South Africa Moves to Cut Activist Aid : New Law Would Ban Use of Foreign Funds for Political Purposes

The South African government, continuing its crackdown on anti-apartheid groups, proposed new legislation Tuesday that would outlaw foreign funds to finance political activities here.

The broadly worded draft legislation could be used to curb the activities of a wide range of anti-apartheid organizations--churches, labor unions and civil rights groups--some of which depend on foreign contributions for as much as 90% of their operating budgets.

Other targets, diplomats believe, are the large assistance programs of the United States and several West European countries.

$22-Million U.S. Program

The American program is the largest, with a current budget of about $22 million. It not only finances hundreds of scholarships for black university students but also puts considerable money into community organizations, labor unions and self-help projects, some of which the government seems to feel could become threats.

Money sent from abroad to some opposition groups is like “petrol (gasoline) being poured on a fire,” Justice Minister Kobie Coetsee declared, advancing the government’s argument that the civil unrest of the last four years results from a Communist-led, foreign-financed “total onslaught” against Pretoria.

Tighter restrictions are needed to halt the inflow of foreign funds, Coetsee said, because the present laws are too difficult to apply and the government often cannot prove its case to the satisfaction of the courts, with the result that its orders are overturned.

Under the draft legislation, the justice minister could declare groups or individuals to be “restricted” and require them to turn over to a government official all funds they received from abroad.

If the official decides that the money is intended for a political purpose, he could return it to the foreign source or dispose of it as the government wishes.

Approval Expected

Entitled “The Promotion of Orderly Internal Politics Bill,” the legislation is expected to be approved by Parliament about the middle of the year.

The proposed legislation would also impose tough penalties of up to two years in prison on anyone convicted of “fomenting hostility” between racial, cultural or religious groups, or displaying flags, banners or slogans that the government believes to cause such hostility.

Anyone attending a gathering where such symbols are displayed could be imprisoned for up to two years, fined $2,000 or both. The justice minister’s declaration outlawing a given symbol could not be challenged in court.

The measures drew immediate protests from members of Parliament and from churches, civil rights groups and other organizations.

David Dalling, a Progressive Federal member of Parliament, said President Pieter W. Botha already has sweeping powers under existing laws to prevent “funds from flooding in to foment a revolution.”

Wayne Mitchell, national coordinator of the Institute for a Democratic Alternative for South Africa, said the measures appear to be aimed particularly at organizations such as his, which are challenging the government with attempts to achieve political breakthroughs and depend largely on foreign donations.

Brown Shirts, Pistols

The government, meanwhile, announced in Cape Town that police are investigating the far-right Afrikaner Resistance Movement for possible violations of security laws.

The group held a rally of 5,000 in Pretoria on Saturday and drove in hundreds of cars to the government buildings there to present their petition for an all-white state to be carved out of South Africa. Although many of the participants were armed with pistols and rifles and wore brown shirts and Nazi-style insignias, the police did not interfere.

Adriaan Vlok, the minister of law and order, warned the group, known as the AWB from its initials in Afrikaans, that the government is determined to maintain public security.

“Reckless exploitation and the inflaming of emotions and feelings, accompanied by a terrifying show of armed force, cannot be tolerated,” he told Parliament.