Indonesian Political, Business & Finance News

Kalla leaps to defense of family businesses

| Source: JP

Kalla leaps to defense of family businesses

Fabiola Desy Unidjaja, The Jakarta Post, Jakarta

Vice President Jusuf Kalla asserted that the government would not
ban the relatives of state officials from doing business, as long
as they abide by the regulations.

Brushing aside fears about collusion in favor of officials'
relatives, Kalla said there was nothing wrong with them operating
a business.

"I think it is alright for relatives of state officials to do
business. All of my family members are entrepreneurs. How could
they support their families if they have to stop their business
just because I am a state official?" the Vice President said.

He was commenting on the Business Competition Supervisory
Commission (KPPU) who expressed its concern during a meeting with
President Susilo Bambang Yudhoyono of possible collusion
involving high-ranking officials and their relatives who remain
in business.

The KPPU said it would be unfair for the rest of the business
community if there was no control over the relatives of state
officials who operate a business. During the previous five
administrations collusion took place.

Speaking to reporters on Tuesday, Kalla said that being an
entrepreneur was as noble as any other occupation, as long as the
regulations were followed.

Kalla came from a family which had major business interests in
South Sulawesi. His family has been in the automotive business as
well as the construction sector for decades.

During a meeting with Susilo on Monday, the commission further
urged Susilo's administration to fight against corruption and
collusion to be the top priority. The commission also asked the
President to find breakthrough policies to prevent such practices
from taking place.

Susilo said it would be against human rights in business
fairness to prevent state officials' relatives from doing
business.

During former president Soeharto's regime, his children and
siblings were accused of having amassed wealth, using the power
of the former ruler.

Former president Megawati Soekarnoputri's eldest son Muhammad
Rizki Pratama was also alleged of benefiting from his status to
win the contract to develop a business estate in Kemayoran,
Central Jakarta.

The case forced Megawati to interfere and asked her son to
resign from the company that won the tender.

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