Evidence 'borrowed' to pay wages

MANADO, North Sulawesi: The provincial administration here has asked the local police to disburse part of a Rp 72 billion (US$8 million) bank deposit that was seized as evidence in an alleged graft case involving the former provincial secretary and treasurer.

Incumbent provincial secretary Johanis Kaloh told Antara on Wednesday that the money, amounting to Rp 40 billion, would be used to pay the salaries of state senior high school and vocational school teachers in the towns of Manado and Minahasa, and to provide humanitarian assistance to victims of disaster.

He said the administration had also asked for more funds to pay compensation to residents affected by the Manado Beach hotel project, but that was rejected.

Disbursement of the funds would be made within one week, according to Kaloh.

Earlier in the day Governor Fredy H. Sualang promised to pay the salaries for August. -- Antara