Fri, 24 Jul 1998

Govt yet to approve lottery concept

JAKARTA (JP): The Ministry of Social Services has yet to approve a proposal to revive a lottery to raise funds for sports development in the country, an official said yesterday.

Ministry Secretary-General Syafei Anjasmaya told reporters that the plan would first be scrutinized by a team to be set up by minister Justika Baharsjah as soon as possible.

"There has been no approval from us. We only heard the National Sports Council's explanation (on the scheme) yesterday (Wednesday)," Syafei said.

He added the ministry officials would also discuss the proposal with the House of Representatives and canvas public opinion.

"There was strong opposition from the public when we ran the same sports fund-raising program in the past," Syafei said, referring to a wave of demonstrations against the now defunct SDSB national lottery in 1994.

Syafei said the revival of the lottery might not be feasible now that Indonesia was suffering from its worst economic crisis ever.

Dali Taher, the sports businessman who proposed the lottery, calling it the Sports Awareness Campaign, said Wednesday that the scheme would begin in six months.

The campaign would last for 10 years, generating an estimated annual revenue of Rp 100 billion (US$7 million). Half of the money will go to the organizers, 30 percent to the sports community and 20 percent to the ministry and the council.

He said yesterday that the ministry was initially expected to give a five-year permit to the lottery organizers.

"Ideally, the campaign could be launched after the general election next year," Dali said. The election, the first under B.J. Habibie's administration, is slated for May.

He clarified that all the numbered coupons would be sold for Rp 5,000 each, with the lowest prize also being Rp 5,000. "We haven't decided on the top prize yet," he said.

The lottery organizers will need at least $2 million in initial investment. Dali predicted they would break even after three years.

State Minister of Youth Affairs and Sports Agung Laksono gave his support to the fund-raising scheme yesterday, but suggested that it required House approval.

"People must be free to buy the coupons or not and be kept informed about the funds' management," Agung said.

"If the organizers set an annual target, I'm afraid people will be forced to buy the coupons, as happened before," he warned. (yan)