Fri, 14 Jun 1996

Lampung probes Rp 6 billion scam

BANDAR LAMPUNG, Lampung: The government is investigating the alleged misappropriation of Rp 6 billion (US$2.5 million) intended to create 4,000 hectares of farm land.

Chief of the provincial inspectorate Umar Hasan was quoted by Antara as saying that seven officials in charge of implementing the project in Central and West Lampung have been questioned.

The local press has reported that the project did not materialize. And the provincial legislative council has pressured the inspectorate to begin investigating.

Council speaker Soendoro Brotoatmodjo said the officials involved in the alleged scam must be severely punished.

However, the chief of local public works, Chairullah Gultom, said his office was not involved because the project was managed by the central government in Jakarta.

The corruption scandal surfaced recently after local farmers disclosed that officials offered them Rp 125,000 for each hectare of their land. (pan)