Billboard violate bylaw but still remain<\/p>\n
Ahmad Junaidi, The Jakarta Post, Jakarta<\/p>\n
Two advertising billboards located in the City Police
\nheadquarters on Jl. Gatot Subroto, South Jakarta, and the Hotel
\nIndonesia compound, Central Jakarta, have been considered
\nviolating regulations.<\/p>\n
A giant billboard of a cigarette product at the police
\nheadquarters allegedly violates Article 15 (a) of the City Bylaw
\nNo. 28\/1998 on advertisements and advertising tax which bans
\nbillboards from government office yards.<\/p>\n
The other billboard, also promoting smoking, in the Hotel
\nIndonesia compound breaches the Gubernatorial Decree No. 702\/1992
\nwhich set aside billboard-free areas.<\/p>\n
Both billboard permits were in fact signed by City Governor
\nSutiyoso in 1999 to an advertising agency PT Media Indra Buana
\n(MIB). The company pocketed a three-year permit to manage the
\nbillboards.<\/p>\n
However, City Spokesman Muhayat told The Jakarta Post on
\nSaturday that both billboards did not violate the bylaw since
\nthey stood more than 200 meters from the headquarters or the
\nhotel building.<\/p>\n
Officials of PT MIB were unavailable for comments.<\/p>\n
The company has established itself as a favorite firm by the
\nadministration and dominates billboard management throughout the
\ncapital, taking over the position previously controlled by PT
\nHumpuss Media Luar Ruang.<\/p>\n
PT Humpuss -- a company controlled by former president
\nSoeharto's youngest son Hutomo "Tommy" Mandala Putra, who is now
\nbeing detained at the Cipinang penitentiary -- failed to maintain
\nits domination after the downfall of Soeharto in May 1998.<\/p>\n
As if confirming PT MIB domination, the administration even
\ndirectly appointed the company, owned by Nyomananda, to manage 10
\nspots for billboards worth Rp 14 billion (US$1.4 million).<\/p>\n
The 10 spots are located on Jl. MT. Haryono and Jl. Pasar Rebo
\nin East Jakarta; Jl. Gatot Subroto, Jl. Rasuna Said and Jl.
\nKemang Raya, in South Jakarta; Jl. Tomang Raya, Jl. Panjang and
\nJl. Arjuna in West Jakarta, and Jl. Asia Afrika and Jl. RM.
\nMargono Margodirejo in Central Jakarta.<\/p>\n
The reason to appoint PT MIB was merely to get the money
\nquickly, which is needed for the Hotel Indonesia traffic circle
\nrenovation.<\/p>\n
Muhayat denied that the administration has never offered the
\nproject through an open tender process.<\/p>\n
"We have offered the spots to other advertising agencies, but
\nthey refused it. Now they claimed that the price is too low," he
\nsaid.<\/p>\n
Government regulations stipulate an open tender if a
\ngovernment project is worth more than Rp 5 billion.<\/p>\n
The administration might claim of earning Rp 14 billion from
\nthe 10 spots but many believed it would get more as some of the
\nspots are located in prime areas, also known as first ring areas.<\/p>\n
The price of a billboard spot in a first ring area, including
\nJl. Jend. Sudirman, Jl. M.H. Thamrin in Central Jakarta or Jl.
\nSisingamangaraja and Jl. Rasuna Said in South Jakarta, has
\nreportedly reached between Rp 2 billion and Rp 3 billion each.<\/p>\n
However, Muhayat said the spots in the prime areas were
\noffered lower, at only Rp 1.2 billion.<\/p>\n
Head of the City Revenue Agency, Deden Supriadi, admitted on
\nThursday that seven of the 10 spots to be managed by PT MIB were
\nlocated in prime areas.<\/p>\n
"I can confirm that seven of them are located in prime areas
\nbut I don't know the price," he said.<\/p>\n
Selling billboard spots will be disbursed to the agency as a
\nbillboard tax.<\/p>",
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"sponsor": "Okusi Associates",
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