Indonesian Political, Business & Finance News

191 MPs got Banpres funds, says legislator

| Source: JP

191 MPs got Banpres funds, says legislator

Fabiola Desy Unidjaja, The Jakarta Post, Jakarta

As many as 191 legislators received loans worth Rp 40 million
each from the off-budget Presidential Aid Fund (Banpres) during
the leadership of former president Soeharto but have not repaid
the money in full, a legislator said Wednesday.

House of Representatives (DPR) Commission I member Djoko
Susilo, a member of Commission I's small team established to
probe irregularities in the use of Banpres, urged concerned
legislators to immediately return the loan.

"There are several names including Akbar Tandjung, Slamet
Effendy Yusuf and Albert Hasibuan," Djoko said after quizzing
former state secretary Ali Rachman and former presidential
secretary Abdul Mudjib Manan over alleged irregularities in the
use of Banpres.

On Tuesday, the team questioned Moerdiono and Muladi,
ministers/state secretaries during the administration of Soeharto
and B.J. Habibie respectively. Moerdiono told the team Tuesday
that the funds were disbursed only with the approval of the
President.

According to Djoko, the legislators took the loan to buy Timor
cars from a company owned by Hutomo "Tommy" Mandala Putra, a
favorite son of former dictator Soeharto.

Each recipient still owes up to six million rupiah, Djoko
said, adding: "They have to return the money immediately."

Djoko, a legislator from the Reform Faction, also said that
some business enterprises belonged to Soeharto's cronies also
received funds from Banpres.

"We have identified major debtors such as the Sea Games
Consortium and Tapos Plantation, which owe a combined amount of
Rp 6.7 billion," he said. Tapos plantation is owned by Soeharto.

"We urge those who took money from Banpres to repay as soon as
possible," Djoko said.

Banpres came under the spotlight early this year after
President Megawati Soekarnoputri donated Rp 30 billion to the
Indonesian military (TNI) and police to rehabilitate housing
complexes for low-ranking personnel.

As the funds were not allocated in the 2002 State Budget,
legislators moved to summon Megawati to explain the source of the
funds.

Cabinet Secretary/State Secretary Bambang Kesowo told the
House in May that the funds were taken from Banpres, but
legislators found his explanation unsatisfactory, prompting them
to form a small team to investigate the fund which was
established by Soeharto in 1984.

Ali Rahman and Abdul Mudjib Manan denied Wednesday that they
had misused the funds, arguing that the funds were spent in
accordance with guidelines spelled out by Wahid's predecessor
B.J. Habibie, including a standing policy allowing the state
secretary to disburse Banpres funds not exceeding Rp 200 million
without prior presidential approval.

"It is not true that we spent billions of Banpres funds for
lunch as alleged," said Mujib Manan referring to a report
submitted by Bambang to the House in May.

Mujib Manan said that when he left the presidential office in
2001, there were still around Rp 507 billion in Banpres funds,
excluding Rp 100 billion placed under the vice president's
office.

The team's secretary Heppy Bone Zulkarnaen said Wednesday that
there were many conflicting statements made by Bambang and the
two officials and that the team would summon more people.

"We plan to summon later this week former state secretary
Bondan Gunawan, former presidential secretary Djohan Effendy and
former Banpres assistant Bambang Sutanto," Heppy said.

Bambang Sutanto is currently serving as a staff member for
Vice President Hamzah Haz.

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