Indonesian Political, Business & Finance News

KPU lambasted over dubious funds

| Source: JP

KPU lambasted over dubious funds

Kurniawan Hari, Jakarta

Election watchdogs regretted on Friday the decision by the
General Elections Commission (KPU) not to verify questionable
sources of campaign funds, saying it contradicted the public's
right to know.

"We regret the KPU's rejection. The commission must not reject
(suggestions for investigative audits) so quickly," Elections
Supervisory Committee member Didik Supriyanto said.

Audits on the July 5 presidential candidates' campaign funds
revealed that some had received funds from "dubious sources",
which prompted several election watchdogs and anticorruption
activists to call for investigative audits.

Transparency International Indonesia (TII) and the Indonesian
Corruption Watch (ICW) alleged earlier that two candidates --
front-runner Susilo Bambang Yudhoyono and Megawati Soekarnoputri,
who will be contesting in the September runoff -- had received
donations from either non-existent or unclear sources.

The two watchdogs urged the KPU to conduct further
verification into funding sources and announce their results to
the public.

However, KPU member Mulyana W. Kusumah said on Thursday that
such measures were unnecessary, because the concerned campaign
teams agreed to surrender the "dubious funds" to state coffers.

Didik said the KPU's almost immediate rejection only showed
the commission was poorly committed to transparency.

According to the Presidential Elections Law, candidates may
not accept donations for campaigning from foreign parties, state
enterprises or unclear sources, or face disqualification. They
may, however, retain their candidacy if they surrender the
questionable funds to the national treasury. If not, those
candidates may face criminal charges.

Ahsan Jamet Hamidi from the TII, a KPU-commissioned election
watchdog, said the rejection simply restricted the public's
access to information, and that "the KPU ignored facts provided
by the TII and ICW".

Sarif Bastaman from the Megawati-Hasyim Muzadi campaign team
acknowledged that an audit conducted by the KPU had shown a Rp 5
million donation from unconfirmed sources.

"But we have transferred the money to the treasury. There is
no problem," he said.

Sarif said the issue of unverified donations did not concern
the presidential candidates, but their donors.

Megawati had received Rp 5.3 million in dubious funds, while
Susilo had received Rp 10.2 million, both of which have been
surrendered to the state.

Didik said lawmakers should be prompted by the incident to
revise the Presidential Elections Law to prevent similar
occurrences in the future.

In addition, legal loopholes have left auditors unable to
classify the Rp 8 billion from Warung Wiranto, or Wiranto's
street stalls, which were set up throughout the country during
the campaign period and sold goods such as snacks, drinks and
campaign paraphernalia.

Auditors eventually decided to categorize the funds as coming
from "other sources".

The law defines a donation as money given by an individual or
an institution, but does not mention money made through campaign-
related sales activities.

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