Ginandjar to meet Marzuki over alleged corruption<\/p>\n
JAKARTA (JP): Former minister Ginandjar Kartasasmita will meet
\nAttorney General Marzuki Darusman on Monday regarding several
\ndubious deals allegedly made during his ministerial term.<\/p>\n
Ginandjar confirmed the planned meeting, adding it was
\narranged at his request, rather than Marzuki's, in an effort to
\nclear once for all the rumors swirling around him.<\/p>\n
"I asked for a meeting with the Attorney General to clarify
\nthe public's rumors alleging I was involved in corruption,
\ncollusion and nepotistic practices," Ginandjar told The Jakarta
\nPost.<\/p>\n
Ginandjar, who served several ministerial posts during the
\nadministration of former president Soeharto, has been accused by
\nsome legislators and analysts of involvement in corrupt practices
\nallegedly occurring during the extension of the mining contract
\nof PT Freeport Indonesia and during the processing of the power
\npurchase contract for PT Paiton Energy.<\/p>\n
Ginandjar served as the mines and energy minister when
\nFreeport's contract was renewed in Dec. 30, 1991 and Paiton's was
\nbeing processed.<\/p>\n
Officials said he was also suspected in alleged corruption
\nduring the preparation of the contract for the Balongan giant oil
\nrefinery in West Java, owned by state oil and gas company
\nPertamina.<\/p>\n
Marzuki, in a hearing with the House of Representatives
\nCommission VIII for environmental, science and technology
\naffairs, said on Thursday that his office found some indications
\nof corruption involving Ginandjar during the extension of
\nFreeport's contract and the processing of Paiton's contract.<\/p>\n
"More data gathering is needed to ascertain the extent to
\nwhich Ginandjar and other parties were involved," Marzuki said.<\/p>\n
Ginandjar, who is currently a member of the People's
\nConsultative Assembly (MPR), said that given the fact the meeting
\nwas arranged at his own request, Marzuki did not need to ask for
\npermission from the President.<\/p>\n
"The purpose is to make it (the meeting) a purely legal
\naction, free from political interests and problems," Ginandjar
\nsaid.<\/p>\n
Under the existing regulation, presidential approval is
\nnecessary for law enforcers to investigate members of the
\nAssembly and the House of Representatives (DPR).<\/p>\n
Ginandjar asserted his innocence during the hearing with House
\nCommission VIII prior to the meeting with the commission and
\nMarzuki.<\/p>\n
He denied allegations that the extended contract awarded to
\nFreeport in 1991 unfairly brought more benefits to Freeport than
\nthe government.<\/p>\n
In fact, he said, Freeport's new contract contained fairer
\nclauses, including the company's obligation to divest its shares
\nto Indonesians, promote community development and protect the
\nenvironment. All the clauses were nonexistent in the first
\ncontract awarded to Freeport in 1967.<\/p>\n
Freeport, which is majority-owned by American mining giant
\nFreeport McMoRan Copper & Gold, operates a huge copper and gold
\nmine in Irian Jaya.<\/p>\n
Ginandjar also dismissed suspicion that he helped pave the way
\nfor Aburizal Bakrie to buy a stake in Freeport.<\/p>\n
Ginandjar said the transaction was conducted in line with
\ninternational business practices and was not in contravention of
\nFreeport's contract.<\/p>\n
He also said at the request of the Indonesian government, the
\nFederal Bureau of Investigation (FBI) of the United States had
\nconducted an investigation into the deal, but found no evidence
\nof corruption.<\/p>\n
In regard to Paiton's case, Ginandjar maintained that Paiton
\nEnergy had received its contract through a tight selection
\nprocess conducted by an Indonesian team and supported by
\ninternational consultants.<\/p>\n
He said the awarding of the contract was by no means linked to
\nthe fact that his younger brother, Agus Gurlaya Kartasasmita, had
\na 0.8 percent stake in PT Batu Hitam Perkasa, which owns 15
\npercent of the shares in Paiton Energy.<\/p>\n
Paiton operates a huge coal-fired power plant in Probolinggo,
\nEast Java. Other shareholders of the company are American General
\nElectric and Mission Energy.<\/p>\n
Ginandjar acknowledged, however, that during his ministerial
\nterm, he helped many native businessmen secure government
\nprojects.<\/p>\n
"We particularly helped native businessmen without any racial
\nintention. Facts show that native businessmen have weak positions
\nin our economy and that our sense of justice is biased. We always
\ntried to protect native businessmen from injustices," he said.<\/p>\n
He noted, however, that many native businessmen who had been
\nsupported were by no means his family members or the relatives of
\nthe political elite.<\/p>\n
Analysts said native businessmen who were "helped" by
\nGinandjar include Aburizal Bakrie, Arifin Panigoro and Fadel
\nMuhammad. While Ginandjar was posted as minister, they were
\ncalled "Ginandjar's boys". (jsk)<\/p>",
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