Bank DKI may use disputed Timor buildings: Sutiyoso

Bank DKI may use disputed Timor buildings: Sutiyoso

JAKARTA (JP): City-owned Bank DKI will likely take over two
disputed Central Jakarta office buildings owned by former
president Soeharto's youngest son, Governor Sutiyoso said on
Thursday.

Companies owned by Hutomo "Tommy" Mandala Putra will relocate
from the buildings on Jl. Medan Merdeka Timur to Bank DKI's
office on Jl. Juanda III, Central Jakarta, in an exchange deal,
Sutiyoso said.

Use of the buildings had been offered to government
institutions, "but as there were no parties interested in the
buildings, they will be taken over by Bank DKI.

"I think it is better if Bank DKI takes over the buildings as
they are located near the City Hall," he told reporters at an
installation ceremony for seven new city department heads.

After Soeharto quit office on May 21, the administration
declared that the 18-story Humpuss building -- housing Tommy's
widely diversified business group -- and the seven-story Timor
building bearing the name of Tommy's controversial car project
had violated land use regulations.

Presidential Decree No. 25/1995 on the development of the
Medan Merdeka area forbids private companies from building
offices.

The area is a buffer zone for the development of Medan Merdeka
Park, where the National Monument (Monas) stands.

Despite the decree, Tommy built the two office buildings while
his father was in power. There was no public denunciation at the
time.

Last June, Tommy asked Governor Sutiyoso to help him sell the
two properties to state enterprises.

In August, Central Jakarta Mayor Andi Subur Abdullah stated
the mayoralty had given Tommy two months to vacate the buildings.

However, Andi Subur told reporters on Thursday that the
mayoralty had lengthened the deadline to one year because it was
difficult to relocate the companies, employing about 3,000
workers in the two buildings.

Sutiyoso admitted that Tommy had argued about the logistical
difficulties in moving offices, but said his administration was
not cowed by the once-omnipotent Soeharto family.

"It's not true that we are weak in facing Tommy. We should be
prudent in implementing the policy as there are also other
buildings, like those housing (national flag carrier) Garuda
Indonesia airlines and Antara news agency which have also broken
the regulations."

A source said Tommy had asked the administration to reveal
other buildings in the Medan Merdeka area which also broke the
regulations.

Separately, City Council spokesman Edy Walujo said the
exchange arrangement should under a technical evaluation to
determine if it was fair.

"Councilors should be involved in the plan so that people or
the administration won't suffer financial losses."

At Thursday's ceremony, Sutiyoso installed Bambang Sungkono,
head of the development planning board; Sutardjianto, city
inspectorate office; Deddy Ruswendi, city office of the Ministry
of Health; Erniek Suprapti, city office of the Ministry of Social
Services; Samsul Chorib, city office of the State Receivership
Agency; Hasanudin, city office of the Ministry of Justice; and
Yohanes Moeryono, city office of the Ministry of Transmigration
and Resettlement of Forest Nomads. (ind)