Fri, 04 Sep 1998

Councilor tells of corruption in rice distribution

JAKARTA (JP): A city councilor has questioned the efficiency of the Jakarta Logistics Agency (Dolog Jaya) in distributing rice in the capital.

The head of the council's Commission B for economic affairs, Djafar Badjeber, said on Thursday he believed that Dolog officials may have colluded with others or collected large illegal levies and thereby allowed the existence of fake distributors.

He said that according to the city police, at least 142 Dolog distributors had turned out to be bogus.

It is a bit strange that hundreds of fake distributors are able to operate without being detected, he said, adding that Dolog officials could have been bribed by the fake distributors.

"There is a strong allegation that fake distributors took over the Dolog rice intended for market operations to the needy and sold it at higher prices to gain huge profits," he told reporters after a meeting with officials from the city police and Dolog Jaya.

Also present at the meeting were city police detective chief Col. Gories Mere and Hermawan, head of Dolog's distribution division.

Police data shows that 10 out of every 152 big distributors who were investigated turned out to be bogus, Djafar said.

Dolog has 3,450 registered rice distributors in the city, he said.

"The council, therefore, urges the police to continue to track down the rest of the registered distributors. We have also asked Dolog to drop the bogus distributors from its list," he said.

Data from the Cipinang rice wholesale market shows that prices of high and medium quality rice has jumped by 160 percent over the last eight months.

Rice which in February sold for Rp 2,100 a kilogram now sells for Rp 4,000 a kilo, while rice sold for Rp 1,500 a kilo now costs Rp 3,300.

Separately, Governor Sutiyoso promised on Thursday that he would do his best to help prevent starvation in the city.

"Is there starvation right in Jakarta? Whatever the answer, we should do whatever we can to avoid it," he said, adding that he would order all of the city's high-ranking officials to donate part of their incomes to the needy.

City police chief Maj. Gen. Noegroho Djajoesman also told the media at city police headquarters on Thursday that the police would continue to monitor Dolog's rice distribution network.

"We will not hesitate to take stern action against violators of existing regulations, such as hoarding rice or stealing foodstuffs."

Police have so far arrested three men, identified only as SD, RK and AD, for allegedly mixing and treating different grades of rice and packing it, using fake labels.

They mixed a local high-quality rice with imported rice of lower quality, rinsed it with a liquid chemical and labeled it as the popular Rojolele and Setra Ramos brands.

It is believed the three operated in Jakarta, Bekasi and Tangerang.

"We have confiscated some 380 tons of rice as evidence from their warehouse in Bekasi," Lt. Col. Adjie Rustam Ramdja, chief of Bekasi Police, said.

The police are tracking down suspects in another case. "We have already identified at least five of them," he said. (ind/edt)