KPK arrests senior 'RRI' official

The Jakarta Post, Jakarta

The Corruption Eradication Commission (KPK) arrested RRI state radio station finance and administration director Suratno on Tuesday in connection with a Rp 20 billion (US$2.1 million) graft case.

Suratno's lawyer, Bambang Suryowidodo, confirmed the arrest, saying his client had been declared a suspect several days ago.

Suratno is being detained at Jakarta Police Headquarters.

Antara reported that KPK investigators had named Suratno a suspect in a case centering around the inflated cost of radio equipment used to cover last year's general election.

Based on the KPK investigation, Suratno embezzled almost half of the Rp 45 billion in procurement funds.

According to Indonesian Corruption Watch (ICW) data, the radio station sought approval from the House of Representatives to increase the budget for the procurement of radio equipment.

After House members approved the request, RRI received Rp 45 billion disbursed in two stages by the government.

The government first disbursed Rp 27.7 billion and the funds were used to buy broadcasting equipment to be used in eight areas, including Merauke, Toli-toli, Bengkulu, Sintang, Lampung and Makassar.

ICW calculated that RRI had embezzled around 74 percent of the funds and later took a bigger portion when the second payment was disbursed. Based on ICW data, RRI used only Rp 6.1 billion to buy and install the broadcasting equipment.

Suratno also allegedly received Rp 2 billion in "gratitude" tips from Faharani, who represented a private firm supplying and installing the radio equipment for RRI.

Bambang, however, denied an earlier statement from Faharani that Suratno had asked for a kickback from the private firm.

Suratno will be charged under Law No. 31/1999 and Law No. 20/2001 on graft. Faharani, who has been detained since Aug. 1, will also be charged under the same laws.