Mega's son withdraws from disputed project

Mega's son withdraws from disputed project

Kurniawan Hari, The Jakarta Post, Jakarta

After coming under intense scrutiny by legislators, President
Megawati Soekarnoputri's son Mohammad Rizki "Tatam" Pratama
announced on Wednesday he had withdrawn from a business project
in the Jakarta Fairground.

His withdrawal spared him from being summoned by a House
inquiry.

"Pak Tatam has sent a letter informing us that he had
withdrawn from the project since Nov. 10. We hope this is not an
act of deceit," inquiry committee chairman Effendy Choirie said
after a closed-door meeting with the board of commissioners and
board of directors of PT Theda Persada Nusantara (TPN), a private
firm appointed to develop a Chinese Center in the fairground
complex.

The businessmen were Samingoen, chairman of board of
commissioners, Suwaluyo, commissioner, M. Dayat, The Hok Bing,
Soeyanto, and Salam, a member of the board of directors.

Tatam was deputy commissioner when PT Theda Persada Nusantara
proposed the project to the fairground management last July.

Samingoen said that Tatam did not show up on Wednesday because
he was no longer part of the company. However, Tatam wanted that
PT Theda Persada Nusantara continue the project.

"I hope PT Theda Persada Nusantara continues what I had
started earlier so that it will not tarnish my name overseas,"
Tatam said in a letter read out by Samingoen.

Speaking before the legislators, many of whom were members of
the inquiry, on Nov. 19, State Secretary Bambang Kesowo said the
decision to grant Tatam rights to develop and manage a 17-hectare
lot at the 40-hectare fairground did not violate existing laws.

TPN had initially planned to build apartments, a shopping
center and a hypermarket valued at Rp 6 trillion (US$750 million)
on a 30-hectare lot in Kemayoran.

However, after due assessment the Kemayoran New Town Authority
(DPPPKK) granted the company the right to develop only 17
hectares with the total project value of Rp 1.6 trillion.

Samingoen further said that the withdrawal of Tatam did not
affect the project. He added that the foreign investors had also
pledged their commitment.

"Members of the company appreciate the withdrawal of Tatam.
That is a wise decision," he said.

He reiterated that PT Theda Persada Nusantara had met all
requirements to develop the land in Kemayoran, Central Jakarta.

He added that the project would absorb many workers and create
a "multiplier effect". "We hope the House members support us and
encourage investors to come in," he said.

Effendy of the National Awakening Party (PKB) said that the
inquiry committee appreciated the withdrawal of Tatam from the
project.

He said he hoped all state officials, governors, and regents
would encourage family members not to make use of facilities for
their business activities.

"I think the withdrawal of Tatam is positive in that sense,"
he said.

Although Tatam had withdrawn from the controversial project,
the House inquiry would continue to investigate the project.

Effendy said that his team would probe an alleged land dispute
between the people and the State Secretariat over the land where
the Chinese Center would be developed.