Councilors insist on debt allowance

Councilors insist on debt allowance

JAKARTA (JP): Outgoing council members demanded on Thursday
that the city administration grant them severance payments to
cover their debts at city-owned Bank DKI.

Jonggi JP Sihombing of the Golkar party said city councilors,
whose terms will end next Wednesday, would need the money to pay
for their debt installments when they left office.

"It will be proper if each of us can receive a separation
payment, at an amount equal to 50 percent of our monthly salary"
for the time we have worked, he told The Jakarta Post.

The term of all legislators, including members of the House of
Representatives (DPR) and the provincial-level legislative
councils, are constitutionally scheduled to end in 2003.

Amid strong pressure for reform and that his administration to
be a transitional one, President B.J. Habibie agreed to end his
term this year, instead of in 2003. Subsequently, the councilors'
terms would also end this year.

Habibie replaced Soeharto, who was forced to resign in May
last year by a massive nationwide student movement. Habibie
determined there would be a general election in June and a
presidential election in November.

Separately, United Development Party (PPP) councilor M. Husni
Bachrum agreed that the payments would be used to pay their debts
at the bank.

"We cannot afford to pay our debts at Bank DKI without the
allowance," he said.

Another Golkar faction member, Hermansyah Helmi, said the
outgoing councilors deserved the payments.

"Demanding the separation allowance is merely our right,"
Hermansyah said.

Jonggi said each of the 75 outgoing councilors is expected to
receive Rp 77 million (US$10,500) from the government.

He estimated that 40 percent of city councilors had used the
council's loan facility provided by Bank DKI.

But he doubted that any of the councilors had taken loans of
up to Rp 150 million, as some sources have said.

"I can say that the loans range between Rp 5 million to Rp 10
million," Jonggi said.

Hermansyah doubted that Governor Sutiyoso would grant their
request, saying that their term would end in only a few days.(03)