KONI gets Rp 1.5b from state enterprises
JAKARTA (JP): The National Sports Council (KONI) received another Rp 1.5 billion (US$200,000) cash from state enterprises to cover its expenses for the Olympic Games.
The KONI official in charge of planning and budgeting, Togi Hutagaol, told reporters Thursday that the money was issued on April 8.
"We still have another Rp 2 billion which will be handed over after we make an accountability report on the existing Rp 1.5 billion," he said.
Former state minister for the empowerment of state enterprises, Tanri Abeng, had promised to hand over Rp 7 billion in cash.
About Rp 3.5 billion was used to send the national contingent to compete in the 1999 Southeast Asian (SEA) Games in Brunei Darussalam.
Togi said the fund would be used specifically to cover the athletes' bonuses in life insurance.
"By estimating that we'll win two gold medals, two silvers and a bronze in the Olympics, we provide Rp 3.25 billion for the insurance. The gold medalist will pocket Rp 1 billion, the silver medalist Rp 500 million and the bronze medalist will earn Rp 250 million."
"If our athletes fail to reach the objective, the rest of the money will be used to prepare our athletes for the 2001 SEA Games in Kuala Lumpur."
Regarding the government's promise to hand over a Rp 4.2 billion fund for the Olympics, Togi said he had received phone calls from the Ministry of Finance saying that the ministry had disbursed Rp 2 billion.
"But KONI has yet to receive the money. Perhaps it's in the transfer process. We are still waiting for another Rp 2.2 billion, and I don't know when the government will hand it over to us."
KONI has earned Rp 4.2 billion from the government, Rp 2 billion from the Gelora Senayan Management Board (BPGS), Rp 1 billion in goods from fast food firm McDonald's Indonesia, $100,000 in cash and goods from PT Samsung Electronics Indonesia and Rp 20 billion in life and accident insurance policies from PT Asuransi Jiwa Manulife Indonesia -- which are worth a total of Rp 7.7 billion.
The council needs Rp 6.9 billion to groom athletes in a centralized training center. It still has Rp 800 million to provide the bonuses, but KONI needs Rp 2.45 billion more to fulfill its bonus estimation.
Separately, KONI's head of business and sports industry commission, Fritz E. Simanjuntak, told reporters that his commission had to be independent to be able to raise funds for sports development.
"The problem is KONI doesn't have competition events and athletes. Both factors belong to sports organizations."
Fritz said KONI, as the facilitator of sports organizations, needed to build its intangible capital and assets.
"Intangibility relates to the organization's reputation, which is also linked to the reputations of its officials. It means KONI's intangibility is built on communication, publication and promotion. The council has to thank the media for all three aspects."
Fritz emphasized that many proposals addressed to KONI only suggested the raising of funds, not selling the sports themselves.
"Some of them suggested earning money by taking a cut of our taxes and toll fees. I don't call that fund raising."
"Businesses which are interested in investing their money in sports are consumer-based industries like fast food and tobacco and food products." (yan)