Mayor stops disbursement of cash aid

Mayor stops disbursement of cash aid

Oyos Saroso H.N and Jemris Fointuna, The Jakarta Post, Bandarlampung/Kupang

Bandarlampung Mayor Eddy Sutrisno ordered on Tuesday that the
disbursement of the fuel compensation fund be stopped temporarily
on the back of widespread graft.

Eddy said the disbursement had missed the target with many
wealthy people, instead of the underprivileged, receiving the
compensation fund. In addition, several government officials were
also found to have imposed illegal fees on people eligible to
receive the aid, tarnishing the municipal government's image. The
mayor said he would take stern actions against the government
officials involved. "Those subdistrict officials involved will be
fired and brought to justice," said Eddy.

After ordering the disbursement efforts be stopped
temporarily, Eddy said he had requested the local statistics
office to improve the data so that only disadvantaged people
received the compensation fund. He also ordered his subordinates
to make sure that the money that had been distributed to the
wealthy people was given back to the state.

Eddy said the disbursement of the fuel compensation fund would
resume next month after correct data was completed by the
statistics office.

The disbursement has reached 47 percent out of a total of
52,461 households eligible to receive the compensation fund as of
Monday evening. The amount so far distributed was Rp 7.5 billion
from a total fund earmarked for the city residents totaling Rp
15.7 billion.

According to an executive of state run PT Pos Indonesia
Lampung operations, Jarot Heri Purnomo, the suspension only took
place so far in Bandarlampung. Jarot said his company was ready
to implement the mayor's order.

"Our company only helps distribute the fund and when the local
government orders us to stop the distribution, we have to
comply," said Jarot.

Despite the order, many Bandarlampung residents eligible to
receive the aid were not aware of the instruction of the
Bandarlampung mayor and they packed the PT Pos Indonesia office
in the city and other smaller post offices. Local post office
officials informed the residents that the disbursement was
delayed indefinitely.

The disbursement of the fund is aimed at cushioning the impact
of the fuel price hike on Oct. 1. People eligible to receive the
fund are those families that earn less than Rp 175,000 a month.

The fund is to be distributed each quarter and each eligible
family will receive Rp 300,000 per quarter for a one-year period.

In Kupang, East Nusa Tenggara, the local statistics office
acknowledged that inaccurate data was behind the confusion in the
disbursement of the fuel compensation fund.

Chief of East Nusa Tenggara statistics office, Poltak Sutrisno
Siahaan, said 55,600 wealthy families in 16 regencies and
municipalities in the province had been mistakenly listed as poor
and had received the fund.

The figure was 10 percent of total residents eligible to
receive the fund in East Nusa Tenggara province.

"Those wealthy families have to return the money and if they
insist on keeping it, they will be reported to the police," said
Poltak.