KPU mulls annulling contract with ballot boxes
Moch. N. Kurniawan, The Jakarta Post, Jakarta
The General Elections Commission (KPU) said on Friday it was considering reviewing its contract with private firm PT Survindo Indah Prestasi for its inability to stick to the terms of the contract in providing election ballot boxes.
The company won the KPU tender worth Rp 311 billion (US$36.5 million) to produce ballot boxes for the 2004 elections.
Even the commission had secretly decided on Dec. 21 to hand over 40 percent of the production of 2,194,155 ballot boxes to PT Tjakrindo Mas, the second winner in the tender, after Survindo faltered in its performance.
"We will probably review the contract (with the company) in mid-January," KPU deputy secretary-general Sussongko Rahardjo said.
He said the KPU had so far reprimanded Survindo three times in keeping to its target.
By Dec. 31 the company was able to produce only a few of the targeted 600,000 ballot boxes, Sussongko said without mentioning any number.
A KPU source said that Survindo only produced about 30,000 boxes by the end of 2003, while the 2004 general elections scheduled for on April 5 were only three months away.
The source said the State Audit Agency (BPK) had suggested that the KPU annul the contract with Survindo.
Sussongko said a similar performance evaluation would also be applied to the new producer Tjakrindo.
Separately, KPU deputy chairman Ramlan Surbakti admitted that Survindo was facing financial problems.
Echoing Ramlan's statement, Sussongko said Bank Bukopin had withdrawn its financial support for the company.
Meanwhile, another KPU member Chusnul Mar'iyah said Survindo had difficulty obtaining the raw materials to produce the boxes.
"We checked everything and we found that there are too many problems, although the company has tried to fix them," she said.
Chusnul said the KPU had the right to revoke the contract if the company failed to perform accordingly.
Survindo executive director Sihol Manullang admitted that his consortium had produced only around 40,000 boxes by the end of December, saying it should have provided 150,000 boxes last month.
He also admitted that Survindo had had financial difficulties since the initial production stage, but claimed that the problem would not hamper the total production.
The KPU had been strongly criticized for selecting Survindo as the winner of the tender amid alleged irregularities in the bidding process.
The company has reportedly no experience in producing ballot boxes.
Based on data from the Jakarta Chamber of Commerce and Industry and the joint committee of Jakarta certification, Survindo is a warehouse and office goods provider. It is also a printing and publishing company that often deals with agricultural products and offers land, sea and air transportation rental services.
Commenting on the case, Ferry Mursyidan Baldan, a deputy chairman of House Commission II, backed the KPU's plan to take necessary action in handling the problem with ballot box production.
"If it is not settled immediately, the problem will jeopardize the general election. The KPU must take the necessary measures with minimum risks," he said.