Wed, 15 Apr 1998

Land scam investigated

TANGERANG (JP): The local prosecutor's office has questioned several people, including Cukanggalih subdistrict head Endang Suparman, over alleged malfeasance in the sale of a four-hectare plot of land in the subdistrict.

One of the office's prosecutors who asked not to be named said that several other officials, including Curug district head Slamet Setiawan, would also be summoned to provide statements.

The prosecutor's office became aware of possible wrongdoing when landowners in Cukanggalih subdistrict complained that they had not received full compensation for their land bought by the head of Bencongan subdistrict with funds resulting from a barter deal with development company Lippo Karawaci.

Under the barter deal, the developer bought four hectares of land from the Bencongan subdistrict for Rp 2 billion (US$235,295). The Bencongan subdistrict, in turn, used the money from the deal to buy four hectares of land in Cukanggalih subdistrict, where it will build boarding houses.

The prosecutor said that Endang had admitted during questioning that Cukanggalih subdistrict had yet to pay Rp 300 million to the landowners.

The prosecutor explained that the sale of the land was marked by several violations. "A subdistrict official secretly took Rp 5,000 from the sale of each square meter of the land so that in total he managed to cash in about Rp 200 million," he said.

Residents of Bencongan subdistrict hope that the questioning by the prosecutor's office will speed up the conclusion of the barter deal. (41)