AGO questions Ary Suta over Indomobil stake sale

Tertiani ZB Simanjuntak and Imanuddin, The Jakarta Post, Jakarta

The former head of the Indonesian Bank Restructuring Agency (IBRA), I Putu Gede Ary Suta, has been questioned in relation to alleged irregularities surrounding the high-profile sale of government shares in PT Indomobil Sukses International.

Junior attorney general for intelligence affairs, Basrief Arief, revealed on Friday that the Attorney General's Office had questioned Ary Suta, in an attempt to garner evidence of alleged criminal manipulation.

"A team of investigators have questioned 14 people in connection with the investigation, including former IBRA chairman Ary Suta," Basrief said.

He said the office's investigation focused on the criminal aspect of the case.

The Business Competition Supervisory Commission (KPPU) is also investigating the sale, specifically its procedural aspects.

"The team has temporarily completed the investigation. It will evaluate its results next week to find out whether corruption had occurred during the sale of Indomobil," Basrief said.

The government, via IBRA, sold its 72 percent stake in Indomobil in December last year to a consortium led by PT Trimegah Securities.

But, there have been allegations that Trimegah was merely acting as a proxy for the Salim Group, the founder of the car maker, which has been banned by the government from repurchasing those of its former assets that have been nationalized.

The diversified Salim Group, which has transferred the ownership of 100 of its companies to the government in a bid to repay its debts, has been suspected of trying to buy back the assets.

The suspicion that Salim was behind the Indomobil stake transaction emerged after IBRA, the special government agency that controlled the Indomobil stake, completed the sell-off process without giving other bidders aside from Trimegah a proper chance to bid, and the fact that the sale price was very low.

IBRA was led by Ary Suta at the time.

KPPU earlier said that the investigation could lead to either the cancellation of the deal, or a fine of between Rp 1 billion (US$100,000) and Rp 25 billion against the buyer if there is proof that the law was broken.

KPPU is an agency established by the government to enforce Antimonopoly Law No. 5/1999 which prohibits businesses from conspiring with other parties to win a tender.