Labor union: No political motive behind Humpus' deal

JAKARTA (JP): The labor union that foiled the controversial acquisition of PT Humpus Terminal Petikemas by Hong Kong-based Hutchison Port Holdings denied on Tuesday the alleged backing of businessman Sofyan Wanandi.

M. Taufik, chairman of the Indonesian Maritime Labor Union (SPMI), said his organization had no connection with the business tycoon despite the fact that the two were against negotiations for the acquisition of PT Humpus by Hutchison Port Holdings at the mediation of Inghie Kwik, the eldest son of Coordinating Minister for Economy, Finance and Industry Kwik Kian Gie.

"The allegation is not true. We don't know each other and this case has nothing to do with the dispute between Kwik and Sofyan. This case should not be politicized because we disrupted the negotiations in the interest of the company's workers.

"Our main purpose was to prevent the government and BPPN (the Indonesian Bank Restructuring Agency) from selling the company to foreign investors. It is beyond our control if Sofyan then took advantage from the case in an attempt to topple Kwik from the Cabinet," he told The Jakarta Post here on Tuesday.

Kwik reportedly threatened to resign from the Cabinet last Friday, upset at reports that Inghie had been involved in the deal.

Kwik and Sofyan have frequently exchanged harsh words and criticisms. Kwik once criticized Sofyan for his closeness to former president Soeharto's corrupt and repressive regime while Sofyan lashed out at the poor performance of the economic team under Kwik's coordination.

Top leaders have urged Kwik and Sofyan to settle their dispute quickly to prevent negative impacts resulting from it.

Farid R. Faqih, coordinator of Government Watch (Gowa), conceded that he, along with the maritime union, had organized numerous labor strikes at PT Humpus's site in Tanjungpriok, the BPPN building and the House of Representatives to protest the negotiations. However he denied his involvement in recent anti- Kwik demonstrations.

"We are not opposing Kwik and his appointment to the Cabinet but we are against the planned sale of PT Humpus to foreign investors because it will affect the national economy and cause uncertainty to the fate of the company's 4,500 workers," he said.

He said the maritime union and Gowa had strong evidence that Inghie, representing Hutchison Port Holdings, held talks in December with PT Humpus president Hutomo Mandala Putra, Soeharto's youngest son, for the company's acquisition.

"We also have evidence that the Hong Kong company offered US$145 million for the deal," he said.

Farid said PT Humpus was no longer authorized to sell the company's shares because it had already been taken over by BPPN after it failed to repay its bank debts.

Inghie denied reports that he was colluding with PT Humpus to sell the state asset, saying his role in the negotiations had been exploited by certain sides to discredit his father.

"The reports are untrue and my appointment as Hutchison Port Holdings's local representative in the negotiations has nothing to do with my father's position in the government," he told the Post by phone. (rms)