Indonesian Political, Business & Finance News

BPK urged to reveal data on Riau leakage

| Source: JP

BPK urged to reveal data on Riau leakage

Haidir Anwar Tanjung, The Jakarta Post, Pekanbaru

The Provincial Prosecutor's Office in Pekanbaru, Riau, called
on the State Audit Agency (BPK) to hand over the latter's recent
findings of leakage amounting to Rp 87.2 billion in the Riau
Islands' 2001/2002 budget, saying it would investigate the case
thoroughly.

Dimpuan Siallagan, spokesman for the Provincial Prosecutor's
Office, said his office would carry out an investigation soon,
once BPK had shared its findings on the leakage.

"The Provincial Prosecutor's Office can do nothing unless it
receives BPK's findings," he said here on Monday.

Leakage was discovered after some officials of the Riau
Islands administration failed to show up at the regency
legislative council on several occasions to clarify the BPK
findings.

Andi Anhar Chaliq, chairman of the regency legislative
council, confirmed leakage totaling Rp 87.2 billion was based on
the results of BPK's recent audit revealed to the legislative
council.

"The legislative council will look into BPK's findings by
seeking clarification from the local executive and by making
field trips," he said.

Alias Wello, coordinator of the alliance of local non
governmental organizations, said the NGOs would submit their
complaints to the local police for further investigation and
press the legislative council to look into the results of BPK's
audit.

He said the NGOs have agreed with local chapters of several
political parties to raise alleged corruption to the surface.

"Corruption will continue unless action is taken," he said.

Mursal Muchdar, chief of the local administration's income
office denied the leakage, saying there must be a
misunderstanding between the legislature and BPK.

"Leakage is caused by the absence of Rp 54 billion in tax that
local companies should have paid to the regency. The central
government, which receives the tax, should share it with the
regency," he said.

"It is not a BPK finding. The local administration disclosed
the data on the tax payments to BPK when its staff audited the
regency's finance in April," he said.

Mursal added that a number of mining companies have yet to pay
their 2001 taxes to the local administration, so there were still
a lot of unaccounted-for funds in the 2001 budget.

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