Council grills developer over alleged corruption

Council grills developer over alleged corruption

JAKARTA (JP): The City Council questioned PT Duta Pertiwi on
Friday over the development permit for a three-story shopping
complex on a pedestrian overpass that connects ITC Shopping
Center and Mangga Dua Mall in Mangga Dua, West Jakarta.

In a hearing between executives of the company and members of
the council's Commission D for public works, development and
environmental affairs, the councillors accused the private
developer, which developed and owns the overpass, of bribing city
officials in an effort to obtain a permit.

None of the councillors elaborated any further on the
allegation.

During the meeting led by commission chairman Sayogo
Hendrosubroto, an executive of Duta Pertiwi, Stevanus Hartono,
denied the accusation, saying that the money given to the city
administration was simply a kind of "contribution".

The money, he said, consisted of a "good will fee" worth Rp
500 million, control and maintenance cost of Rp 450 million,
"compensation fund" for the poor worth Rp 144,788 million, and
another contribution of Rp 900 million, which would be paid in
installments until 2010.

Stevanus did not reveal any names to who received the money.

Separately, the chairman of Commission C for city revenue,
Amarullah Asbah, urged the city administration to publicly
disclose the case.

"What exactly is 'good-will money'? Which rules stipulate a
developer has to pay that much? There are no rules about it," he
said.

Amarullah also suggested that City Bylaw No. 7/1991 on
building regulations be renewed because it did not regulate
buildings which were constructed above street level.

Stevanus said his company obtained the permit issued by the
governor on April 30 last year.

Councillor Saud Rahman, who is also the deputy chairman of the
commission, asked about the safety of the construction.

"The bridge is simply an overpass. Won't it be dangerous for
motorists passing underneath if there are 192 shops built on it?"
Saud asked.

Stevanus replied: "The proposal from the beginning was to
build an overpass which also has shops on it.

"The construction is safe and will not pose a hazard to
motorists," he said. (09)