AGO questions Ary Suta over Indomobil stake sale

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.