House seeks annulment of Sukhoi deal
House seeks annulment of Sukhoi deal
Kurniawan Hari, The Jakarta Post, Jakarta
Members of the House of Representatives (DPR) Commission I for
defense and foreign affairs have demanded the annulment of a deal
to purchase Russian-made Sukhoi jet fighters after the government
failed to provide an adequate explanation for the transaction.
Commission members claimed that the procurement was not
transparent and could disrupt the administration and the budget.
"This issue must be made public. We were not asked to discuss
the plan to buy the Sukhoi jet fighters. I think this is contempt
of the legislature," said Happy Bone Zulkarnaen of the Golkar
faction.
Happy demanded that the memorandum of understanding on the
deal be annulled since it was signed by Minister of Industry and
Trade Rini Soewandi rather than Minister of Defense Matori Abdul
Djalil.
"The contract should have been signed by the defense
minister," Happy added.
Happy's statement came in response to Matori's explanation
that neither he nor his ministry were involved in the planned
purchase of the four Sukhoi jet fighters and two MI-35
helicopters.
In a statement that shocked legislators, Matori said that he
was unaware of the purchase.
"Although the items were bought for defense affairs, the move
(to buy military equipment) did not come from the Ministry of
Defense. We had no idea about it," Matori said at a hearing
presided over by commission chairman Ibrahim Ambong.
Matori said he was not in a position to reject the Sukhoi jet
fighters.
The hearing was called to seek an explanation from the
government regarding its deal with Russia to buy Sukhoi jet
fighters and MI-35 helicopters. Most legislators questioned the
procurement process, which they said did not follow normal
procedures.
In a hearing with the same commission earlier, Indonesian
Military (TNI) chief Gen. Endriartono Sutarto refused to talk
about the deal, saying that he was only the "end user".
Commission member Djoko Susilo of the Reform faction also
regretted the procurement process, saying that the contract had
to be canceled.
Legislators plan to summon Minister of Trade and Industry Rini
MS Soewandi and State Logistics Agency (Bulog) chief Widjanarko
Puspoyo for clarification.
Based on a contract between TNI, Bulog and Russia, the total
cost of the four Sukhoi aircraft -- two SU-27 and two SU-30 jet
fighters -- and two MI-35 helicopters is US$197 million.
That total includes financing for support equipment and
training for six to eight pilots and mechanics.
Endriartono said Indonesia had paid a down payment of 13.5
percent of the total cost in cash, while the balance would be
settled through a countertrade of 11 commodities, including palm
oil and rubber.
The cash for the down payment was provided by state Bank
Bukopin, while the remaining funds will be provided by Bulog.
Djoko and Zoelvan Lindan from the Indonesian Democratic Party
of Struggle (PDI Perjuangan) faction recommended that the
commission set up a special committee to launch a probe into the
procurement deal.
Based on normal procedures, a proposal to buy military
equipment is submitted to the military chief by either the chief
of the Army, the Air Force or the Navy.
The military chief then hands the proposal over to the defense
minister, who will later discuss it with the House, especially
Commission I for defense affairs.
Legislators said on Tuesday that there had been no prior
discussions to buy the Sukhoi jets and they had only learned of
the deal when President Megawati signed a memorandum of
understanding during her visit to Russia last month.
Kurniawan Hari, The Jakarta Post, Jakarta
Members of the House of Representatives (DPR) Commission I for
defense and foreign affairs have demanded the annulment of a deal
to purchase Russian-made Sukhoi jet fighters after the government
failed to provide an adequate explanation for the transaction.
Commission members claimed that the procurement was not
transparent and could disrupt the administration and the budget.
"This issue must be made public. We were not asked to discuss
the plan to buy the Sukhoi jet fighters. I think this is contempt
of the legislature," said Happy Bone Zulkarnaen of the Golkar
faction.
Happy demanded that the memorandum of understanding on the
deal be annulled since it was signed by Minister of Industry and
Trade Rini Soewandi rather than Minister of Defense Matori Abdul
Djalil.
"The contract should have been signed by the defense
minister," Happy added.
Happy's statement came in response to Matori's explanation
that neither he nor his ministry were involved in the planned
purchase of the four Sukhoi jet fighters and two MI-35
helicopters.
In a statement that shocked legislators, Matori said that he
was unaware of the purchase.
"Although the items were bought for defense affairs, the move
(to buy military equipment) did not come from the Ministry of
Defense. We had no idea about it," Matori said at a hearing
presided over by commission chairman Ibrahim Ambong.
Matori said he was not in a position to reject the Sukhoi jet
fighters.
The hearing was called to seek an explanation from the
government regarding its deal with Russia to buy Sukhoi jet
fighters and MI-35 helicopters. Most legislators questioned the
procurement process, which they said did not follow normal
procedures.
In a hearing with the same commission earlier, Indonesian
Military (TNI) chief Gen. Endriartono Sutarto refused to talk
about the deal, saying that he was only the "end user".
Commission member Djoko Susilo of the Reform faction also
regretted the procurement process, saying that the contract had
to be canceled.
Legislators plan to summon Minister of Trade and Industry Rini
MS Soewandi and State Logistics Agency (Bulog) chief Widjanarko
Puspoyo for clarification.
Based on a contract between TNI, Bulog and Russia, the total
cost of the four Sukhoi aircraft -- two SU-27 and two SU-30 jet
fighters -- and two MI-35 helicopters is US$197 million.
That total includes financing for support equipment and
training for six to eight pilots and mechanics.
Endriartono said Indonesia had paid a down payment of 13.5
percent of the total cost in cash, while the balance would be
settled through a countertrade of 11 commodities, including palm
oil and rubber.
The cash for the down payment was provided by state Bank
Bukopin, while the remaining funds will be provided by Bulog.
Djoko and Zoelvan Lindan from the Indonesian Democratic Party
of Struggle (PDI Perjuangan) faction recommended that the
commission set up a special committee to launch a probe into the
procurement deal.
Based on normal procedures, a proposal to buy military
equipment is submitted to the military chief by either the chief
of the Army, the Air Force or the Navy.
The military chief then hands the proposal over to the defense
minister, who will later discuss it with the House, especially
Commission I for defense affairs.
Legislators said on Tuesday that there had been no prior
discussions to buy the Sukhoi jets and they had only learned of
the deal when President Megawati signed a memorandum of
understanding during her visit to Russia last month.