Beddu named a suspect in new scam<\/p>\n
Abdul Kholik, The Jakarta Post, Jakarta<\/p>\n
Amid the nationwide drive to fight corruption, another huge case
\ninvolving Rp 841 billion (US$99 million) has surfaced linked to
\nState Logistics Agency (Bulog) officials and several
\nbusinesspeople.<\/p>\n
\"We have named seven suspects, namely three former Bulog
\nofficials and the directors of four companies, in the misuse of
\nRp 841 billion in animal feed subsidy funds,\" National Police
\nchief of detectives Com. Gen. Erwin Mappaseng said here on
\nWednesday.<\/p>\n
One of the three suspects from Bulog is its former chief Beddu
\nAmang, who served as its chairman from 1995 to 1998, Erwin said.<\/p>\n
Beddu, 67, had been convicted by the South Jakarta District
\nCourt that jailed him for two years on Nov. 5, 2001 for his
\ninvolvement in a land swap deal causing some Rp 20 billion in
\nlosses to the state.<\/p>\n
The two other Bulog suspects were identified only by the
\ninitials MA, a former deputy head of the agency's domestic
\npurchasing division, and MI, a former deputy head of foreign
\npurchasing.<\/p>\n
The four businesspeople also charged were those from PT
\nCharoen Phokphand, PT Java Comfeed, CV Cibadak, and CV Teluk
\nIntan.<\/p>\n
Both PT Charoen Phokphand and PT Java Comfeed are owned by
\nforeign investors, while the two others are local companies. PT
\nCharoen Phokphand, belonging to a Thai conglomerate, holds a 99
\npercent market share of the Indonesian animal feed industry.<\/p>\n
\"We are investigating the case following a report received a
\nmonth ago,\" Erwin said.<\/p>\n
He promised to issue arrest warrants after police
\ninvestigators obtained more evidence against the suspects.<\/p>\n
Sr. Comr. Marshudi, the National Police deputy chief of the
\ngraft division, said the graft started in 1997 when the
\ndirectorate general of animal husbandry asked the government to
\nprovide subsidies for domestic animal breeders following the
\nsharp rise in animal feed prices.<\/p>\n
At that time, the economic crisis had started to plague
\nIndonesia and the breeders could not afford to buy imported
\nanimal feed, he said.<\/p>\n
So, the government asked Bulog to import raw materials for
\nanimal feed, in coordination with the directorate general of
\nanimal husbandry and sold to breeders at cheap prices, Marshudi
\nadded.<\/p>\n
\"But Bulog instead let the four private companies handle the
\ndistribution and the sales. These companies sold the animal feed
\nfor more than Rp 3,000 per kilogram, much higher than the amount
\nset by the government of only Rp 1,200 per kilogram.\"<\/p>\n
He said the state lost Rp 841 billion due to the illegal
\npractice but did not reveal how much money had been recovered.<\/p>\n
\"We have interrogated all the suspects. Today (Wednesday), we
\nquestioned Beddu about his role in the scam but of the 25
\nquestions we asked, none were answered. He simply said, 'I don't
\nknow',\" said Marshudi.<\/p>\n
Beddu was disqualified by the General Elections Commission
\n(KPU) as a legislative candidate for the Regional Representatives
\nCouncil (DPD) for South Sulawesi in 2004.<\/p>\n
Marshudi said the police would charge the suspects with
\nviolating the anticorruption law as well as the Criminal Code.<\/p>\n
Corruption is not new to Bulog, the country's food regulator
\nand distributor. The agency served as a cash cow for politicians
\nduring former strongman Soeharto's regime.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/beddu-named-a-suspect-in-new-scam-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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