City Hall runs up tab to Dolog Jaya

JAKARTA (JP): The city administration owes some Rp 1.1 billion (US$160,000) to the city logistics agency (Dolog Jaya) for rice distributed by the administration to the poor, an official said on Tuesday.

"It's still unclear which parties are responsible for the unpaid debt," deputy governor for social welfare affairs Djailani said on Monday.

He said either the residents did not pay for the heavily subsidized rice, or the district and subdistrict heads kept the residents' payments for themselves.

"The city administration will not hesitate to fire any district or subdistrict heads if they delay the payment to the logistics agency," Djailani added.

The cheap rice distribution program is part of the city administration's commitment to help city residents who live below the poverty line.

Djailani said the district and subdistrict officials did not have the grounds to delay payment because residents were required to pay cash for its purchase.

Dolog Jaya chairman Sonny M.H. Padmakusumah requested in a letter on Dec. 3 that the administration clear its debt.

"The logistics agency needs the money to distribute more rice in late December for Christmas, New Year and the Idul Fitri holidays," Sonny said in the letter.

He said the agency distributed 10.9 tons of rice during the period of April to August worth Rp 10.9 billion. "However, the agency has only received some Rp 9.8 billion from the city's 43 districts."

He said only six districts in the city paid in full to the agency.

"The same six districts will be prioritized for the next period of rice distribution." The distribution is planned for Dec. 20.

West Jakarta has the highest outstanding debt of Rp 336 million, while South Jakarta mayoralty has the least debt of Rp 76 million.

A kilogram of rice is sold for Rp 1,000 to less fortunate families. Each of the 121,548 families registered in the program is allowed to buy 20 kilograms of rice each month. (05)