No reprieve for 19th SEA Games consortium over debt<\/p>\n
JAKARTA (JP): State Minister of Sports and Youth Affairs Agung
\nLaksono has supported the decision made by the management of the
\nGelora Senayan sports complex to refuse to waive the 19th SEA
\nGames underwriting consortium's Rp 1 billion (US$100,000) debt.<\/p>\n
\"I can fully understand Gelora Senayan's decision. They are
\ndirectly influenced by the debts as they are the ones who have to
\ninitially cover the expenses,\" Agung said yesterday.<\/p>\n
He stressed that the consortium's amassed debts were its
\nresponsibility and no one else's. \"I think leniency is still
\nlikely to be given but not an exemption,\" he added.<\/p>\n
The minister, however, said that the final decision would be
\nmade at a meeting with Minister\/State Secretary Akbar Tandjung
\nand Jakarta Governor Sutiyoso.<\/p>\n
The date of the meeting has yet to be decided but Agung
\npledged to propose one immediately.<\/p>\n
Agung reiterated that apart from the consortium's debt record,
\nit successfully carried out the onerous task assigned to it;
\nnamely to be the first private party to stage a prestigious
\nsporting event like the SEA Games.<\/p>\n
\"We also have to give them credit for what they achieved, the
\nGames was a big success,\" he said.<\/p>\n
On Friday Gelora Senayan director Yasidi Hambali said that he
\nwould refuse to waive the debt as the management had spent their
\noperational funds to cover the expenses like phone bills, water
\ncharges and workers' salaries.<\/p>\n
The consortium originally owed at least Rp 3.5 billion,
\nexcluding financial losses accrued from damage caused during
\nviolence in the soccer competition.<\/p>\n
\"The debt was reduced to Rp 1 billion at the consortium's
\nrequest,\" Yasidi said.<\/p>\n
The executive chairman of the consortium, Bambang Riyadi
\nSugama, officially pleaded for exemption to clear the debts to
\nGelora Senayan management on May 25.<\/p>\n
He requested the debt clearance as compensation for the funds
\nused to build an artificial hockey pitch and to install a new
\nsound system for the complex, Yasidi said.<\/p>\n
The consortium, chaired by former president Soeharto's son
\nBambang Trihatmodjo, reportedly spent Rp 156.6 billion staging
\nthe biennial sporting event, far above the estimated budget of Rp
\n75 billion.<\/p>\n
An audited financial report made by public accountant KPMG
\nHanadi Sudjendro and Co., discovered a deficit of Rp 64 billion
\nand also unveiled a Rp 1.8 billion scam in the sale of stickers
\nsold to raise funds for the Games. (emf)<\/p>",
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