Indonesian Political, Business & Finance News

District head detained for fraud

District head detained for fraud

BEKASI (JP): The Bekasi Prosecutors' Office arrested the former heads of the Muara Gembong district and Pantai Harapan Jaya village for allegedly selling 800 hectares of state land.

Chairuman Harahap, head of the Bekasi Prosecutors' Office, announced yesterday that a warrant, dated Dec. 12, was issued for IOC, the former district head, and MShl, the former village head.

"They are now being held at the Bulak Kapal correctional institution," Harahap said.

He said the two suspects had refused to sign the official detention report so a warrant was issued. "We spent hours waiting for them to agree to the report," he said.

Harahap said the dossier will be soon sent to the district court.

The suspects are accused of selling state land in Muara Gembong, Bekasi, to a private company.

Local farmers, who had fishponds on the 800-hectare plot, reported the sale to the Bekasi legislative council in April.

IOS allegedly found 400 farmers willing to sell their land for Rp 2.5 million a hectare, but then only gave the farmers between Rp 500,000 and Rp 1 million for each hectare.

The farmers, who felt cheated, then reported IOS to the police.

The prosecutors' office seized two buildings, two cars and six motorbikes believed to have been bought with the money the suspects made from the swindle.

Private developer, PT Bola Cahaya Biru now owns a 200-ha plot of the disputed land, while another 600-ha is owned by PT Banjar Taru Pala Chandratama Gryaland. (12/sur)

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