Mahfud apologizes but stands by claims

JAKARTA (JP): Minister of Defense Mahfud MD apologized on Thursday for alleging that the Golkar Party misused funds during the 1999 general election, but not because his remarks were inaccurate, rather for the "hurt" they caused the party.

"I realize that Golkar might not be happy about it. I will not make any further reference (to it)," Mahfud told reporters after inaugurating Ermaya Suradinata as governor of the National Resilience Institute (Lemhannas).

Nevertheless, Mahfud, who has built a reputation during his brief ministerial tenure by making controversial remarks, stopped short of saying that his allegations were inaccurate.

Instead, he seemed to reinforce the allegations by saying that he is prepared to testify to a House of Representatives special committee if one is established to probe the matter.

He added that he is also ready to face Golkar in court if the party deems it necessary to pursue a legal suit against him.

"I have that evidence," Mahfud boasted without elaborating any further.

Mahfud claimed earlier this week that during a recent Cabinet meeting he had been informed by Coordinating Minister for the Economy Rizal Ramli that Golkar embezzled some Rp 90 billion from the State Logistics Agency (Bulog) to fund its election campaign.

Rizal himself has refused to comment on the matter.

A reliable source close to the Cabinet told The Jakarta Post that the Cabinet had decided that Mahfud should be the only person to go public with this allegation.

Golkar Party deputy treasurer Enggartiasto Lukito has denied the party was involved in any financial impropriety, saying that a full account of Golkar's books has been passed by the Supreme Court and the General Elections Commission.

Separately, political observer Kusnanto Anggoro from the Centre for Strategic and International Studies said the move to investigate the misuse of the funds should not stop there, but should be followed up by tracing the assets of all political parties.

"I think Golkar still uses many state assets, like its headquarters in Jakarta and several state employees from the State Personnel Administrative Agency (BAKN) who still work for the party. Golkar should return these assets to the state," he said.

Kusnanto maintained that if Golkar suffers as a result of an investigation into the source of these assets then it is a consequence that cannot be avoided.(02/dja)