibia for its removal costs where the scrap dealership itself dismantled old phone lines.Ganes, though, has insisted during the testimony he has been delivering before Judge Parker over the course of eight days over the past two weeks that he and the three charged men had jointly conspired to implement a corrupt scheme in which Dresselhaus Scrap would be allowed to pay lower prices for copper bought from Telecom Namibia and would be allowed to charge the parastatal for removal costs.The extra profits were to be shared equally between the four men, Ganes is claiming.Ganes, who in June 2005 received an effective two-year jail term after pleading guilty to 13 charges of fraud in connection with the way the agreement was implemented, is supposed to return to the witness stand to face further cross-examination from defence counsel Willie Vermeulen, SC, representing Weakley and Dresselhaus, when the trial continues.A request from Vermeulen for Telecom Namibia and its lawyers to provide additional documentation on the operation of the scrap copper sales agreement to the defence prompted the postponement of the trial, which had initially been set to run to the end of this week.Camm, Weakley and Dresselhaus all remain free on bai.Camm is being represented by George Coleman.Deputy Prosecutor General Danie Small is prosecuting.