Wed, 02 Apr 1997

Govt prohibits foreign donations for campaigning

JAKARTA (JP): The government warned the three official political parties yesterday not to seek foreign donations for election campaigning.

"Contestants are not allowed to receive donations from foreign organizations or individuals for their activities related to the general election," Ministry of Home Affairs spokesman H.S.A. Yusacc said.

Quoting Article 12 of Law No. 3/1985 on political organizations, Yusacc said that any party violating the law would be punished.

"Any political organization that receives foreign donations can have its board of executives disbanded," he said.

The Indonesian Democratic Party (PDI), the United Development Party (PPP) and the dominant Golkar will contest 425 seats in the 500-seat House of Representatives in the May 29 general election.

The remaining 75 seats are reserved for the Armed Forces, whose members cannot vote in the election. In past elections, the Armed Forces was spared 100 seats.

PPP and PDI leaders have complained that the Rp 500 million provided to each of their parties by the government on Monday was not enough to finance their campaigns.

For the 1992 election, the three parties each received Rp 250 million.

Golkar, which has great financial support from business, has not complained about the grants.

Yussacc said the government campaign grants were supplementary, and not supposed to cover all costs. "The money is a government grant... It's not taken from the state budget," he said.

PPP secretary-general Tosari Wijaya said the government grant was far below the party's expectation of Rp 1 billion. PDI chairman Soerjadi said the amount did not come close to the party's estimated campaign costs, which could reach Rp 20 billion.

Yusacc denied allegations that the grants gave the government power to meddle in the parties' internal affairs.

"It's a grant, nonbinding government funds," he said.

Golkar legislator, Suhardi, said yesterday the parties were free to seek financial support from local businesspeople.

"There is no law that prohibits political organizations from accepting assistance from local businesspeople," said Suhadi, who chairs House Commission III for legal affairs.

Suhadi stressed that donations from businesspeople should be nonbinding.

"We must remain on guard because a binding agreement could eventually influence the government's economic policies," he said.

He suggested that a law be drafted to regulate donations for political organizations.

When asked if the government punished entrepreneurs who made donations to parties other than Golkar, he said: "Businesspeople would usually provide political funds anonymously." (imn)