Military told to be transparent about funds

Military told to be transparent about funds

Fabiola Desy Unidjaja and Kurniawan Hari, The Jakarta Post,
Jakarta

Former defense minister Juwono Sudarsono urged the Indonesian
Military (TNI) on Tuesday to reveal its financial sources apart
from the state budget to avoid irregularities in fund-raising and
use.

Juwono, who served for 10 months in the short-lived Cabinet of
president Abdurrahman Wahid, said that for decades the state
budget only covered 30 percent of the military's expenditure.

"The rest of the funding comes from 250 financial units,
ranging from businesses, foundations to cooperatives. The TNI
should make those resources accountable," Juwono said.

He asserted that the amount of the TNI budget was never a
question inside the institution, but how the military spent the
money should be scrutinized.

"You can find many irregularities even in the 30 percent
budget allocation from the state, so how they spend it is most
important," Juwono said.

Debates over military funding came to the fore again after the
defense ministry asked for a 10 percent increase in the
allocation from the state budget, saying the money was needed to
deal with separatist movements in the country.

The demand raised many eyebrows as it also reflects the
intention of the TNI to regain its role in security instead of
defense affairs, which contradicts its pledge to reform
internally.

It is public knowledge that TNI controls many companies,
including Mandala Airlines and military equipment manufacturer PT
Pindad, to financially support its daily operations.

The government raised the defense budget by 18 percent for the
current fiscal year from Rp 7.4 trillion (US$822million) in 2001.

Incumbent Minister of Defense Matori Abdul Djalil contended
that the request for a larger allocation was justifiable as the
military had to support the police in maintaining peace and order
in conflict-prone areas.

"The police need help from the military. It is impossible for
the police to pay TNI for its help. That's why the TNI needs more
money," he remarked on Tuesday.

Juwono underlined that the amount of government-allocated
money was never an issue inside the military as the 250 financial
units had been very supportive of TNI operations and soldiers'
welfare.

"I planned a 10-year program to audit and make those resources
fully fledged businesses, but I do not know whether the program
still exists or not," he said.

In 2000, the Ministry of Defense under Juwono conducted an
internal audit of the 200 units and found irregularities at PT
ASABRI and Setya Bhakti Pertiwi foundation. But TNI has not
reported whether any measures were taken after the audit.

Criticism has mounted on the proposed military budget
allocation, with legislators considering it a major setback.

Djoko Susilo, a member of House of Representatives Commission
I for defense and foreign affairs, said the proposed hike in the
TNI allocation was an indication of the military's intention to
revive its security role.

"It is a setback. The police should be in charge of domestic
security," Djoko of the National Mandate Party (PAN) said.

Haryanto Taslam of House Commission II for domestic and
security affairs claimed that the move was acceptable as long as
it was aimed at maintaining national unity.

Taslam of the Indonesian Democratic Party of Struggle (PDI
Perjuangan) said the role of the military in domestic security
was justifiable providing that the very existence of the state
was under threat.