Politics-South Africa - United Democratic Movement president Bantu Holomisa is "dismayed" a new report that President Jacob Zuma's family is benefiting from business deals involving the government, he said on Sunday. "The UDM has noted President Zuma's position that there is nothing wrong with his family getting involved in business," Holomisa said in a statement. "However, it cannot be justifiable that his family should benefit personally from his position or his trips abroad on government business, such as is the case in these latest media reports that his son is going to benefit from the multi-billion rand rail projects announced recently by the Minister of Transport."

The Sunday Times reported that Zuma's son Duduzane and business tycoon Rajesh Gupta were directors and shareholders in a deal with China Railway Construction Corporation that places them at the forefront to cash in on the government's R550 billion rail infrastructure programme.

"This sends the wrong message entirely, it compromises the president and the country, and puts South Africa in the same league as those presidents and countries in northern Africa who have recently been subject to popular revolt," Holomisa said.

"The UDM calls on President Zuma's family to immediately withdraw from all business contracts that relate in any way to government business --such dealings constitute a conflict of interest."

Sapa/21/02/2011