Basson was dismissed from the Defence Force on 31 March 1993, in the wake of Gen. Pierre Steyn's report to F.W. De Klerk. He was immediately re-employed for 12 months to tie up the loose ends of Project Coast. His senior officers instructed Basson to retrieve the money that was lost during the alleged deal to purchase methaqualone from Croatia. From March 1994-October 1995 Basson was not employed by the military, but he was reinstated by a cabinet decision in 1995.
During the period 1993-1995 Basson appears to have had strong links with Libya. These included consulting on the management of a planned railway line in Tripoli for three years from March 1993. He was also employed as a consultant on the construction of hospitals in Libya.796
Christopher Marlow spent 18 months in Libya between 1994 and 1995 in connection with the business of a company, Libgro, set up by himself, Basson and Mijburgh. According to Marlow, Libgro was set up in 1993/94 specifically to handle “the Libyan arm of business”. Testifying in court Marlow was adamant that in all his dealings with Libya he had absolutely nothing to do with intelligence matters, and that his involvement at all times was “purely business”.797 Basson's interests in Libya were not military related according to businessman and ANC supporter, Sol Pienaar, who told the court that he accompanied Basson on his first trip to Libya in 1993. He said that he had not known that Basson was linked to the military until it was revealed by media in the mid-1990s.798
Basson made more than one trip to Libya with Pienaar who introduced him to his contacts in Libya, including Yusaf Murgham. These trips did not go unnoticed by the South African intelligence service who were keeping watch of Pienaar because of his relationship with Murgham.799 Nor did they go unnoticed by the United States and the United Kingdom intelligence services. In fact it was concern about these trips that led the United States and the United Kingdom to urge the South African government to re-employ Basson in 1995 so that he could be brought