Block claims ill health but fails to avoid jail

07 November 2010 - 02:00 By MZILIKAZI WA AFRIKA and STEPHAN HOFSTATTER
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John Block, the Northern Cape ANC leader who was arrested this week on corruption charges, wants out of jail because he needs his wife to dress and feed him.

The province's finance MEC has been in a police cell since his arrest and failed bail application on Thursday night. Two high court bids on Friday to secure his release for the weekend also failed and he is to remain in jail until a further bail hearing on Tuesday.

In papers filed before the court, Block said his "health does not allow for me to be in custody". He claimed he does not "have use of my right hand which was injured in a car accident". "As a consequence I am dependent on my wife to assist me in dressing and eating."

He added that, as a member of the provincial government, his incarceration would result in him "not being able to meet my financial obligations".

Block is the central figure in a web of allegedly corrupt hospital deals in the province worth tens of millions of rands, according to papers filed in the Kimberley Magistrate's Court.

He and eight others - including three senior government officials - have been charged with fraud, corruption and money laundering relating to questionable tenders.

Six are out on bail ranging from R10000 to R100000, but Block and Uruguayan businessman Gaston Savoi, the CEO of medical supplies company Intaka, remain in custody.

This after National Prosecuting Authority (NPA) boss Menzi Simelane, the lead prosecutor in the matter, insisted that they be denied bail. The case was postponed to March 18 for further investigation - meaning Block could spend Christmas in jail .

Court papers allege Savoi bribed Block in 2005 to ensure government officials awarded his company contracts worth more than R42-million for water and oxygen plants at grossly inflated prices. At least R16-million of this was allegedly used to bribe officials, including Block.

At the time he was provincial ANC chairman and headed the party's influential deployment committee, which decided who held positions in the provincial government.

Block's alleged bribes were disguised as "commissions" paid to his company, Chisane Investments. He was also a director of Intaka's Northern Cape branch at the time.

The invoices Block submitted to Intaka show he even charged VAT on his alleged bribes. This was uncovered when the Hawks raided Block's house and offices last year.

On Friday the Sunday Times also established that the VAT number used on the invoices is not registered with the SA Revenue Service.

In 2004 the Sunday Times revealed how Block, then a transport MEC, spent more than R22000 of taxpayer money to attend a jazz festival in Cape Town with his wife. Block was forced to resign as a result.

Trade union Cosatu, meanwhile, said the arrests signalled the government's commitment to cracking down on tender fraud.

However, ANC provincial secretary Zamani Saul ruled out suspending Block as the party was "absolutely convinced John is innocent".

But Simelane said he wanted Block behind bars to stop him from intimidating witnesses while the state finalised its investigation.

"These are very serious charges involving corruption," he told the court, adding that Block "has a habit" of interfering with public officials who could testify against him.

He said being an elected representative "counts against the accused" because the public was "gatvol" of tender fraud. Granting Block bail would also cause a "public outcry" by a "society (seized with) disgust".

  • hofstatters@sundaytimes.co.za mzilikazi@sundaytimes.co.za
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