Asabri scam suspect to face land debt suit
JAKARTA (JP): Businessman Henri Leo, the main suspect in a Rp 410 billion (US$55.4 million) insurance scam at armed forces insurer Asabri, is now in further trouble after his 38-hectare plot in West Java, to be used to repay his debts, has been claimed by another businessman.
Amir Syamsuddin, a lawyer representing businessman Frans Widyarta, said his client would sue Henri if the latter provided the land as part of a commitment to repay his debt to the Ministry of Defense and Security.
Amir said the dispute was about the 38-hectare plot in Puncak Simun of Cianjur regency, West Java, which Henri bought from Frans. Henri has apparently not completed payment for the property.
"He (Henri) is not allowed to surrender the 38-hectare plot because he has not paid for it," Amir told The Jakarta Post over the phone.
He said Henri bought the land from PT Santikagraha Wisesa, owned by Frans, for about Rp 5 billion.
"I sent a warning letter to Henri on July 24, last year, telling him to complete the payment.
"He has so far only paid about Rp 250 million. He still has to pay the remaining Rp 4.75 billion, plus Rp 325.3 million interest," he said.
Amir said that if proven guilty, Henri could be charged with embezzlement, according to Article 372 of the Criminal Code, which carries a maximum penalty of four years in jail or a fine of Rp 900 (according to an old penalty system that has not been updated).
Henri is surrendering all his assets, including the property, to the Ministry of Defense and Security as a guarantee against his alleged misappropriation of insurance funds.
Earlier on Friday, Henri said he was ready to return the insurer's money.
"My client has assets worth at least Rp 800 billion to cover the debt," Henri's lawyer, Ruhut Sitompul, said.
He was referring to a report of an audit by a team from state Bank Negara Indonesia, conducted in mid-August.
Henri's assets, Ruhut said, included a late-model private jet worth Rp 40 billion, Mega Mall Kuningan in South Jakarta, the 38- hectare plot and several apartments in Hong Kong.
National Police spokesman Brig. Gen. Togar M. Sianipar said last week that the investigation was focused on the suspected role of Maj. Gen. (ret) Subardja, and Henri.
Asabri was headed by a board of Indonesian Military and police officers, including Maj. Gen. Subardja. Subardja, also named a suspect, was the official who approved disbursement of the loan to Henri.
The scheme is based on deductions from the monthly wages of at least 600,000 military and police personnel nationwide.
As reported earlier, the embezzled funds were deposited in several time-deposit accounts at state bank BNI in 1994.
The time deposits were opened for varying periods, such as three months, six months and one year, at different branches of BNI.
They were from 1995 converted into promissory notes in Henri's name, until the scam was discovered recently by a military officer at the Ministry of Defense and Security. (ylt)