Firms not clear on poor funds

Firms not clear on poor funds

JAKARTA (JP): Foreign-owned companies may leave Indonesia if
the government fails to explain the nature of the "two percent of
profit" donation for its poverty alleviation program, a tycoon
warned over the weekend.

Sofyan Wanandi, chairman of the Gemala Group, questioned
wether large foreign companies are really willing to donate two
percent of their profits to the Dana Sejahtera Mandiri
Foundation.

The foundation was established by President Soeharto and a
number of local tycoons last month to implement Presidential
Decree No. 90/1995, which calls on companies and individuals with
after-tax income of more than Rp 100 million (US$43,252) to set
aside up to 2 percent of their profits for the "poverty
eradication program".

"I doubt if large foreign companies really want to pay it. As
for large domestic firms, I think most of them will pay," Sofyan
was quoted by Antara as saying.

Concurring with Sofyan's argument, Sudwikatmono, president of
PT Indocement Tunggal Prakarsa, said 10 local tycoons will meet
President Soeharto today to express their commitment to helping
the poverty eradication program.

Among the ten tycoons are Sudono Salim (better known as Liem
Sioe Liong), Eka Tjipta Widjaja, Henry Pribadi, Prajogo Pangestu
and Sudwikatmono himself. (kod/rid)