Condo tycoon held at AG office

JAKARTA (JP): The Attorney General's Office is detaining a condominium tycoon on suspicion of embezzling Rp 65 billion (US$7.6 million) in state money.

Barman, a spokesman for the Attorney General's Office, said Monday that the suspect, Seno Margono, alias Tjiang Lek Seng, 38, was handed over by the Jakarta Internal Security Agency last Thursday.

He has being charged with embezzling Rp 65 billion. Seno allegedly counterfeited state land titles, which he then used as collateral to obtain a bank loan, Barman said.

Seno borrowed the money from Bank PDFCI, a private bank which was brought under government management on Saturday as part of measures to reform the country's weak banking sector.

"The money was then used to build a condominium in Kemayoran, Central Jakarta," Barman added.

Spokesman for the Jakarta Internal Security Agency Lt. Col. D.J. Nachrowi said the suspect had been transferred to the Attorney General's Office because corruption cases came under its mandate.

Nachrowi said Seno was also under investigation for allegedly defrauding the now defunct Bank Harapan Santosa (BHS) of Rp 3 trillion.

Seno is the son-in-law of Hendra Rahardja, one of the directors of BHS, which was liquidated by the government last year. (edt)