Tue, 15 Jun 1999

Habibie OKs Ghalib resignation bid

JAKARTA (JP): President B.J. Habibie approved on Monday Attorney General Andi M. Ghalib's request to stand down from his position in the Cabinet while investigations into allegations of taking bribes for business people are underway.

Coordinating Minister for Development Supervision and Administrative Reforms Hartarto Sastrosoenarto said, upon announcing the decision, that his counterpart for political and security affairs Gen. (ret) Feisal Tandjung would fill Ghalib's post pending the completion of the probe.

Habibie signed on Monday evening a presidential decree on the transfer of duty. Ghalib, who is an active Army Lieutenant General, is to return to service with the Indonesian Military (TNI).

However, Minister of Justice Muladi will temporarily take care of the attorney general's tasks because Feisal will be in South Africa for 10 days. During his official visit, Feisal will attend the induction of South African president-elect Thabo Mbeki on Wednesday.

"With this decision it is expected that the investigation will find no more hurdles. The attorney general is the highest law enforcer in our country," Hartarto said in a joint media briefing with Muladi after meeting with Habibie and other ministers at Merdeka Palace.

Habibie defied the mounting public pressure on him to fire Ghalib on Thursday. The President instead requested an independent public accountant to conduct an audit of Ghalib's personal wealth.

Hartarto said Ghalib's letter to the President was dated June 9, but he could not give a clear explanation of why he submitted the letter five days later.

"It was because June 9 fell on Friday," said Hartarto, and then burst into laughter when journalists reminded him that June 9 was last Wednesday.

Apart from the two ministers, the President also summoned Feisal, Minister of Defense and Security/TNI Commander Gen. Wiranto, Minister of Information Muhammad Yunus and Minister of Home Affairs Syarwan Hamid to discuss Ghalib's case on Monday.

"I cannot predict when the case will be resolved. But at least it will be legally followed up," Wiranto said after the meeting.

Earlier in the day, Wiranto vowed to take strict action against Ghalib if the latter was proven guilty of fraud.

Accompanied by his lawyers Hotma Sitompul and Ruhut Sitompul, Ghalib joined his Cabinet colleagues later. However, he had to wait for about one hour before he could meet with Habibie.

Ghalib's lawyers were not permitted to attend the meeting despite their strong insistence.

Ghalib quickly left the Palace, braving heavy rain. "Even nature cries for Pak Ghalib's departure," an official joked.

Unlike previous meetings, Habibie did not hug and kiss Ghalib this time. They just shook hands.

"The government highly appreciates the steps which have been taken by Pak Ghalib," Hartarto said.

Ghalib is to stay away from his office during the investigation launched by National Police, Military Police and for the length of the audit of Ghalib's bank accounts by a U.S.- Indonesian accounting firm, Prasetyo Utomo and Arthur Anderson.

"We have completed the first step of the investigation into Ghalib's case by appointing the certified public accountant," Hartarto said.

Speaking to journalists before a Cabinet meeting on Wednesday, Ghalib boasted he would chase Indonesian Corruption Watch (ICW) executive Teten Masduki all the way to his grave. He also described Teten as an "animal" following his disclosure of the 14 bank accounts and four time deposits owned by Ghalib and his wife Murniati.

On Thursday evening, Habibie summoned Ghalib to his residence in Patra Kuningan, South Jakarta.

Teten presented to Habibie on Thursday documents to support his allegation that Ghalib had collected at least Rp 13 billion (US$1.7 million) from August to May from several sources, including Rp 450 million from troubled tycoons The Nin King and Prajogo Pangestu.

Ghalib insisted that all the money was intended for the Indonesian Wrestling Association (PGSI), which he chairs.

Accompanied by Muladi, Ghalib visited Austria and Switzerland to investigate a report that former president Soeharto had transferred a large sum of money from Switzerland to an Austrian bank shortly after his resignation in May last year.

Teten fulfilled his pledge to send more "gifts", meaning evidence of power abuse, to Ghalib. ICW disclosed to journalists on Monday that further transfers were made to another of Ghalib's accounts, apart from the account which he said was used for PGSI funds.

The transfer was from Ganda, alias Abun, a Sumatra-based businessman, who acted as director of PT Bukit Kapur Reksa, PT Karya Prayona, PT Sinar Seruni Sahabat and PT Prima Aksara Semesta, which are all involved in palm oil exports.

Ganda made two transfers to Ghalib's bank account via a Tahapan account at Lippo Bank's Melawai Branch on Feb. 12 and March 15 this year, worth Rp 150 million and Rp 125 million respectively, according to ICW.

The Attorney General's Office imposed a travel ban on Ganda in 1994 for suspected illegal export practices.

"However, the Attorney General's Office then halted its investigation efforts without clear reason," said Teten. (prb/rms/asa)