Indonesian Political, Business & Finance News

House fails to detail scam at complex

| Source: JP

House fails to detail scam at complex

Kurniawan Hari, The Jakarta Post, Jakarta

After 10 months of investigation into alleged irregularities in
the management of Bung Karno sports complex, a House committee on
Friday announced the results of the inquiry without figures
detailing the amount of losses to the state.

The committee completed its investigation report by simply
issuing some recommendations.

"We are still calculating the amount of state losses resulting
from the management irregularities. It is amounting to billions
of rupiah," said committee chairman Effendy Choirie of the
National Awakening Party (PKB).

The management falls under the supervision of the state
secretariat.

Committee members Happy Bone Zulkarnaen and Pedy Tandawuya of
Golkar and Karmani of the United Development Party (PPP) also
attended the presentation of the investigation results.

Happy said the committee would not disclose the amount of
state losses for fear that it would shock the public due to the
enormity of the amount.

Choirie added the problems related to the Bung Karno sports
complex were very complicated.

Several figures, including businesspeople Pontjo Sutowo and
Siti Hediati "Titik" Prabowo and State Secretary Bambang Kesowo
have been summoned to the House for questioning regarding their
alleged involvement in the irregularities.

The Bung Karno sport complex was built in 1958, on 279
hectares of state land. The area was designed as a green belt for
South Jakarta.

However, the progress of the nation's economic development has
made the sports complex evolve into a multipurpose area.
Government buildings, shopping malls, amusement centers and
hotels were built around the complex.

The committee called for a legal audit, financial audit and
management audit to commence no later than three months after the
recommendation was announced to the public.

"The legal audit can be carried out by an independent auditor,
while the financial audit should be conducted by the Supreme
Audit Agency (BPK)," Choirie said.

The committee also suggested that the management board of Bung
Karno sports complex report its financial balance sheet to the
finance ministry.

Choirie said all buildings in the sports complex, including
senior high school SMUN 24, a health clinic, the ministry of
national education, the ministry of forestry and the now defunct
ministry of youth affairs and sports, should be returned to the
management board of Bung Karno sports complex.

He said the land where these offices were built was not
allocated for such usage.

After finishing its inquiry into the Bung Karno sports
complex, the legislators will investigate alleged irregularities
in the management of the Kemayoran fairground, which is also a
state asset that falls under the state secretariat.

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