Discrimination of foreign executives

The controversial detention of five Newmont executives on as yet unproven Buyat Bay contamination charges can be considered another case of outright discrimination against foreign companies, and represents a significant deterrent for top expatriate executives to accept postings in Indonesia.

As illustrated by several prior high-profile cases involving foreign multinationals, the arbitrary detention or imprisonment of expatriate executives in the absence of legitimate court verdicts cannot be considered an isolated incidence of the miscarriage of justice.

Instances like these are in stark contrast to the treatment meted out to executives of domestic companies and detentions in the case of alleged or proven criminal charges in a majority of cases remain exceptions to the rule, rather than the implementation of strict and impartial law enforcement.

Preventing Newmont suspects or witnesses from leaving the country should have been more than sufficient to serve the interests of justice, and holding expatriate executives personally and criminally responsible for untried charges brought against their employer is not conducive to an improved foreign investment climate.

Other discriminatory obstacles faced by expatriate executives include the disclosure of offshore incomes and assets for tax purposes and in many instances, the country's restrictive visa policy represents an unnecessary hurdle not only for visiting businessmen but also for potential investors.

JOSEPH LOUIS SPARTZ Jakarta