Wed, 22 Dec 2004

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.