Indonesian Political, Business & Finance News

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Police put Ambon city on top alert

Bracing for the self-proclaimed South Maluku Republic (RMS)'s 55th anniversary on Monday, security has been tightened in Ambon, and the police have declared an alert to anticipate any disturbances in the city.

"We're now on top alert and we've posted police personnel to conflict-prone areas," Ambon and Lease Islands Police chief Adj. Sr. Comr. Leonidas Braksan told The Jakarta Post on Sunday.

Some 745 police personnel have been deployed in Ambon and the Lease islands as well as two antiterror police units and Mobile Brigade (Brimob) troopers.

The police are also conducting helicopter patrols, especially in the Kudamati area, one of the RMS strongholds in Nusaniwe district.

Leonidas said the air patrols were necessary since based on last year's experience, RMS flags might be raised in more remote areas.

"In order to avoid a repeat of last year's events, we are setting up posts in areas where flags might be hoisted. And the air patrols will help as the officers on the ground will not be able to cover everywhere," he said.

At least 38 people died and hundreds were injured in four-days of communal clashes in Ambon last year, allegedly triggered by a rally held by members of the separatist Maluku Sovereignty Front (FKM), who are mostly Christians, to mark the RMS anniversary.

The clashes last year were the worst since the inking of the Malino II Peace Pact in 2002, which was signed after Ambon was rocked by major sectarian clashes in 1999, in which thousands of people were killed and hundreds of thousands of others were forced to flee their homes.

This time around, the police have even occupied the houses of RMS leaders, such as Alex Manuputty, who is in exile in the United States, to prevent any incidents.

Maluku Police chief Brig. Gen. (Pol.) Adityawaman requested people to trust the police and military to provide security, while Maluku Governor Karel Albert Ralahalu asked government and private sector offices to continue working as usual on Monday.

On Saturday, two bomb scares occurred in the city at different places and time. The first one took place at the Ambon Plaza shopping center at 2 p.m. local time, or 12 noon Jakarta time, and the second took place at a Bank Central Asia branch at 7:30 p.m. local time.

After conducting searches, the police bomb squad found nothing.

Leonidas said the shopping center received an anonymous phone call saying a bomb had been planted there, while in the case of the bank, a suspicious cardboard box had been left on the sidewalk in front of the bank. "Residents were suspicious and reported the box to the police. It turned out the box contained a dead cat," he said.

The police also arrested suspected RMS supporters in the Batumeja area on Saturday, confiscating a number of pieces of evidence, including two RMS flags, a documentary film on the April 25 riots last year, and another on the group's activities in Europe.

A married couple, Johny Rijoli and Rosanna, was also arrested on the same day. The suspected RMS supporters were taken into police custody for allegedly possessing a schedule of Alex Manuputty's activities the day before he left for the United States.

On Sunday, most people in the city appeared to be going about their normal activities, including attending morning church services.

JP/MALAYSIA

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Malaysia, RI to limit warships in Ambalat

Malaysia and Indonesia have agreed that only one warship from each country should patrol a disputed oil-rich maritime area following recent clashes, Deputy Prime Minister Najib Razak said on Sunday.

The withdrawal of all other naval vessels from the Ambalat area in the Sulawesi Sea off the coast of Borneo island would be carried out simultaneously, Najib, who is also defense minister, was quoted as saying by the official Bernama news agency.

He said Malaysia welcomed the agreement, which was reached at last week's meeting between Malaysian Navy chief Adm. Mohamad Anwar Mohamad Nor and his Indonesian counterpart Rear Adm. Slamet Soebiyanto.

The move should prevent a repeat of a recent near collision of navy ships from the two countries, the New Straits Times quoted Malaysian Navy chief Adm. Mohamad Anwar Mohamad Nor as saying.

The admiral did not disclose how many ships were patrolling the area at the moment.

"The agreement is not only about avoiding collisions but the way the navies of the two countries should carry out their duties without getting into conflicts," Mohamad Anwar was quoted as saying by the Star newspaper.

Navy ships from the two countries "brushed against each other" on April 8 due to a "judgment error", he said without elaborating.

Earlier this month warships from the two countries brushed sides near the Karang Unarang reef east of Borneo island, where Indonesia is building a lighthouse to strengthen its territorial claims in the disputed region.

Both countries have lodged official protests with each other over the incident.

Tensions are high in the area after Malaysia granted an oil concession in the region on Feb. 16 to Anglo-Dutch firm Shell. Jakarta says the blocks awarded by state oil firm Petronas are not in territory controlled by Malaysia.

Officials from both sides began negotiations to settle the overlapping claims to the area last month and are due to meet again in May.

The two countries have locked horns over the region before. A dispute over the ownership of two islands ended in December 2002 with an International Court of Justice ruling that the islands belong to Malaysia.

JP/4/TNI

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Kostrad off-loads business units

As the government tries to draw up an inventory of the myriad business interests of the Indonesian Military (TNI) as part of the preparations to remove them from military control as required by law, the Army's Strategic Reserve Command (Kostrad) claimed that it now only has interests in three business units.

Kostrad Commander Lt. Gen. Hadi Waluyo said recently that the force owned 100 percent of the shares in commercial aviation company PT Mandala Airlines and healthcare group Darma Medika General Hospital, and had a 25 percent stake in cargo company PT Darma Mandala.

"We're now trying to revamp Mandala Airlines," he said, pointing out that the company had not performed well due to mismanagement.

Hadi said that part of the revenue from the three companies had been used to help improve the welfare of soldiers and their families, brushing aside criticism that the military businesses had only benefited the generals as a result of rampant corruption.

Hadi claimed that Kostrad had gotten out of the timber business long ago. However, he did not provide any details on why and when the force had divested its interest in the lucrative timber sector.

He said that Kostrad had also unloaded its shares in "other businesses", such as construction companies, as many of them had not performed well.

He added that the stakes in the "other companies" had been given to Kostrad by private investors for free. He failed, however, to explain why private investors should gave Kostrad shares in their companies.

He pointed as an example to a road construction company in which Kostrad had shares, which won the contract to build the Malang-Gempol highway in East Java.

"The project, however, did not proceed well, so of course we didn't get any money," Hadi said.

Hadi's statement is the first explanation given by a senior military officer on the state of the TNI's vast business interests since the Indonesian Military Law passed last year stipulated that the TNI must relinquish its business interests within a five-year period to ensure improved professionalism.

TNI Commander Gen. Endriartono Sutarto has claimed that the divestment of the military's business interests could be completed within the next two years.

The once supremely powerful TNI obtained its various business units under the 30-year authoritarian regime of former president Soeharto. But critics have said that the military's involvement in business has increased corruption and undermined military professionalism, while the direct benefits to low ranking soldiers and their families have been meager.

Hadi, however, rejected the criticism. He said that in the case of Kostrad, profits from its business units had been partly used to provide scholarships for soldiers' children and compensation for the families of soldiers killed on active service.

"Roughly, we spend Rp 300 million to Rp 400 million on supporting the education of the children. We also provide Rp 25 million to families whose sons or husbands were killed during operations," he said.

Other Kostrad spending took the form of housing allowances.

While the mechanism by which the TNI will divest its business interests remains unclear, some government officials have floated the idea that the government take over part of the businesses and turned them into state-owned enterprises.

But a researcher with Indonesian Corruption Watch (ICW), Danang Widoyoko, has warned the government to be very careful when acquiring the business units of the TNI since many of them had been mismanaged.

He was worried that their acquisition would only increase the burden on the state (and the taxpayers) as a result of the propping up of loss-making firms.

JP/4/dpo

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Another alleged illegal timber boss arrested

The National Police said they had arrested another Malaysian citizen on Saturday for allegedly financing illegal logging in the country's easternmost province of Papua.

The head of the government's anti-illegal logging task force, Brig. Gen. Suharto, said that Tie Sing Yew, 54, was apprehended near the Entikong border post in West Kalimantan province, where he was attempting to cross into Malaysia's Sarawak state.

"Right now the suspect is still being detained by the East Kalimantan Police. He will be brought to Jayapura on Sunday," Suharto said as quoted by Antara.

He said Tie was believed to be funding illegal logging and his name had earlier been placed on the immigration blacklist.

Tie was suspected of masterminding the smuggling of illegally logged timber from Papua to Malaysia, as well as running illegal logging operations in Kalimantan.

Tie's arrest adds to a long list of Malaysian suspects being detained by the Indonesian Police. Previously, the police arrested nine other Malaysians and one South Korean citizen on similar charges of financing illegal logging operations in Papua.

"He (Tie) almost escaped from our country, but the immigration officials recognized him from the immigration blacklist," said East Kalimantan Police chief of detectives Sr. Comr. Heru Setiawan.

He said that Tie had attempted to return to Malaysia through Entikong as he thought that the security there would not be so tight.

After being questioned by the local police, Tie said he was the president of CV Makmur Abadi Trading, based in Brunei Darussalam, and owned 25 pieces of heavy equipment that was suspected of being used in illegal logging.

Based on the results of police investigations, Tie is also suspected of smuggling illegal timber from Papua to Malaysia through Kalimantan.

However, Tie denied all the charges. He said he had not realized that he had been placed on the immigration blacklist and claimed to have away from Papua for around six months.

The government has said that illegal logging is causing the country to lose over US$3 billion per year, with timber barons now targeting Papua as the forests on Java and Sumatra islands have already been plundered.

Rapid deforestation due to massive illegal logging has produced devastating environmental consequences for both Indonesia and the Southeast Asian region, causing floods and landslides and shrouding nearby countries with haze from illegal fires set to clear land.

JP/4/PKB

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Gus Dur's daughter, actress join PKB board

(unchecked version)

The National Awakening Party (PKB) announced a new central executive board here on Sunday, with party chief patron Abdurrahman Wahid's daughter Zanuba Arifah Chafsoh Rahman and actress-cum-women's activist Rieke "Oneng" Dyah Pitaloka being members.

Zanuba, better known as Yenni, and Rieke, who is popular with her serial movie Bajaj Bajuri, were named deputies to PKB secretary-general Muhammad Lukman Edy.

The new lineup also included senior women's activists Nursjahbani Katjasungkana and Maria Pakpahan as deputy PKB chairpersons along with nine others, including legislator Effendy Choirie and Maria Ulfa Anshori, a deputy chaiwoman of Nahdlatul Ulama (NU)'s female wing Fatayat.

To embrace pluralism, the PKB, founded in 1999 by NU -- the country's largest Muslim organization, accommodated several non- Muslim figures in the new board, such as Christians Hermawi Fransiscus Taslim and Jhon Wuwu, Catholic Alexius Gregoris Plate, and Anak Agung Ngurah Agung and Krisna Bagus Oka, both from the Hindu-predominantly province of Bali.

The lineup, comprising 55 members, was announced by newly elected PKB tanfidziyah (executive) chairman Muhaimin Iskandar and his uncle former president Abdurrahman, better known as Gus Dur who retained his top post as the party's powerful syuro (consultative) board chief during last week's congress in Semarang, Central Java.

Muhaimin, however, failed to include in the new board four senior PKB politicians former defense minister Mahfud M.D., former state minister for women's empowerment Khofifah Indar Parawansa, former state minister for research and technology Muhammad A.S. Hikam and chairman of its faction in the House of Representatives Ali Masykur Moesa.

Mahfud, Ali and Hikam were Muhaimin's rival candidates who withdrew their bids to contest the leadership race, just hours before elections started. Nor did Khofifah vie for the race but back Mahfud's nomination.

Muhaimin, also a deputy House speaker, said he would intensify his personal approaches with Mahfud, Ali and Khofifah to appeal to them to help his PKB leadership.

"But the three are free to choose as to whether they would join in the board or not," added Muhaimin, as the post of his deputy was left vacant.

As to Hikam who is a former Gus Dur's confidante, he had vowed not to join Muhaimin's board, claiming that the Semarang congress and its outcome were illegitimate.

He instead took side with PKB's rival camp led by chief welfare minister Alwi Shihab and State Minister for the Development of Disadvantaged Regions Saifullah Yusuf, who is Gus Dur's rebellious nephew.

Alwi and Saifullah were suspended respectively as PKB chairman and secretary-general after joining the Cabinet of President Bambang Yudhoyono last October.

The two, backed a group of influential clerics that co-founded the PKB, were planning to stage a breakaway congress in Yogyakarta apparently to reinstate their party leadership.

They were also suing the PKB for the suspensions decided in a plenary meeting of the party's central board, which they said violated the party's statutes.

In response to the moves by his rivals, Muhaimin said the PKB would punish Alwi, Saifullah and their colleagues opposed to the recent congress.

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