Funds for tsunami victims embezzled

SURABAYA, East Java: Police are following up on reports that a local businessman embezzled Rp 700 million (US$309,000) from the fund raised for last year's tidal wave victims.

"We are in the process of collecting preliminary information," said Maj. Gen. Roesmanhadi, chief of East Java regional police, on Friday.

A businessman, identified only as O, is said to have absconded Rp 700 million from the Rp 1.2 billion raised for victims of the tidal wave in Banyuwangi last year in June.

The earthquake, which cause the huge wave, affected the Jember, Malang, Blitar, Tulungagung and Banyuwangi regions and caused an estimated material loss as high as Rp 4.8 billion.

A fund-raising committee amassed a total of Rp 5.1 billion from donations by President Soeharto, businesses and the public. The missing Rp 1.2 billion was collected in the final stage of the fund raising.

Coordinating Minister for People's Welfare Azwar Anas has expressed concern about the incident. East Java Governor Basofi Soedirman has promised to help "find" the businessman.

He would leave legal actions to the proper authorities, he said. (03)