Indonesian Political, Business & Finance News

BPKP to focus on fight against corruption

| Source: JP

BPKP to focus on fight against corruption

JAKARTA (JP): President Abdurrahman Wahid will soon issue a
decree which will allow the Development Finance Comptroller
(BPKP) to focus on investigating corruption and securing state
revenues, BPKP chief Arie Soelendro announced on Wednesday.

Arie said the decree might also include a clause allowing BPKP
to provide its findings to the House of Representatives.

"Basically, (the presidential decree) will focus our job on
handling the issue of KKN, government accountability and securing
state revenues," Arie said following a hearing session with House
Commission IX for the state budget and finance.

KKN is the local term for corruption, collusion and nepotism.

Arie was unable to specify when the presidential decree would
be issued.

Legislators have lambasted BPKP for its poor performance in
rooting out massive corruption in the government of former
president Soeharto.

Some House members also insisted the agency be dissolved to
permit the Supreme Audit Agency (BPK) to become the sole auditor
of government finances as stipulated in the country's
Constitution.

They also reasoned that while BPK reports directly to the
House, BPKP has so far only submitted its findings to the
president.

But Arie defended the role of the BPKP as "crucial", saying it
acted as an internal auditor for the government to help the
president detect corruption by government officials and the abuse
of power.

He also said that as an external auditor, the role of the BPK
was different to that of the BPKP.

"BPKP is the ear and the eye of the president," he told the
House members.

"Without the help (of BPKP) the president would lose control
(of government policy) and of accurate information as the basis
for making decisions."

Arie said the new decree would be in accordance with the new
BPKP blueprint, which would focus on ending corruption and
creating clean and good governance.

Corruption was rampant during the 32-year rule of Soeharto.
Some experts have estimated that some 30 percent of state
finances were embezzled by government officials.

The new administration of President Abdurrahman Wahid has
announced a firm stance on fighting corruption and creation of a
clean government.

Arie said BPKP had been professional in conducting its
internal audit.

He said public distrust in BPKP's audit work was mainly due to
the fact that by law it was not permitted to disclose its
findings in details to the public.

Legislators questioned the fact that foreign auditors were
able to reveal the massive corruption in state firms and agencies
including within state-owned oil and gas company Pertamina,
electricity firm PT PLN and the State Logistics Agency (Bulog).

"We think that the public's trust can be gained if we're
allowed to disclose our findings transparently," Arie said.

Arie also said that the failure to fight corruption during the
previous administration was not because of BPKP's poor
performance, but was largely due to the inability of law
enforcement agencies to carry out follow-up measures on the
agency's findings.

Arie said that in relation to its commitment to combat
corruption, he was confident that the new government was
different from the past government.

"BPKP is ready to be a pioneer in (revealing) corruption in
any government projects or state firms," he said. (rei)

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