ICW reveals pirate VCD control scam

ICW reveals pirate VCD control scam

JAKARTA (JP): Coordinator of the working council of
Indonesian Corruption Watch Teten Masduki alleged on Friday that
a grandson of former president Soeharto moved in on the
legalization of pirated video compact discs in Indonesia.

It caused losses to the state of at least Rp 51 billion per
annum, he said.

Through Minister of Information Decree No. 21/1998 signed by
then minister R. Hartono, Teten said, a control team was
established for supervising VCD distribution, with membership
consisting of the Directorate General of Radio, Television and
Film and PT Cakramindo Inti Pradana (PT CIP).

"After I checked, however, the firm supposedly in charge of
issuing legalization stickers worth Rp 2,000 each does not exist
and Ari Sigit, one of Soeharto's grandson, had tried to issue
similar stickers to replace CIP's role," Teten said.

Although the decree was not effected, the Ministry of
Information allegedly wanted to cut PT CIP's involvement and
transfer it a company with a proposal similar to the one provided
by a Soeharto family member, Teten said. (hhr)