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Habibie fails to heed summons

| Source: JP

Habibie fails to heed summons

Tiarma Siboro, The Jakarta Post, Jakarta

Former president B.J. Habibie failed to answer a summons on
Wednesday by prosecutors investigating a financial scandal
involving Rp 54.6 billion (US$5 million) in funds from State
Logistics Agency (Bulog), and denied any wrongdoing in the
disbursement of the funds.

Habibie instead sent a written reply to the Attorney General's
Office, saying he did approve the disbursement of Rp 50 billion
from Bulog, but that he knew nothing about the remaining Rp 4.6
billion.

His lawyer Yan Djuanda Saputra said Habibie was performing the
minor haj pilgrimage in Saudi Arabia and would be prepared to
face questioning here in the future if necessary.

Djuanda said the fund disbursement was agreed to during a
Cabinet meeting on Feb. 10, 1999 to buy basic foodstuffs for the
underprivileged.

"The meeting was attended by state secretary/cabinet minister
Akbar Tandjung, coordinating minister of social welfare and
poverty eradication Haryono Suyono and Bulog chief Rahardi
Ramelan," Djuanda told reporters at the Attorney General's
Office.

"During the meeting, my client agreed to the disbursement of
Rp 50 billion of the Bulog funds to purchase basic
commodities ... the remaining Rp 4.6 billion was Rahardi's
responsibility," he added.

The funds were also intended to beef up security "to safeguard
the reform efforts", Djuanda said without elaborating.

"There was nothing wrong with the policy," he said. "The
economic crisis was at its peak at the time and he (Habibie) had
to do something to help those worst affected by the crisis. He
would have been wrong if he hadn't made such a decision."

Habibie should have been questioned as a witness in connection
with the scam implicating his former cabinet ministers, including
Rahardi, ex-military commander Gen. (ret) Wiranto and House
Speaker Akbar Tandjung, who is also the Golkar Party chairman.

Rahardi, who has been named a suspect, had said Akbar received
Rp 40 billion of the funds and Wiranto Rp 10 billion, while the
remaining Rp 4.6 billion was disbursed to fund a land-swap deal
between the Bulog and PT Goro Batara Sakti, owned by Hutomo
"Tommy" Mandala Putra.

In the face of allegations that the funds were used to finance
Golkar's campaign activities ahead of the 1999 General Elections
and the operations of pro-Jakarta militias in East Timor, Akbar
claimed that he gave the money to the Raudlatul Jannah Foundation
for humanitarian programs.

He also said the appointment of the little-known foundation
was recommended by Haryono, who later denied Akbar's claim.

Djuanda said Habibie was not responsible for any possible
misappropriation of the disbursed funds. "My client was surprised
over the alleged misuse of the money as he had never heard of any
problems in the implementation of the humanitarian project."

However, the lawyer admitted that Habibie had never received
an official report on the programs either from Akbar or Haryono.

Meanwhile, Attorney General's Office spokesman Muljohardjo
said his office would probably issue a second summons for Habibie
next week, brushing aside the possibility of questioning him in
Germany, where the former president is living with his wife Hasri
Ainun Habibie.

Muljohardjo also confirmed that Akbar had been summoned again
for further questioning on Thursday following the discovery of
incriminating receipts apparently signed by Golkar's treasurers
Fadel Muhammad and Muhammad S. Hidayat.

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