This as the alleged Gupta affiliate’s bail application resumes in the Bloemfontein Magistrate's Court on Tuesday afternoon following an adjournment earlier of more than two hours to allow for the accused’s legal counsel to consult with him regarding the prosecution’s supplementary affidavit. 

In the affidavit, investigating officer, Mandla Mtolo, says the vast majority of Sharma’s estate lies outside of the country. This is in stark contradiction to the accused’s assertion that South Africa is his primary home, a place he often returns to from his frequent work trips abroad. 

Sharma was arrested alongside four others in Gauteng, Mpumalanga, and the Free State last week regarding a near R25 million feasibility study carried out on the Vrede dairy project in 2011 under the Mohoma Mobung initiative. The former Transnet board member’s legal counsel, Stephanus Johannes Coetzee, just wrapped up his address to Magistrate Estelle de Lange as to why his client should be granted bail.

Coetzee says in his address that his client has indeed travelled extensively abroad for work but clearly considers South Africa to be home because it is where he returns to and where he is primarily based.  The senior legal eagle reminded the Magistrate that the constitution of South Africa confers upon citizens the presumption of innocence until proven guilty. Furthermore, the defense is of the view that this case is going to take years to go to trial in light of the lengthy process to have the Gupta family members embroiled in the case extradited. In fact, Coetzee calls it the “rubicon” of the matter, because extraditions can take anywhere from two to three years, in some instances.

The state contends that Sharma deliberately concealed that Issar Global - a company he owns in the United Arab Emirates (UAE) - received over R200 million between August 2016 and December 2016 from the country and is likely to make use of said funds to set up a safe haven in the UAE. Coetzee refutes this.  

The feasibility study, central to the case, was given to Gupta-linked Nulane Investments to ascertain the feasibility of the Vrede Dairy Project under the "Mohoma Mobung" initiative. Nulane investments is owned by Sharma. The fifth suspect, Sharma’s brother-in-law, Dinesh Patel is a representative of Nulane Investments. He will formally appear in court on 15 June due to health reasons. It’s alleged Nulane roped in Deloitte to conduct the feasibility study for the Free State Agriculture Department, which they did for only R1,5 million. Nulane then subcontracted the work already carried out by Deloitte to Gateway Limited and paid them R19 million. The state alleges the funds were laundered into varied accounts thereafter including that of Islandsite Investments owned by the family.

Sharma has, in his affidavit, distanced himself from the running of Nulane and said he was “not the controlling mind” of the company. The state says that this is an extraordinary contention to advance, given that he was the sole director and shareholder of Nulane at all times. The company no longer exists.

Meanwhile, the businessman’s co-accused, former head of the Free State Agriculture Department, Peter Thabethe, was granted R10 000 bail earlier on Monday. This was despite the state’s persistent request for denial of bail on account that it will erode the public’s faith in the South African justice system. Magistrate De Lange said in her decision that the state’s view that granting bail will erode the public’s confidence in the justice system is ruled by public perception and South African courts do not function based on public perception.

She further added that Thabethe is currently facing similar charges in the Bloemfontein High Court and has not evaded arrest or attempted to interfere with witnesses - a further indication as to why he should be released on bail. The men’s co-accused, Limakatso Moorosi and Seipati Dlamini, were granted R10 000 bail each on Thursday 3 June.

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