Corruption worse under Megawati, says ICW

Corruption worse under Megawati, says ICW

Tiarma Siboro, The Jakarta Post, Jakarta

Corruption among state officials and politicians has worsened
under President Megawati Soekarnoputri's leadership, Indonesian
Corruption Watch (ICW) says.

ICW coordinator Teten Masduki also said that Megawati has no
intention of pursuing corruption cases against cronies of the New
Order despite the fact that widespread corruption led to the
downfall of former dictator Soeharto in 1998, paving the way for
the birth of a new era, the so-called Reform Era.

During Soeharto's authoritarian regime "only Soeharto's
cronies were able to commit corruption", but the dawn of the
reform era "has opened the door for all politicians at all levels
to engage in corruption."

"The rampant corruption of the past was more centralized
because of Soeharto's strong power, but the administration of
Megawati has promoted corruption in the spirit of mutual
cooperation," Teten said during a press conference here on
Friday.

Teten said regional autonomy, which was introduced in January
2001, had helped spread corruption down to the local government
level.

"I'm not saying that we would prefer to live under the New
Order regime, but one thing is for sure, that corruption now
takes place at all political and civil service levels," Teten
said.

Teten cited several high profile scandals implicating members
of the political elite, such as House of Representatives (DPR)
Speaker Akbar Tandjung and Attorney General M.A. Rachman.

Akbar was sentenced to three years in jail for
misappropriating state funds worth Rp 40 billion from the State
Logistics Agency (Bulog) when he was minister/state secretary
under the administration of former president B.J. Habibie,
Soeharto's successor.

On Friday, the Jakarta High Court upheld Akbar's three-year
jail term but he still remains free pending an appeal to the
Supreme Court.

Rachman has been reported to the police by the Public
Servants' Wealth Audit Commission (KPKPN) for a questionable
wealth declaration but investigators have yet to summon him.
Megawati, however, refused to dismiss Rahman from his post as
Attorney General, arguing that firing him would not eliminate
rampant corruption in the country.

In both cases, the pressure from politicians and legislators
has been insignificant, raising speculation that they are
defending their corrupt colleagues.

What was even more lamentable was the fact that the House and
government had agreed to scrap the KPKPN after the commission
insisted that all public officials declare their wealth.

The Attorney General's Office, according to ICW, put in a poor
performance in 2002 as it failed to pursue more than 20 cases of
corruption involving bankers and Bank Indonesia officials such as
Sidharta SP. Soerjadi and Permadi Ganda Pradja of the now defunct
Indover Asia Bank, causing the state to lose S$1 million.

Former minister of trade and industry Tanri Abeng, who was
implicated in the Bank Bali scandal that cost the state Rp 546
billion, had not been prosecuted.

Some tycoons who were once cronies of the New Order such as
Sjamsul Nursalim and Hendra Rahardja have chosen to live overseas
to avoid prosecution while Megawati appeared reluctant to ask law
enforcers to push ahead with their cases, Teten said.

Sjamsul and Hendra are just two of the tycoons who received
Bank Indonesia liquidity support loans near the end of the New
Order regime in 1998. Sjamsul, the owner of the now defunct Bank
BDNI, received some Rp 6.9 trillion and $96.7 million, while
Hendra received some Rp 80 billion as an injection of fresh funds
into his now defunct Bank BHS.

Sjamsul and Hendra are currently living in Singapore and
Australia respectively, and have so far failed to repay their
debts.