Govt to follow up Worl Bank report on corruption
Govt to follow up Worl Bank report on corruption
JAKARTA (JP): The government is to investigate the alleged
massive corruption of World Bank loans, it was announced
yesterday.
Coordinating Minister for Development Supervision/State
Administrative Reform Hartarto Sastrosoenarto said he would soon
meet with relevant parties to follow up a World Bank report on
corruption which he received a few days ago.
"This is still a preliminary study, giving only indications.
However, we have to welcome it positively. And we will have a
meeting tomorrow (today) to discuss the report," Hartarto told
journalists before a cabinet meeting.
Those expected to attend include the finance minister, the
central bank governor, the attorney general, the National Police
chief and the justice minister.
The Asian Wall Street Journal reported last week that a World
Bank internal memorandum stated Indonesian government officials
in Jakarta were believed to have siphoned off more than 20
percent of the bank's money earmarked for development projects.
The paper quoted the report as saying that much of the
corruption involved state contracts with firms owned or
controlled by government officials and their relatives.
The report found the worst embezzlement -- 25 percent or more
-- in the ministries of home affairs, transmigration and
forestry, the paper said.
Following the publication of the report, many people,
particularly legislators and government critics, asked the
government to investigate the alleged corruption.
Hartarto said he would cross-check the report with the results
of audits by the Development Finance Comptroller (BPKP) on World
Bank-funded projects.
"Usually each project is audited by BPKP. Every year, BPKP
makes a report. This BPKP report usually covers suggestions to
each project leader, ministers, governors or other institutions.
It also covers findings on corruption. And this goes directly to
the Attorney General's Office," he said.
World Bank loans have mostly been channeled to infrastructure
projects, covering the ministries of public works, agriculture,
forestry and plantations, and transmigration, he said.
Hartarto promised the government would take action against
anyone who had used World Bank loans improperly.
He also promised to investigate alleged leakages of other
official foreign loans.
"We will announce steps (to eradicate) KKN on Monday because
it is truly important to disseminate the results of our
investigations into KKN at the national level," Hartarto said.
KKN is the Indonesian abbreviation for corruption, collusion
and nepotism. (prb/rid)