Word: eschel
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Dates: during 1978-1978
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...Mostert's report, some of the funds, intended for a covert campaign to secure favorable coverage for South African policies in the foreign and domestic press, were diverted to dubious business ventures and the personal pleasures of departmental officials. The main schemers were identified as the brothers Eschel and Deneys Rhoodie, who until a few months ago served as Secretary and Deputy Secretary, respectively, of the department. Witnesses told Mostert that the Rhoodies had illegally used government funds to subsidize an unprofitable South African newspaper, finance a $6 million movie that flopped at the box office, and traffic...
...fertilizer company directed by Businessman Louis Luyt, 46, with $15 million in government cash -a direct violation of treasury regula tions. In exchange, Luyt testified, he pledged as publisher of the Citizen to support editorially the government's apartheid policies. But, Luyt said, he soon tired of Eschel Rhoodie's incessant efforts to meddle in its affairs. In February, the department helped arrange a sale of Luyt's interest in the Citizen to businessmen including Dallas Lawyer David A. Witts and Beurt SerVaas, chairman of the Curtis Publishing Co. Luyt has yet to repay the loan...
...Mostert's report does not touch on the alleged attempt to purchase the Washington Star. As described by the Daily Mail, the department in 1976 "loaned" $11.5 million from the slush fund to Michigan Publisher John P. McGoff, who is co-owner with Eschel Rhoodie and Mulder of a large farm in the Transvaal, to finance a $26.3 million offer for the paper. Joe Allbritton, the Texan who owned the newspaper from 1974 until he sold it to Time Inc. this year, denies that McGoff ever approached him. McGoff, whose Panax Corp. publishing company acknowledges bidding for the Star...
...some of its leaders could suffer permanent damage to their political careers and reputations. Largely because he flatly denied to parliament that government funds were involved in funding the Citizen, one leading Afrikaans newspaper has suggested that Mulder should "review his position'' -a euphemism for resign. Eschel Rhoodie has hinted that an unnamed three-man Cabinet committee supervised the operations of his department. Prime Minister Botha has appointed yet another investigating committee, which is supposed to report to parliament in three weeks. Even John Vorster's name has been mentioned in the scandal; Luyt told Mostert that...