Ex-minister threatens to split South Africa's ANC

JOHANNESBURG (Reuters) - Former South African Defence Minister Mosiuoa Lekota threatened on Wednesday to split the ruling ANC following last month's ouster of former President Thabo Mbeki.

"It seems that we are serving today divorce papers," Lekota said at a news conference after complaining at length about what he called undemocratic tendencies in the African National Congress, which he said had betrayed its own principles.

Mbeki's overthrow by the ANC leadership, the climax of a long struggle with party boss Jacob Zuma, has caused the biggest political upheaval since the end of apartheid in 1994.

The ANC brushed off Lekota's move, calling it a "machination."

"We will definitely not be deterred by the formation of any new political parties," said spokeswoman Jessie Duarte.

Lekota did not announce a new grouping as had earlier been predicted by Talk Radio 702 although he repeatedly said the dominant ruling party, Africa's oldest, was near a split.

But he strongly indicated there could be a breakaway. "This is probably the parting of the ways ... We hope that sense may still prevail in us... If not there's no going back," he said.

He called for a congress of forces opposed to the ANC's current policies and direction within four weeks but said he had not spoken to opposition parties.

Flanked by another ANC dissident, former Deputy Defence Minister Mluleki George, he added: "Logically it seems that this is the end of it."

The ANC's Duarte said Lekota had intended to announce a party, which 702 had said would include other Mbeki loyalists, but something went wrong and it was "stillborn."

MARKETS UNAFFECTED

Investors are worried that Zuma, strongly backed by the Communist Party and trade unions, would push South African economic policies to the left if he becomes president after elections next year, as is expected.

But analysts said Lekota's announcement had not affected markets preoccupied by global financial turmoil.

It was not clear how much support Lekota, a former ANC chairman, had although he said hundreds of local party supporters had resigned and regional and provincial ANC branches were contemplating leaving.

Most analysts played down the impact of any breakaway party unless it was joined by ANC heavyweights including Mbeki. They said the party leadership might welcome the departure of dissidents to restore unity.

"I think the kind of breakaway possible under these circumstances will not make a significant difference," said Steven Friedman, a political analyst at Johannesburg and Rhodes universities.

Independent analyst, Nic Borain, agreed. "A breakaway party at this stage is unlikely to lead to a significant leadership exodus from the ANC, or to garner significant public support that genuinely threatens ANC dominance," he said.

Mbeki was forced out last month and replaced by Kgalema Motlanthe after a judge accused the former president of meddling in a graft case against Zuma. Motlanthe is expected to step down after elections expected around April 2009.

Lekota said those opposing the present leadership of the party would need to be in some kind of organisation but said there must be consultation first on the way forward.

On several occasions he attacked firebrand ANC Youth League leader Julius Malema, who earlier this year said he was ready to kill to defend Zuma.

Lekota complained about tribalism in the ANC and said the leadership had failed to crackdown on supporters singing songs calling for violence. It had also attacked judges as "counter revolutionary" because of judgements unfavourable to Zuma.

Zuma is known for his impromptu dancing, often outside hearings in his graft case, and trademark anti-apartheid song "Bring my machinegun."

Zuma, a sharp contrast to the austere and aloof Mbeki, ousted him as ANC leader last December.

Lekota said he was living with an "uneasy sense that the African National Congress has started moving away from the cause that attracted us."

The South African Communist Party, one of Zuma's leftist backers within the ruling alliance, branded Lekota as a rightwinger. "Finally the beast is in the open," it said.

But the main opposition Democratic Alliance party welcomed Lekota's statement. "The disintegration of the ANC has begun, heralding an exciting new era in South Africa," it said.

(Additional reporting by Michael Georgy, Gordon Bell and Rebecca Harrison; Editing by Louise Ireland)