Fri, 29 Jan 1999

Minister denies taking bribe from businessmen

JAKARTA (JP): State Minister of Environment Panangian Siregar denied on Thursday he had taken a bribe from businessmen in the controversial planned importation of waste clay from Singapore.

"I swear to God I haven't accepted anything to allow the waste importation plan to go ahead. Even if there's been a down payment, it could have been enjoyed by businessmen involved with the project," he was quoted by Antara as saying at Batam airport before leaving for Jakarta.

It is not clear when the importation would begin but uproar over the plan has been heard since last year.

Panangian was reportedly in Riau for a few days visit to inspect Pelambung Bay on Karimun Besar island -- where a politically well-connected private company was supposed to "rehabilitate" a ruined mangrove woodland with the imported waste.

Director of PT Media Kertaraharja Aldy Maljoto, whose company is 30 percent owned by a foundation linked to the office of the Coordinating Minister for Political Affairs and Security, had said late last year that his company would import 15 million cubic meters of clay dug out for the Singapore Mass Rapid Transport construction project.

Both Panangian and the businessman had said the clay was meant as a mangrove growing medium.

Panangian claimed he would not have been involved in the project if the waste had not been alleged to contain hazardous material.

Antara said Panangian was responding to rumors that he had taken bribes, which was why he insisted on supporting the project. In addition, the news agency said, an exporting company in Singapore might have given the importing company in Indonesia a down payment.

Also late last year, Aldy Maljoto had said the importation would earn Indonesia about Rp 100 billion in foreign exchange.

Officially, the Singapore government through its embassy here in Jakarta has repeatedly denied that its Ministry of the Environment (ENV) had approved companies either in Indonesia and Singapore to proceed with the business deal.

The news agency quoted a Thursday report carried by Singapore's The Straits Times as saying that a part of the island-state's MRT project would excavate around 8.5 million cubic meters of clay.

Despite protests from local legislatures and environmentalists who blasted Panangian's recommended deal as selling out the nation's dignity, Panangian stuck to his guns on Thursday.

He said he would not force his will on the local Riau people, but he also said: "We will not revoke our recommendation although Riau people have opposed it."

To push on with his intention, Panangian said his office would negotiate the deal with the Singapore government and related authorities.

A group of green activists from the Indonesian Forum for Environment (Walhi) marked the transfer of office from Juwono Sudarsono to Panangian last May by staging demonstrations against him. They said he did not deserve the green ministerial post.

Panangian, of the unpopular camp of the splintered Indonesian Democratic Party (PDI), was called by Walhi a man with "blood on his hands" for his alleged involvement in the July 27, 1997 takeover of the PDI office which was followed by rioting and deaths. (aan)