Thu, 27 Nov 2003

Megawati under fire over Kemayoran project

Ridwan Max Sijabat, The Jakarta Post, Jakarta

The adage that power, money and guns are three key elements that work in synergy with corruption, collusion and nepotism, has taken a new shape in the current regime with President Megawati Soekarnoputri's government awarding a Rp 1.3 trillion (US$164.7 million) real estate mega-project to her own family.

The Kemayoran issue surfaced early in November after the President's eldest son Mohammad Rizky Pratama, better known as Tatam, made a deal with a businesswoman from China to build a real estate project on a 14-hectare plot of state land at the former Kemayoran airport in Central Jakarta.

Political parties and politicians, caught the issue in an attempt to discredit the government, Megawati and the Indonesian Democratic Party of Struggle (PDI Perjuangan) she chairs. The main allegation was that Tatam had used his status to win the government's favor without a tender that should have been offered to the public.

Effendy Choirie, a legislator of the National Awakening Party (PKB) lambasted Megawati for her inconsistency in running her administration, saying that the country's founding president's daughter had failed to set a good example on how a national leader should behave and, therefore, the people should no longer elect her in the first ever direct presidential election next year.

"Megawati is a woman of inconsistency... Many people had high hopes in Megawati when she said before coming into power that she wouldn't give access to her family to do business, using her influence. But, now, what we are seeing is that she has transgressed that," Effendy told The Jakarta Post recently.

He underlined that the President had not violated any law but had breached political ethics and that such a move would open room for violations of the law in the project's implementation in the future.

"Many have questioned Megawati's political commitment to fighting corruption, collusion and nepotism," he said.

The people had opposed Soeharto and his regime because besides being authoritarian, he gave many development projects to his cronies and his children.

Noted corporate lawyer Todung Mulya Lubis shared Effendy's view and said that Tatam's involvement in the Kemayoran mega- project could have a negative impact on the image of Megawati and her party just because despite the project's investment interests, the President had given Tatam her blessings to do such business.

"No laws have been violated, but such a move is really against social and political ethics. Megawati in her capacity as President should put aside her individual rights and that of her family during her tenure to show the public good governance and that she opposes collusion, nepotism and corruption," he said.

Effendy, also deputy chairman of the ad hoc team of the House of Representatives' Commission I dealing with defense, foreign affairs and the state secretariat, said his team would immediately summon State Secretary Bambang Kesowo in his capacity as chairman of the Kemayoran New Town Authority (DPPPKK) to clarify the Kemayoran issue.

He confirmed that the summons was part of the ad hoc team's main task to investigate collusion within the state secretariat and presidential palace. Previously, the team has investigated Megawati's financial sources for the Rp 30 billion renovation of the military and police barracks, the alleged mismanagement of the Senayan Sport Stadium and the alleged irregularities in the recent purchase of Russian-made Sukhoi warplanes and helicopters.

Denying the allegation of collusion, State Secretary Bambang Kesowo fell short of saying whether Tatam would have won the project without his influence as a member of the first family.

According to the joint agreement between the Chinese businesswoman and PT Theda Persada Nusantara before a public notary in August, the company was formed in January 2003 with Tatam as deputy president commissioner.

Abdul Muis, director of the DPPPKK, questioned certain sides who have raised the TPN issue since it was the 58th company to invest in the Kemayoran township.

"So far, 57 local and foreign investors have invested in the state land but no questions have been raised," he said, adding that investors were not required to invest through public tender but to comply with Kemayoran's master plan that has been set in accordance with Jakarta's spatial zoning.

He said the people should thank TPN for its success in luring a Chinese businesswoman to invest in the country and that the government had suffered no losses in the project.

He however conceded the state had not generated any income since the 410-hectare plot of land was taken over from state firm Perum Angkasa Pura in 1985.