Fri, 24 Oct 2003

Ballot box bidder accused of misinformation

Moch. N. Kurniawan, The Jakarta Post, Jakarta

The Monopoly Watch has accused a top factory network which is participating in the tender for ballot boxes for next year's general elections of misinforming the public with three different versions of its production capacity data.

The watchdog chairman Samuel Nitisaputra said on Thursday the firm, PT Alumindo Light Metal Industry, had informed the General Elections Commission (KPU) that it produced 8,000 tons of aluminum per month, but based on data from the Jakarta Stock Exchange (JSX) in June 2003 the company's production capacity stood at 7,000 tons/month.

In its website, the firm, which is mainly controlled by PT Maspion, has a production capacity of 7,500 tons/month.

KPU has decided that the ballot boxes will be made of aluminum, instead of steel, which is cheaper.

"We call on the Capital Market Supervisory Agency (Bapepam) to question the company and egg on KPU to disqualify PT Maspion which leads the factory network," Samuel told a press conference.

He said PT Alumindo violated Article 86 point 1 (a,b) of the Law No. 8/1995 on capital market.

Article 86 point 1 (a) stipulates that a publicly listed company must report to Bapepam and announce the reports to the public frequently.

Article 86 point 1 (b) requires a firm to report to Bapepam and announce to the public any materials that could affect its share price two days after the incident, at the latest.

Separately, KPU member Mulyana W. Kusumah said KPU would seek clarification from the factory network about the matter.

"We will take into account Monopoly Watch's findings. But we can not just disqualify a company because of three different data," he said.

PT Alumindo was not available for comment, while Maspion spokesman Suharto refused to comment, saying it was beyond his authority.

JSX director for inspection Hari Wiguna said the institution would seek clarification from PT Alumindo on the different data on its production capacity.

Maspion leads a consortium which also comprises PT Indal Steel Pipe, publicly listed PT Indal Aluminium Industry, PT Alumindo, PT Trisulapack Indah, and PT Alaskair Maspion.

Samuel said that as far as the KPU were concerned the Maspium led consortium met the minimum production capacity of 8,000 tons of aluminum per month.

But Mulyana denied that the KPU were favoring the factory network, saying that the KPU had allowed all tender contestants to obtain aluminum from local producers or import materials, but that the priority would be given to local producers.

KPU will need about 2 million ballot boxes for next year's election.