Indonesian Political, Business & Finance News

Forest team to probe corruption

| Source: JP

Forest team to probe corruption

JAKARTA (JP): The ministry of Forestry and Plantation together
with the Attorney General's Office is establishing a team to
probe suspected corruption in the forestry sector which include a
misuse of funds by concessionaires owned by former President
Soeharto's family and cronies.

The ministry's secretary-general, Suripto, said a preliminary
investigation by his office had unveiled suspected irregularities
in the handling of reforestation funds, the granting of 51 forest
concession rights and land exchanges (ruislag) between 1996 and
1999.

"All the cases shows that there were interventions coming from
the executive branch, whether they were from the president or the
state secretary's office," Suripto said, after presenting his
findings to Attorney General Marzuki Darusman.

Suripto also alleged that four concessionaires had
misappropriated some Rp 784 billion (US$104 million).

He identified the four concession holders as being from former
president Soeharto's inner circle -- daughter Siti Hardijanti
Rukmana, golf buddy Bob Hasan, half brother Probosutedjo and
businessman Ibrahim Risjad.

Pending a final investigation, as many as 45 concession rights
could be frozen.

Suripto, a former military intelligence officer, has vowed to
combat corruption in the ministry despite his controversial
appointment to the post two months ago, which drew protests from
ministry employees. (01)

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