Bob Hasan queried over US$2b forestry fraud<\/p>\n
JAKARTA (JP): Business tycoon Mohamad \"Bob\" Hasan was
\nquestioned at the Attorney General's Office on Wednesday over his
\nalleged involvement in a Rp 15 trillion (about US$2 billion)
\nfraud of forestry funds.<\/p>\n
Speaking to reporters after two hours of questioning, Hasan
\nacknowledged that he borrowed reforestation funds from the
\ngovernment but denied any wrongdoing.<\/p>\n
Hasan, a close friend of former president Soeharto, declined
\nto mention the amount he borrowed, but said he had returned Rp 11
\nbillion.<\/p>\n
He said he used the funds to invest in industrial timber
\nestates covering 400,000 hectares in East Timor and East Nusa
\nTenggara.<\/p>\n
The investigation is based on findings made by an audit team
\nof the Ministry of Forestry and Plantations and Development
\nFinance Comptroller (BPKP). The other names allegedly involved in
\nthe fraud include Soeharto's son Hutomo \"Tommy\" Mandala Putra,
\nhis eldest daughter Siti Hardijanti \"Tutut\" Rukmana, his half
\nbrother Probosutedjo and Prajogo Pangestu and Ibrahim Risjad, who
\nare also Soeharto's friends.<\/p>\n
Based on the team's findings, the state suffered losses
\ntotaling Rp 15 trillion due to the misuse of reforestation funds
\nand unpaid reforestation fees and forest royalties during 1994 to
\n1999.<\/p>\n
The alleged fraud in reforestation funds alone reached a total
\nof Rp 1.6 trillion.<\/p>\n
Timber companies, in addition to royalties, are required to
\npay reforestation fees to the government, which collects the
\nfunds for reforestation purposes. A company, which is developing
\nan industrial timber estate, is allowed to borrow reforestation
\nfunds, but the money is often used for other purposes.<\/p>\n
The audit team was formed by former minister of forestry and
\nplantations Muslimin Nasution to fight against corruption,
\ncollusion and nepotism (KKN).<\/p>\n
Widodo Sutoyo, a spokesman for the ministry, said here on
\nWednesday that Hasan allegedly misused $87 million and Rp 207.8
\nbillion in reforestation funds respectively through his companies
\nPT Mapindo Parama and PT Surya Hutani Jaya. At the current rate,
\nthe total funds allegedly misused by Hasan's companies could
\nreach Rp 851 billion.<\/p>\n
Mapindo was paid by the government with reforestation funds
\nbecause the forestry mapping was part of the reforestation
\nprogram.<\/p>\n
Widodo said Mapindo might have marked up the contract as no
\nopen tender preceded it.<\/p>\n
He did not mention how much the government should have paid,
\nbut added that Mapindo's work was of low quality.<\/p>\n
\"Mapindo used out-of-date technology in its mapping work for
\nthe ministry,\" he said.<\/p>\n
Last year, Mapindo faced similar charges by the Association of
\nIndonesian Forest Concessionaires (APHI) for allegedly marking up
\na $176.94 million aerial photography project of APHI members.<\/p>\n
According to APHI, it paid Mapindo $2.42 per photographed
\nhectare, whereas in comparison, state forestry firm Perum
\nPerhutani used another firm's service which charged only $1.80
\nper photographed hectare.<\/p>\n
Soeharto's youngest son Tommy allegedly misused Rp 23 billion
\nof the funds.<\/p>\n
\"We've delivered our findings to the Attorney General's Office
\nand now it's their turn to investigate this matter,\" Widodo
\nsaid.<\/p>\n
Widodo reported that Tommy allegedly misused Rp 23.3 billion
\nin forestry funds through his company PT Gatari Hutama Air
\nServices.(01\/03)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/bob-hasan-queried-over-us2b-forestry-fraud-1447893297",
"image": ""
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