Fri, 21 Jul 2000

Cooperative head nabbed over scam

BOGOR (JP): The head of Ciseeng village cooperative has been detained for the past two weeks at Cibinong Prosecutor's Office for allegedly embezzling Rp 1 billion, an official said on Tuesday.

Head of the intelligence department of the prosecutor's office S. Situmorang said that Oman, 50, took money that was supposed to be distributed as credit funds to local farmers who are members of the cooperative.

"Oman was detained following a complaint by a cooperative member, who suspected that the Rp 1.8 billion of credits for the 1998/1999 planting season had not been properly channeled to local farmers," Situmorang said.

Based on the report, his office conducted an investigation and found out that Oman only handed over Rp 800 million to farmers for fertilizers and seeds. It is alleged he kept the rest.

"The prosecutor office then blocked his accounts in several banks," he said.

The case will be handed over to the Cibinong District Court soon. (21/06)