Indonesian Political, Business & Finance News

Costly building shocks councilors

| Source: JP

Costly building shocks councilors

PALEMBANG, South Sumatra: Several councilors were surprised
Tuesday with a finding that the local government had doubled the
budget for a state-owned building without consulting them.

Rokian Cik Ubir of the dominant Golkar faction and M. Husni
Hamzah of the Indonesian Democratic Party said the administration
had breached procedures in its decision to add Rp 1.5 billion
(US$625 million) to the original Rp 1.02 billion budget for the
province's Indonesian Civil Servant Corps' building.

"The governor has never informed us about the extra
expenditure. This is a violation of the rules," Rokian said.

Antara reported the extra money was discovered when Endang
Soerja, the councilor who chairs the administrative affairs
commission, delivered his report on the province's 1997/1998
annual budget in a plenary session.

Endang said the building would cost the province Rp 2.52
billion, exceeding the budget the councilors approved last year.

The councilors' chief, Soemarsono, admitted recommending the
extra expenditures without discussing it with his colleagues.

"But the recommendation remains a suggestion, because the
provincial administration must receive approval from the Minister
of Home Affairs," he said. (amd)

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