Court rules against Perhutani

JAKARTA (JP): The Jakarta State Administrative Court overruled on Monday a decision by directors of the state-owned forestry company Perum Perhutani to demote two executives.

Two panels of judges, presided over by judges Trimurti S. and Yulius, examined the cases separately concluding that the demotion of the head of Perhutani Division II East Java, Basoeki Danoesodarto, and the head of Perhutani Division III West Java, Prijono Soemarno, were arbitrary and lacking legal substance, Antara reported.

Basoeki and Prijono were both demoted to the lower positions of head of division, authorized to manage former forest concessions, in East and West Kalimantan provinces respectively.

Judge Trimurti outlined that "extension of the areas of operation of Perum Perhutani outside the Java island to East and West Kalimantan provinces should have been stipulated by a government regulation, not just ministerial approval".

The demotion of Basoeki and Prijono in October last year prompted strong reactions from other staff, who accused the Perhutani board of directors of making the decision without first conducting performance appraisals of the executives.

Basoeki was replaced by Darsono Sidik as head of the East Java office, while Soebagyo was appointed to Prijono's former post as head the West Java office. (bby)