Businessman sues minister for Rp 23b

Businessman sues minister for Rp 23b

JAKARTA (JP): A businessman is suing Minister of Mines and
Energy I.B. Sudjana and his staff for Rp 23.5 billion in damages
after the cancellation of a contract for an office tower project.

Plaintiff Sjarief Tando, president of PT Petrobuild Indonesia,
also asked Central Jakarta District Court on Monday to force the
minister to honor the contract, which was revoked by the
ministry's secretary-general in April 1995.

"We ask that the contract be given back to PT Petrobuild
Indonesia," Sjarief's lawyer, Lelyana Sentosa, said during the
hearing.

Speaking outside the court, Lelyana said her client would
pursue his lawsuit against Sudjana even if the minister failed to
be reappointed to cabinet by the president during the March
general session of the People's Consultative Assembly.

Lelyana hoped the court, which she said has the authority to
handle the case, would rule in her client's favor.

But Sudjana's lawyers from the Nasution, Sudibjo, Maqdir &
Partners law firm have said the court has no authority to hear
the case.

They said the lawsuit should be filed with the Jakarta State
Administrative Court.

Presiding judge Soebardi adjourned the trial until Feb. 10 to
decide whether the lawsuit can proceed.

According to Sjarief Tando, PT Petrobuild Indonesia won the
US$100 million contract to build and operate the Migas Center on
a 127,708-square-meter plot on Jl. Thamrin, Central Jakarta.

The contract -- which had been signed by Syarief and the then
director general of oil and gas, Suyitno Patmosukismo, on Feb.
22, 1993 -- gave the company the right to operate the center for
30 years before handing it over to the ministry, he said.

But the ministry revoked the contract in April 1995 and
transferred it to PT Bhakti Patra Nusantara, which is affiliated
with the state-owned oil company Pertamina, Sjarief said.

The ministry said the contract was canceled because PT
Petrobuild did not have adequate funds to build the center --
which has been renamed Patra Graha, he said.

Sjarief denied the allegation yesterday, saying he had
evidence that proved state Bank Pembangunan Indonesia (Bapindo)
had guaranteed the funds for his company to finance the project.

"We will prove during the hearing that we have adequate funds
to build the center," he said. (jun)