Indonesian Political, Business & Finance News

KPK probes firms linked to KPU graft

| Source: JP

KPK probes firms linked to KPU graft

JAKARTA: The Corruption Eradication Commission (KPK) has started
investigating a number of firms over their possible roles in the
alleged corruption at the General Elections Commission (KPU).

The KPK on Tuesday summoned Muallim Muslich, the former
president director of insurance firm PT Asuransi Bumi Putera Muda
(Bumida), which provided life insurance for KPU members and
millions of poll officials during last year's general elections.

Bumida secured the insurance contract from the KPU without
going through a tender, and provided a 34 percent discount for
the service. This has raised suspicions that the insurance firm
provided kickbacks to the KPU to obtain the contract.

The KPK has also summoned Hidayat, the former finance director
of PT Sufindo Indah Prestasi, which was appointed by the KPU to
supply ballot boxes. There have been allegations that the company
paid some Rp 4.5 billion (US$473 million) in kickbacks to the
KPU.

The KPK is currently investigating a high profile corruption
case at the KPU, which, among other things, involves markups on
the prices of election materials, and the collection of kickbacks
from firms that were given contracts by the election commission.

Several KPU officials have been named suspects in the case. --
Antara

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