Tue, 25 May 1999

Check 'Time' story, Habibie order Attorney General

JAKARTA (JP): President B.J. Habibie ordered Attorney General Andy M. Ghalib on Monday to examine the accuracy of the report by Time magazine on the wealth allegedly amassed by former president Soeharto and his children.

Minister of Justice Muladi said the President was determined to complete the probe on Soeharto soon after the general election next month.

"We have taken systematic measures, which I do not need to reveal now, that the government is committed to completing Soeharto's case," Muladi said after meeting with the President, Ghalib and Minister of Defense and Security/Indonesian Military (TNI) chief Gen. Wiranto at Merdeka Palace.

When pressed further about what he meant regarding the completion of Soeharto's case, Muladi only replied that he thought extensive analysis was required before completion of the case could be achieved.

"The President will provide accountability (on the matter) to the People's Consultative Assembly (MPR). Whether it will be a judicial or political (accountability) or a combination of the two will be settled after the elections."

In an interview with The Sydney Morning Herald on Saturday, and published on Monday, Habibie implied that Time had strong reasons to state that Soeharto had hoarded wealth for personal interests during his 32-year tenure.

According to Antara, Habibie quoted an Indonesian proverb as saying: "When there is smoke there must be fire" to support his opinion about the report.

Habibie claimed he had not read the magazine report. A Palace official however said last week that the magazine was on the President's desk soon after its publication.

Soeharto branded Time's report as a "cruel slander". His lawyers have warned the magazine that Soeharto would sue the publication if it failed to prove its report that Soeharto and his children had amassed about US$15 billion during his rule.

Soeharto also denied that his family had transferred $9 billion from Switzerland to Austria soon after he was replaced by Habibie in May last year.

In an interview with CNN aired on Monday, Habibie revealed personal traits of the former leader.

"He never lies. He keeps maybe something because he is not allowed to say. But in my experience he never lies.

If he doesn't want to tell you, he keeps quiet and smiles," Habibie replied when asked about the report.

According to Reuters, Habibie told the TV station he was "surprised" by the allegations.

Muladi said on Monday Ghalib had sent letters to Time, the embassies of Switzerland, Austria and the U.S. in Jakarta seeking their cooperation in uncovering the wealth of the former first family.

"It will not be easy to obtain (evidence) without the help of the related banks, or from the respective governments of Switzerland, Austria and the U.S.," Muladi, who is also minister/state secretary, said.

Switzerland's Ambassador Gerard Fonjallaz told Ghalib last September, that his government would only be able to assist the Indonesian government if official legal charges were made against the Soehartos.

National Mandate Party (PAN) secretary-general Faisal Basri said in Medan, North Sumatra, that Soeharto might have put his money under the name of other people to avoid legal investigations.

"I believe that he does have a deposit in his own name," Faisal said.

Meanwhile, Time's lawyer Todung Mulya Lubis sent a letter to Soeharto's team of lawyers, saying his client would stand by its story.

"However, Time is taking your warning letter dated May 19, 1999, seriously and will give more thought to its effect.

"Time spent approximately four months investigating matters relating to the wealth of Soeharto and his children," Lubis said in a statement made available to the Post.

As an internationally reputable magazine, Time conducted extensive research and interviews with among others, Ghalib and lawyer O.C. Kaligis in order to develop an accurate report, he said.

"Time also attempted to interview Soeharto and his children, but none of them accepted the opportunity to present their views on the subject of our May 24, 1999, article."

Lubis also insisted that his client had always guarded the confidentiality of its sources and would continue to adhere to that important safeguard for the free flow of ideas and information necessary for fair and accurate press reporting.

"Time has no intention of defaming or humiliating your client, former president Soeharto," he said. (prb/40/hhr)