Deputy Chief Justice Raymond Zodo. Picture: Karen Sandison/African News Agency(ANA)

Johannesburg - The Zondo commission will this week begin hearing evidence on how state capture affected state-owned arms manufacturer Denel. 

Kgathatso  Tlhakudi, the deputy director general at the department of public enterprises, will take the stand on Monday. 

Like many of the country's state-owned enterprises, Denel was also targetted in the Gupta family's ambitions to enrich themselves.

The Guptas tried to capture Denel through the creation of Denel Asia which was set to be a joint venture between Denel and VR Laser Asia, a company controlled by Gupta linked Salim Essa. 

The company was meant to be a vehicle for Denel to sell arms to India. The revelations about the Guptas involvement in the deal were revealed in the Gupta leaks. 

It is also alleged that Guptas bribed various officials at the Denel in order to curry favour. 

The Gupta emails showed that former director Daniel Mantsha sent confidential documents to the Guptas. In turn, the family sponsored his travels overseas. It also seemed like he had his municipal bills settled by the Guptas. 


The National Treasury viewed the joint venture between Denel and VR Lazer as illegal because it had not been approved under the Public Finance Management Act. 

Last week the inquiry settled hearing evidence from another SOE Eskom where the Gupta family was successful in their efforts.