Millionaire Accused of Propping Up Mugabe

The US treasury has frozen the American assets of one of Britain's richest men after accusing him of financially supporting Robert Mugabe's regime in Zimbabwe.

Describing him as a "regime crony", the US accused John Bredenkamp, 68, of providing financial and logistical support that "has enabled Mugabe to pursue policies that seriously undermine democratic processes and institutions in Zimbabwe". The treasury statement said he was "a well-known Mugabe insider involved in various business activities, including tobacco trading, grey-market arms trading and trafficking, equity investments, oil distribution, tourism, sports management and diamond extraction. Through a sophisticated web of companies, Bredenkamp has financially propped up the regime and provided other support to a number of its high-ranking officials. "

Meanwhile, the South African anti-corruption police raided his Johannesburg home yesterday over bribery allegations in an arms deal involving the defence group BAE. Detectives searched seven premises including BAE's offices.

Bredenkamp, who made millions as a tobacco trader, has been at the center of numerous investigations and allegations ever since he helped bust the sanctions against Ian Smith's regime in Rhodesia in the 1970s. Carrying passports from Zimbabwe and the Netherlands, he has indefinite leave to remain in the UK where he runs his international private equity group Breco from offices in Ascot, Berkshire.

The Foreign Office, which has already imposed an asset freeze and a travel ban on other Mugabe associates, said: "We welcome the US decision. We are considering a full range of measures with our EU partners in response to the continuing impasse in Zimbabwe."

A spokesman for Bredenkamp said the US decision had come "like a bolt out of the blue". He added: "His lawyers are seeking clarification from the US treasury."

Bredenkamp admits he broke sanctions for Rhodesia but has always denied other allegations - some from the UN - of illegally supplying military goods to Zimbabwe and exploiting mineral resources in the Democratic Republic of the Congo. He recently responded to claims of his closeness to Harare by saying he had not met Mugabe for 23 years. His South African lawyer, Ian Small-Smith, said detectives "left with nothing, not a single document" after raiding his house.

Investigators in South Africa and from Britain's Serious Fraud Office have been examining claims that BAE made corrupt payments of more than £70m to clinch a £1.6bn warplane contract in 2001.

BAE and Bredenkamp, who has acted as BAE's agent in southern Africa, have denied all wrongdoing. BAE said: "We continue to support the SFO in its inquiries, with access to people, information and premises whenever requested."