Indonesian Political, Business & Finance News

Archive: 20 August 1998

54 articles found

Riots investigation team to query security commanders

Riots investigation team to query security commanders JAKARTA (JP): A government-created fact-finding team plans to question a number of security commanders about the riots which hit Jakarta and other cities in mid-May. "The team will soon interview officials who were in charge of security during the riots to obtain clarification," the 19-member team said in a statement. The statement did not specify the names of the security commanders or when they would be questioned.

Two arrested for alleged rape

Two arrested for alleged rape JAKARTA (JP): Police have arrested two men as suspects in the gang rape of a 20-year-old female college student at her boardinghouse in North Jakarta. City police spokesman Lt. Col. E. Aritonang said Wednesday that the men, together with a third who is still at large, allegedly raped EH, an economic institute student, on July 2. The woman reported the assault to the North Jakarta Police the following day.

Irian independence call 'not unanimous'

Irian independence call 'not unanimous' JAKARTA (JP): Some Irian Jaya religious and community leaders have assured the Armed Forces (ABRI) that not all Irianese want to be independent, but merely want the military to improve its record and punish errant soldiers. In a meeting with Trikora Regional Military Commander Maj. Gen.

Names of suspects in bank frauds revealed

Names of suspects in bank frauds revealed JAKARTA (JP): Police revealed yesterday the names of 24 senior banking officials from seven of the 16 insolvent private banks closed by the government last November for allegedly violating the country's banking laws. National Police spokesman Brig. Gen. Togar Sianipar said the suspects were either commissioners, presidents or directors of their respective banks.

Stock Exchange

Stock Exchange Stock prices on the Jakarta Stock Exchange (in rupiah) on August 19, 1998: Shares Close Change Trading Volume ------------------------------------------------------------- Ades Alfindo 325 0 0 AHAP Insurance 400 0 0 Alter Abadi 275 0 25,000 Alumindo Light Metal 325 0 0 Alumindo Perkasa 225 0 0 Aneka Kimia Raya 200 25 80,000 Aneka Tambang 2,150 25 8,332,500 Anwar Sierad 75 0 0 Apac Centertex Corp.

Four lifters get the nod for Asiad

Four lifters get the nod for Asiad JAKARTA (JP): The Indonesian Weightlifting, Powerlifting and Bodybuilding Association nominated yesterday four musclewomen and a man for the 13th Asian Games in Bangkok in December. The association's secretary-general, Djoko Pramono, said after attending a national selection competition that the female trio of Sri Indriyani, Winarni and Supeni and male lifter Taufik deserved to go to the Asiad because they were the most likely to meet Asian standards.

Mother detained for baby's death

Mother detained for baby's death TEGAL, Central Java: Police detained a 24-year-old woman yesterday after she allegedly murdered her newborn baby inside a lavatory in Texin Hospital. The unwed mother had apparently been ashamed of being discovered that she had just given birth. According to witnesses, several hospital patrons became suspicious after the woman took her baby into the toilet and remained there for a long time while the baby cried.

Amien says party to steer clear of old pitfalls

Amien says party to steer clear of old pitfalls YOGYAKARTA (JP): Moslem leader Amien Rais said he would officially declare the establishment of his National Mandate Party (PAN) on Sunday, vowing not to repeat the mistakes of parties under the regime of former president Soeharto. Amien also said his new party would struggle to defend the interests of the weak and ordinary people. "The founding of PAN is my ijtihad, my political choice. I can be mistaken, I can be right.

Govt must solve PDI conflict

Govt must solve PDI conflict By Johannes Nugroho JAKARTA (JP): The prolonged internal conflict in the Indonesian Democratic Party (PDI) hovers over President B.J. Habibie's revamped court like a shadow from the past as his government has chosen to remain at loggerheads with the party's ousted leader, Megawati Soekarnoputri.

Govt asked not to cut log export tax further

Govt asked not to cut log export tax further JAKARTA (JP): Legislator Umbu Mehang Kunda has called on the government to delay the reduction of the export tax on logs to guarantee a sufficient supply for local wood-processing companies. Umbu, the chairman of House of Representatives Commission III for agriculture, forestry and plantations, transmigration and food affairs, said maintaining the existing export tariff would encourage exports of processed wood.

Bad business

Bad business Some weeks ago I was approached by a marketing officer of PT Tigaraksa Satria to buy an 18-volume resource library specially designed for preschool and elementary school children. The books could be paid for in cash or by way of a one-year credit basis. On Aug. 14, I told the marketing officer that I had decided to buy the books on the credit basis. I was then informed that it would be wise to place the order immediately, as the price would increase on Aug. 18.

Govt doubts WB report on graft

Govt doubts WB report on graft JAKARTA (JP): The government questioned yesterday the accuracy of a World Bank internal memorandum that disclosed Indonesian officials were believed to have siphoned off more than 20 percent of the bank's loan funds. "To me, the 20 percent figure is a big question mark. How could they have reached at that figure," asserted Budhy Tjahjati, a deputy for foreign economic cooperation at the National Development Planning Board (Bappenas).

Tangguh project has huge gas reserves

Tangguh project has huge gas reserves TOKYO (Dow Jones): Japan's Nippon Oil Co. announced yesterday the Tangguh liquefied natural gas project in Irian Jaya, Indonesia -- in which it holds a stake -- has proven and probable reserves in its three production sharing contract blocks, of 18.3 trillion cubic feet.

Four killed in head-on minibus collision

Four killed in head-on minibus collision JAKARTA (JP): Four people were killed and 16 others injured in a head-on collision yesterday between Kowanbisata and Miniarta minibuses on Jl. Margonda Raya in Depok, to the south of here, a police officer said. Depok police chief Lt. Col. Fajar Prihantoro told the media that the four victims were the Kowanbisata driver, identified as Jastinur, 36, and three passengers -- Nunik Handayani, 19, Ade Patar, 24, and Suliro, 66.

Luxurious atmosphere offered at C.J.'s

Luxurious atmosphere offered at C.J.'s By Yogita Tahil Ramani JAKARTA (JP): Some of the patrons were confident enough to do the cha-cha and swing to In The Groove and Begin The Beguine. Others were happy to simply savor the music and the sight of dark figures dancing in a dimly lit arena at C.J.'s Bar at the Hotel Mulia Senayan, Central Jakarta.

TV today

TV today TVRI 2:00 p.m. News: Berita 14 2:30 Music 2:35 Children's Film: Thundercats 3:05 Film Orkestra 3:30 TV Series: The Man from Uncle 4:00 Regional News 4:30 Creative Program: Karya Kita -- Kupang 5:00 Arabic Lessons 5:30 Film Series: Science World 6:00 News: Lintasan Berita 6:05 Documentary: Rona Nusantara 6:15 Sports 6:30 TVRI News (in English) 7:00 Evening News 7:35 Comedy: Terminal Humor 8:00 News: Lintasan Berita 8:05 Comedy: Terminal Humor (contd.) 8:20 Koran Recital 8:30 Religious...

Military-backed New Order still reigns

Military-backed New Order still reigns By Olle Tornquist This article is based on a paper presented at an international seminar, Toward Structural Reforms for Democratization in Indonesia, held in Jakarta from Aug. 12 to Aug. 14. The seminar was organized by the Indonesian Institute of Sciences and the Ford Foundation. This is the first of two articles. JAKARTA: Soeharto is gone. His New Order regime remains. But it is undermined and disintegrating.

Handojo settles insider trading charges in U.S.

Handojo settles insider trading charges in U.S. WASHINGTON (Bloomberg): A former J.P. Morgan & Co visiting analyst agreed to surrender US$588,766 to settle U.S. Securities and Exchange Commission charges that he traded on inside information about NationsBank Corp's acquisition of Barnett Banks Inc and other bank mergers.

Megawati wins one, loses one in court

Megawati wins one, loses one in court JAKARTA (JP): Megawati Soekarnoputri, the ousted leader of the Indonesian Democratic Party (PDI), won the right to continue one of her legal battles after the Supreme Court ruled she could sue her political rival, Soerjadi. The court, however, also ruled she could not continue her lawsuit against the government, which she has accused of backing her ouster. In a verdict dated Aug.

Jayamix to dismiss guards after industrial dispute

Jayamix to dismiss guards after industrial dispute JAKARTA (JP): Concrete manufacturing company PT Jaya Readymix, an Australian-Indonesian joint venture, has decided to terminate the contracts of 50 security guards as of Aug. 30, a company executive said yesterday. The company president Greg Curtis announced the decision during a meeting with the guards, who had insisted on meeting him to discuss a wage increase, overtime payments and registration with the Jamsostek social security program.

On Chinese Indonesians

On Chinese Indonesians May I respond to Ms. Rahayu Ratnaningsih's comments in her July 31 letter on two of my earlier letters. Ms. Ratnaningsih believes that my first letter showed a disregard for the magnitude of the discrimination suffered by Chinese-Indonesians. She also suggests that in the second letter I have generalized that all Chinese get special treatment in the business sector, and that all Chinese businesspeople are guilty of collusion. If this is what Ms.

Rupiah breaks the 12,000 level against the dollar

Rupiah breaks the 12,000 level against the dollar JAKARTA (JP): The rupiah gained more ground against the U.S. dollar yesterday, passing the 12,000 psychological level on bullish sentiment in the regional market and dollar-selling by state banks. It closed 7 percent higher at 11,600 against the dollar, compared to its close of 12,500 the previous day.

Asian Games fund

Asian Games fund I disagree with the idea that the government should provide funding for the participation of Indonesian athletes in the 13th Asian Games. Why don't we use the money to feed the starving animals in Ragunan Zoo? The funds could also be used for research into the provision of staple foodstuffs. Name and address known to the editor

Soeharto stamps rise in value

Soeharto stamps rise in value MALANG, East Java: Stamps bearing the picture of former president Soeharto have become a much sought-after collector's item here. Many people are speculating that the stamp's value will continue to increase among philatelists, Nurhakim of the provincial post office was quoted by Antara as saying here Tuesday. He noted that the value of stamps bearing Soeharto's image had already increased 500 percent from their original value of Rp 50.

Yunus extolls benefits of easing press limits

Yunus extolls benefits of easing press limits JAKARTA (JP): Minister of Information Muhammad Yunus said he has signed 90 new publication permits since taking office in May. Speaking at a ceremony to mark the ministry's 53rd anniversary here yesterday, Yunus reiterated his belief that he could improve the quality of the national press by endorsing more press publications.

Fitness Center

Fitness Center Correction: To join the Hilton Executive Club, one has to pay US$3,500 which comprises bonded fee, annual fee, administration fee and government tax. The Mercantile Athletic Club charges members $99 monthly, not annually as printed in yesterday's paper on this page. The joining fee is $3,850 with a fixed rate of Rp 5,000 to the dollar. We regret any convenience. -- Editor

Salomon's Asian executives

Salomon's Asian executives HONG KONG (Dow Jones):Two executives for Salomon Smith Barney Holdings Inc have been moved to new positions in Asia, the investment bank said yesterday. Clifford Chiu, a managing director and co-head of investment banking in Japan, will move to Hong Kong to take charge of coordinating the firm's Asia-Pacific investment banking business.

Conversion Rates

Conversion Rates JAKARTA (JP): Bank Ekspor Impor Indonesia's (Bank Exim) indicative conversion rates on August 19, 1998: Buying Selling Rp Rp U.S dollar 1 11,500.00 12,000.00 Austrian shilling 1 870.00 975.00 Australian dollar 1 6,801.00 7,134.00 Belgian franc 1 308.00 320.00 Canadian dollar 1 7,459.00 7,755.00 Swiss franc 1 7,573.00 7,889.00 Deutschemark 1 6,322.00 6,635.00 Danish krone 1 1,665.00 1,736.00 French franc 1 1,890.00 1,973.00 Poundsterling 1 18,492.00 19,221.00 Hong Kong dollar 1...

Confusing signals

Confusing signals The economic stabilization and reform program which President B.J. Habibie elaborated in his first Independence Day address last week indicates the right path toward the kind of market economy suitable for an Indonesian civil society in the future.

No local corporations have joined INDRA yet

No local corporations have joined INDRA yet JAKARTA (JP): The Indonesian Debt Restructuring Agency (INDRA) has yet to receive any applications from local debt-ridden corporations to join its debt restructuring program, a Bank Indonesia director said yesterday. Dono Iskandar said the reluctance was partly caused by a misperception that debtors would be better off entering the program after the rupiah strengthened against the U.S.

Bulog to import 1.2 million tons of rice

Bulog to import 1.2 million tons of rice JAKARTA (JP): Indonesia is to open two international tenders for the procurement of about 1.2 million metric tons of rice, State Minister of Food and Horticulture AM Saefuddin said yesterday. Saefuddin said the state logistics agency (Bulog) would hold the first tender next Wednesday for the importation of 600,000 tons of rice. He said that the agency would open the second tender in September to procure the remaining 600,000 tons.

Most regional currencies higher

Most regional currencies higher SINGAPORE (Dow Jones): Asian currency bears were forced to retreat yesterday, as a steep rise in the yen combined with sharp stock market rallies across the region to push Southeast Asian currencies higher against the U.S. dollar. Japanese threats of central bank intervention to support the yen, and actual intervention by the Hong Kong government to shore up the Hang Seng stock index, spurred market participants to unwind outstanding long U.S.

Where to go in Surabaya:

Where to go in Surabaya: Music and Entertainment * Hyatt Regency Surabaya, Jl. Jend. Basuki Rakhmat 106-128 (Phone: 031 5311234): - The Tavern Pub: Cosindos Band, Monday to Saturday, 9 p.m. to 1:30 a.m., X-Men Band, Sunday, 9 p.m. to 1:30 a.m. - Lobby: Gamelan (Traditional Music), Monday to Saturday, 6 p.m. to 12 p.m., Solo Pianist, Monday to Saturday, 7 a.m. to 9 a.m. and 7 p.m. to 9 p.m. * Shangri-La Hotel, Jl. May. Jend.

Legality versus reality

Legality versus reality The debate concerning the Indonesian Democratic Party (PDI) continues to rage on unabated. The government continues to insist on recognizing the party's Soerjadi faction on the grounds of legality. At the same time, however, neither the government nor the public can ignore the reality that it is Megawati, rather than Soerjadi, who enjoys the masses' support.

Clinic owner jailed for illegal abortions

Clinic owner jailed for illegal abortions JAKARTA (JP): The Central Jakarta District Court handed down a 20-month jail term and fine of Rp 3 million (US$240) yesterday to the owner of a Central Jakarta clinic which offered illegal abortion services. Presiding judge Endang Sumarsih said Kurniasih alias Cicih, 51, was found guilty of involvement in abortions on several women, who had testified in an earlier trial session, in the period from 1995 until she was arrested last December.

Images on Java by French photographers go on display

Images on Java by French photographers go on display By K. Basri JAKARTA (JP): French photographer Herve Dangla of Belantara Jakarta (Jungle of Jakarta) and Jakarta 95 fame is in town again for his third exhibition. The exhibition is entitled Indonesia, Cultural Paradox and will be officially opened this evening. Dangla has broadened the scope of this exhibition from his previous focus on the capital to include pictures of people, landscape and architecture from all around Java.

South Aceh hit by floods

South Aceh hit by floods BANDA ACEH, Aceh: Floods killed at least three people and carried away villagers' houses and cars in South Aceh district, according to an official here yesterday. The head of the South Aceh information office, Sa Murtadha, said the floods, caused by incessant rain over the past several days, also killed cattle and destroyed rice fields and plantations, racking up an estimated loss of Rp 2 billion in the area.

RI 'puts on hold' rice order from Thailand

RI 'puts on hold' rice order from Thailand SINGAPORE (Dow Jones): Following failed negotiations over a 400,000-ton portion of its purchase of Thai rice, Indonesia is putting on hold the whole 500,000-ton rice order from Thailand, leading to widespread talk about a possible cancellation of the deal, rice trade and industry sources in Bangkok told Dow Jones Newswires this week.

Indigenous people get a chance to talk

Indigenous people get a chance to talk By Samsudin Berlian JAKARTA (JP): Following the collapse of Soeharto's authoritarian regime, various social groups across the country have publicly voiced their grievances, criticism and hopes. At the latest count, 58 new political parties have been set up, not just in a bid for political power but to tell people and the elite about their aspirations.

Foreign scholars urge ABRI to quit politics

Foreign scholars urge ABRI to quit politics JAKARTA (JP): The powerful Armed Forces (ABRI) must relinquish its political role if it wants to help democracy develop in the country, according to a foreign political scientist. Daniel S. Lev, a professor of political science at the University of Washington in Seattle, said yesterday this was the most historical moment for Indonesia as within these two years people would decide whether democracy or the military should triumph.

BPPT changes focus to meet crisis demands

BPPT changes focus to meet crisis demands JAKARTA (JP): The Agency for the Assessment and Application of Technology (BPPT), known for its preoccupation with hi-tech research, claims it is now shifting its focus to simple and applied technology which can directly benefit the people. BPPT chairman Zuhal, who is also state minister of research and technology, said the shift was prompted by a realization that people needed applicable technology to help them survive the harsh economic crisis.

Gus Dur sizes up top picks for next president

Gus Dur sizes up top picks for next president JAKARTA (JP): Who has the greatest prospects to become the country's next president? Megawati Soekarnoputri, Gen. Wiranto, Ginandjar Kartasasmita or President B.J. Habibie? The chairman of Nahdlatul Ulama (NU), Abdurrahman Wahid, pondered and discussed the question yesterday when a visiting delegation from the Japan-Indonesia Parliamentary League brought up the issue.

Many students fail to register

Many students fail to register BOGOR (JP): Out of the 2,638 students admitted to the Bogor Institute of Agriculture for the 1998/1999 academic year, 200 have yet to register. Amiruddin Saleh, the institute's spokesman, said: "It is feared those who have not yet registered are suffering from financial troubles due to the economic crisis," he said Tuesday. Amiruddin said that the institute decided to extend the registration period until Sept. 1 in a bid to give them a chance to register.

Where to go in Bali:

Where to go in Bali: Exhibitions * Painting Exhibitions, in Ganesha Gallery, Four Seasons Resort, Jimbaran (Phone: 0361 701010): Images of Meditating Figures, by Jerry T, until Sept. 17. * Painting Exhibition: Cakrawala Seni, Museum Puri Lukisan, Ubud (Phone: 0361-975136), 8 a.m. to 4 p.m., until Sept. 8. * Painting Exhibition: Journeys, by I Made Sumadiyasa, Neka Museum, Ubud (Phone: 0361 975034, 975074), 9 a.m. to 5 p.m., until Sept. 16.

Fate of six troubled banks may be decided tomorrow

Fate of six troubled banks may be decided tomorrow JAKARTA (JP): The government may announce on Friday its decision on the fate of six troubled banks taken over by the Indonesian Bank Restructuring Agency (IBRA), Bank Indonesia Governor Sjahril Sabirin said yesterday. He said, however, that all options would be explored first, including mergers and recapitalization by bank owners or new investors before deciding to close down the troubled banks.

Banks raise deposit rates to 59 percent

Banks raise deposit rates to 59 percent JAKARTA (JP): Domestic commercial banks have raised their deposit interest rates by over 2 percentage points as a result of tighter liquidity and competition with the country's central bank to attract funds. Most commercial banks have raised their one-month deposit rates to 59 percent per annum, up from 57 percent last week. The banks include troubled Bank Danamon, Bank Central Asia, state Bank Ekspor Impor Indonesia and Bank Pembangunan Indonesia.

IPTN sets up subsidiary

IPTN sets up subsidiary JAKARTA (JP): State aircraftmaker PT Industri Pesawat Terbang Nusantara (IPTN) announced yesterday it had established a subsidiary to handle its turbine and propeller business. IPTN president Eddi Susilo said the company would focus on producing turbines and propellers to supply the country's aviation industry and other related businesses. The company's establishment is expected to encourage the establishment of supporting firms, Eddi said.

Singapore ships stranded

Singapore ships stranded SINGAPORE (AP): Five ships of a financially troubled Singapore company have been stranded in ports in Japan, India and Indonesia, unable to pay salaries or port duties, a newspaper reported yesterday. The vessels belonging to Thon Soon Shipping have been detained, some since June, over disputes over cargo, unpaid crew salaries and repair and port bills, The Straits Times said.

Foreign ministry follows reform drive

Foreign ministry follows reform drive JAKARTA (JP): The Ministry of Foreign Affairs has started to reform itself by reviewing and changing policies no longer suitable under the present situation. Speaking in a ceremony to mark the ministry's 53rd anniversary yesterday, Minister of Foreign Affairs Ali Alatas said a bill on international relations had been submitted to the President which would hopefully be put forward to the House of Representatives (DPR) for deliberation soon.

Danareksa denies merger plan

Danareksa denies merger plan JAKARTA (JP): State-owned investment bank PT Danareksa said yesterday that reports of an impending merger with another state- owned investment bank, PT Bahana Pembinaan Usaha Indonesia, were unture. "The Office of the State Minister of the Empowerment of State Enterprises has not proposed merging Danareksa and Bahana," Danareksa's corporate secretary, Ticke S. Soekrani, told the media yesterday.

ASEAN starts Countdown 2000 Clock

ASEAN starts Countdown 2000 Clock JAKARTA (JP): Association of Southeast Asian Nations secretary-general Rodolfo C Severino launched the "ASEAN Countdown 2000 Clock", marking the approach of the new millennium, at the ASEAN Secretariat building here yesterday. "Two thousand is just another year.

Sugar falls on RI concerns

Sugar falls on RI concerns LONDON (Bloomberg): Sugar fell yesterday amid speculation that Indonesia, Asia's third-biggest sugar importer, would not need to buy more sugar in the coming weeks. White, or refined, sugar for October delivery fell as much as US$2, or 0.8 percent, to $245.20 a metric ton on the London International Futures and Options Exchange, its lowest price since June 10.

McDonald's probes food poisoning

McDonald's probes food poisoning SINGAPORE (DPA): American fast-food chain McDonald's in Singapore is investigating reports that 11 schoolchildren came down with food poisoning after eating at one of their restaurants, a McDonald's spokesman said yesterday. More than 120 elementary school students were rushed to Singapore's Kandang Kerbau Hospital Tuesday afternoon when some of them began complaining of stomach pains and nausea after eating at a McDonald's outlet during a school outing.

Isolationist path

Isolationist path This is in reference to Mr. A. Djuana's letter Postage increases published in The Jakarta Post on Aug. 16. I fully agree with Mr. Djuana's views. There is no valid justification for any postage increase of 1,000 percent or more. No explanation whatsoever was given to the public for these tremendous increases. If the private sector conducted business the same way, there would be no business at all. Pursuing this path will lead to Indonesia's isolation from the rest of the world.