Four-year jail sought for two bankers

Four-year jail sought for two bankers

JAKARTA: Prosecutors sought four-year-jail terms for two former
officials from the now-defunct Bank Ficorinvest on Tuesday in
connection with the alleged misappropriation of Bank Indonesia
Liquidity Support Funds (BLBI).

Prosecutor Bambang Riyadi Lani told the South Jakarta District
Court that Supari Dhirdjoprawiro, the former president director
of the bank, and S. Soemeri, the bank's director, were guilty of
abusing their authority by allowing the disbursement of Rp 319
billion (about US$37.1 million) of the funds in 1998 to speculate
on foreign exchange and to lend it to private clients.

"We ask the court to sentence the defendants to four years in
jail," he told the hearing, which was presided over by Judge
Zoeber Djajadi.

The offense carries a maximum penalty of life imprisonment.

Both defendants remained calm as the recommendation was read.

The central bank disbursed Rp 144.5 trillion in liquidity
support to 48 commercial banks in a bid to overcome possible
bankruptcy during the economic crisis in 1998 and 1999.

However, 95 percent of the funds were used in a corrupt manner
for personal gain by the bank owners, according to the Supreme
Audit Agency (BPK).--JP
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Greater-water-exploitation
'Stop ground water exploitation'
JP/8/GREATER

'Stop ground water exploitation'

BOGOR: A local councillor has called on the Bogor municipal
administration to stop making money by allowing the exploiting of
groundwater by poorly planned developments.

Rizal Barnadi of the council's Commission D for development
warned that if uncontrolled development continued, Bogor could
become like Jakarta, which regularly experienced water shortages
in certain areas.

Dewi Kurnia from the Bogor information office denied that the
Bogor administration was unaware of the importance of sustainable
development. She said Monday that the municipality's residential
settlement agency last year built many water retention
facilities.

She also said that all housing developers were obliged to
build water retention facilities, and that the authorities had
banned the construction of buildings along riverbanks. --Antara