BI restrains PWC in Bank Bali probe
JAKARTA (JP): The central bank has rejected demands to allow international auditor PricewaterhouseCoopers (PWC) to audit the personal bank accounts of influential people allegedly involved in the high profile Bank Bali scandal.
Bank Indonesia Governor Sjahril Sabirin said on Wednesday that such a demand could only be fulfilled if it came from the "law enforcement, which includes the police and Attorney General's Office".
"There have been demands for documents and investigation (work) which is no longer categorized as a financial audit (process)," Sjahril told House of Representatives Commission VIII on banking and finance during a hearing.
Sjahril added that the demands were already beyond the audit coverage ordered by the House to Australia-based PricewaterhouseCoopers.
Sjahril's statement casts further doubt on a satisfactory resolution of the Bank Bali scandal, which allegedly involves the inner circle of President B.J. Habibie.
Amid pressure from public and international donors, the House ordered the Supreme Audit Agency (BPK) to cooperate with the international auditor to verify the audit result of Bank Indonesia in connection with the Bank Bali scandal.
BPK completed the audit by the Tuesday deadline and has handed over the results to the House.
"There are also demands for data and documents of office phone and cellular phone conversations of Bank Indonesia senior officials," Sjahril said, adding that the data would only be given to the police.
Asked by reporters if the police had already asked for such information, Sjahril said: "I'm not aware of it."
The Bank Bali scandal revolves around the controversial transfer of Rp 546 billion (US$80 million at current rate) from the bank to private firm PT Era Giat Prima (EGP) as a commission fee to help the bank recoup its interbank loans on closed down Bank Dagang Nasional Indonesia (BDNI).
Bank Bali was not supposed to use the service of EGP because the loans are guaranteed through the government blanket guarantee program.
There have been allegations that senior government officials and other influential people near President Habibie are involved in the scandal and the money was to help finance Habibie's presidential race in November.
Although the funds were returned, the Habibie administration is under strong public pressure to take firm legal action against the influential people involved in the scandal.
But the police have so far only listed former Bank Bali senior management, EGP owners and a government official as suspects in the case.
Former Bank Bali president Rudy Ramli is scheduled to meet the commission on Thursday.
There have been concerns among opposition leaders and analysts that the government and even some influential legislators are covering up the Bank Bali scandal, which has sent tremors through the local financial market and lowered confidence in the government bank restructuring program.
In a sign confirming this concern, the commission apparently eased its pressure on the central bank to unveil more facts surrounding the Bank Bali scandal during Wednesday's hearing.
Until six in the afternoon, legislators repeated questions already asked during their August 19 meeting with banking authorities.
The hearing was scheduled until late in the evening.
Some legislators tried to divert the meeting to other banking issues.
No legislators tried to elicit information on the result of the BPK audit.
Legislator Ichsanuddin Noorsy earlier claimed some legislators received Rp 50 million each to keep silent over the Bank Bali investigation.
But legislator Thomas Suyatno said the hearing was not aimed solely at discussing the Bank Bali scandal.
Meanwhile, House Commission VIII chief Tayo Tarmadi said that the House had yet to decide on whether it would disclose the results of the PricewaterhouseCoopers audit to the public.
"It will depend on the House leaders," he told reporters on the sidelines of the hearing.
He said that he had received the audit result, and was satisfied with it. (rei)