Indonesian Political, Business & Finance News

Former Banda Aceh Mayor goes on trial for graft

| Source: JP

Former Banda Aceh Mayor goes on trial for graft

Nani Afrida, Banda Aceh, Aceh

Zulkarnain, a former Banda Aceh Mayor, went on trial on Tuesday
at the Banda Aceh district court on graft charges.

In the first hearing on Tuesday, the 48-year-old former mayor
was indicted for embezzling state money for personal gain to the
tune of Rp 3.5 billion (US$ 368,421).

According to prosecutor Moh. Adnan, the graft case began in
2002 when the municipality got Rp 10 billion, for the budget item
entitled "funds for people's economic empowerment".

The Rp 10 billion was supposed to be used to for soft loans to
poor entrepreneurs. It turned out later that only Rp 6.5 billion
was used for that purpose, while the remaining Rp 3.5 billion
allegedly went to Zulkarnain, according to the prosecutor.

The prosecutor added that the defendant had ordered officials
at the municipal treasury to transfer the Rp 3.5 billion to his
account. "The first transfer amounted to Rp 3 billion and the
second was Rp 500 million," said the prosecutor.

The defendant was charged with violating the law on
corruption, which carries a maximum sentence of death.

Zulkarnain, who served between 1998 and 2003, was arrested on
January 15 this year and incarcerated at Keudah Penitentiary. The
second hearing will be next week.

Another top Aceh official who is set to face prosecution on
graft case is Aceh Governor Abdullah Puteh. He has been named a
suspect for allegedly marking up the price of a Russian-made
helicopter that the Aceh provincial administration purchased two
years ago.

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