Fri, 27 Sep 2002

AGO to bring into court IBRA bribe scandal

A'an Suryana, The Jakarta Post, Jakarta

The Attorney General's Office (AGO) said on Thursday it would bring into court the alleged corruption case in Bank Niaga divestment program, once the Police completed the dossier of the case.

"Whether the case would be proceeded to court, it depends on the police courage to probe the case. The AGO is ready to proceed the case into court after receiving the dossier," AGO senior official Lukman Bachmid said during a gathering with the press.

The gathering was held by the Indonesian Corruption Watch (ICW), following reports quoting a couple of legislators that the Indonesian Bank Restructuring Agency (IBRA) had given bribes to certain lawmakers to obtain approval for the divestment of the government's 51 percent stake in the publicly-listed Bank Niaga.

Legislator Meilono Suwondo of the Indonesian Democratic Party of Struggle claimed that he had received some US$1,000 from an IBRA official during a meeting two months ago held to discuss the Bank Niaga divestment program. He said that he rejected the money, but some of his colleagues accepted it.

The House of Representatives Commission IX overseeing financial and state budget affairs, approved on Wednesday IBRA's plan to sell the Bank Niaga stake to Malaysia's Commerce Asset Holding Bhd. for Rp 1.05 trillion ($166 million), or Rp 26.5 per share. The approval was given despite previous protests from certain legislators over the low price.

Head of House Commission IX Max Moein had denied allegations that legislators have received money from IBRA.

But Meilono insisted that bribery had been a serious problem at the House.

"The bribery is a fact. Instead of trying to deny it, we'd better admit it and find ways to resolve the problem," he said.

He said that this case should be used as a momentum to launch a serious fight against corruption.

Indira Damayanti Sugondo, a former member of the House, acknowledged that corruption was rampant within the House, pointing out as example that government institutions often gave money to legislators during working meeting so that the House would approve their proposals.