Thu, 08 Nov 2001

Dadang admits receiving Rp 40b in Bulog fund

The Jakarta Post, Jakarta

Dadang Sukandar, chairman of the Raudlatul Jannah Foundation, on Wednesday revealed that he had accepted Rp 40 billion in non- budgetary funds from the State Logistics Agency (Bulog), but insisted that it had been properly spent on relief operations.

The admission to waiting reporters came following 10 hours of questioning at the Attorney General's Office.

Dadang had been summoned as a witness in the alleged misuse of a total of Rp 54.6 billion in Bulog funds. Former agency chairman Rahardi Ramelan is a suspect in the case.

The latest revelation corroborates Golkar Party chairman Akbar Tandjung's claim that Rp 40 billion of the agency's funds had been handed over to the foundation.

According to Dadang the money was disbursed in two installments.

"I received the first installment at the State Secretariat on March 2, 1999. The first installment was a total of Rp 20 billion in two separate checks of Rp 10 billion each," Dadang said.

"The second installment of Rp 20 billion was also given at the same office in April 1999."

Dadang said the check was handed over by a Bulog member of staff. He declined to identify the person.

Dadang had previously claimed that he had used the fund to provide basic foodstuffs to regencies in Jakarta, Yogyakarta, East Java, Central Java and West Java. He claimed a total of 1,620,000 packages had been supplied to 64 regencies and 1,600 villages.

Each package was worth Rp 25,000, he added.

Dadang insists that the then minister for social welfare Haryono Suyono had recommended the purchase and distribution of staple foodstuff for people in several areas.

But in earlier questioning, Haryono denied making such a recommendation.

Dadang claimed he used four contractors for the job, but said he had forgotten their names.

Sources at the Attorney General's Office said the four companies contracted to run the staple food program were PT Bintang Laut Timur Baru, PT Adiguna Cipta Sarana Perkasa, PT Artalapan Bintang Jaya and PT Transtigana Service.

One of the contractors, named L. Simatupang, is expected to be questioned on Monday.

Dadang said he had also met Akbar, who was then State Secretary, on Jan. 17, 1997 for the first time and submitted a proposal to run the operation to distribute the staple foodstuff.

During Wednesday's questioning, Dadang was accompanied by lawyers Sabar Ompusunggu, Emanuel, Robertman R. Aritonang, Sadar Silalahi and Junawan Ompusunggu. He was reportedly asked 35 questions.

In a leaflet distributed to journalists, Dadang said his foundation was founded in 1997.

Separate reports also suggest that one of the senior foundation members was Golkar executive M.S. Hidayat.

A number of non-government organizations have submitted a report to the Attorney General's Office alleging M.S. Hidayat, along with another Golkar executive, Fadel Muhammad, received funds from the agency.

Rahardi Ramelan had said that Rp 54.6 billion of Bulog's funds had been distributed during his tenure -- Rp 40 billion to the State Secretariat, Rp 10 billion to then minister of defense/former Indonesian Military (TNI) commander Gen. (ret) Wiranto, while Rp 4.6 billion was borrowed by PT Goro Batara Sakti.