Indonesian Political, Business & Finance News

Games fund-raising a lesson for ministry

| Source: JP

Games fund-raising a lesson for ministry

JAKARTA (JP): The mismanagement of fund-raising revenue for
the 19th SEA Games has proven to be a lesson for the Ministry of
Social Services in that it needs to be more careful in issuing
decrees.

The ministry's director of social charity supervision, Anindya
Boedisoesetya, announced yesterday that the ministry could only
issue decrees approving fund-raisers, including the consortium
appointed as fund-raiser for the Games, but could not control the
application of permits.

"The ministry issued the decree for the SEA Games fund-raising
for charity based on the Law number 9/1961 on collecting money or
objects from the public," he said.

Electricity, telephone and cellular phone customers, airplane
passengers and vehicle owners wanting to extend their
registration or driver's licenses had to pay for stickers. Some
customers refused, saying buying the stickers was officially
voluntary.

About 40 people faxed in complaints to the Indonesian
Consumers Foundation, while many others phoned in or sent letters
complaining about paying for stickers they did not receive.

Anindya said: "Sticker purchases were voluntary. The people
willing to pay for stickers could ask for them in the outlets if
they didn't get them. Those who didn't want to pay for the
stickers, could have refused them.

"The public deserved to get the stickers because they paid for
them."

Anindya said the ministry, based on the law, does not need
approval from the House of Representatives to issue decrees.

The Jakarta Legal Aid Institute, which will represent the
foundation in suing the consortium, said a ministerial decree
needs approval from the House as a representative of the public.

Anindya said the consortium was not allowed to raise funds
after the decree expired on Dec. 31, 1997. He was commenting on a
letter from the consortium's executive director, Bambang Yoga
Soegama, dated Oct. 13, 1997, appointing PT Angkasa Rona Graha
(ARG) official distributor of the stickers to state-owned
companies PT PLN, PT Telkom, the Ministry of Transportation and
provincial revenue agencies from July 1, 1997 to April 30, 1998.

"This is wrong. As soon as a decree expires, a fund-raiser is
not allowed to continue collecting public funds. In this case,
starting on Jan. 1, 1998, there should be no more SEA Games
sticker sales," Anindya said.

He also said the ministry was still waiting for the 19th SEA
Games consortium's final report, which is being audited by public
accountant Klynveld Peat Marwick Goerdeler.

The consortium, chaired by Bambang Trihatmodjo, said in its
preliminary report that it suffered a Rp 68.1 billion loss,
raising Rp 87.9 billion against outgoing costs of Rp 156 billion.

"The consortium reported to the ministry twice last year after
extensions of the decree, which was done quarterly. We haven't
had their final report as they have asked us to wait until the
final audit, which will be finished by the end of this month,"
Anindya said.

"Some provincial revenue agencies, provincial and city state
companies have yet to hand over their collections. We must give
them time to work on the reports," he added. (yan)

View JSON | Print