Sat, 28 Nov 1998

Misuse of state funds still rampant, says BPK chairman

JAKARTA (JP): Supreme Audit Agency (BPK) chairman Satrio "Billy" Joedono said on Friday that misuse of state funds remained rampant across all government ministries and agencies.

Billy said he saw no significant change in government conduct in use of state funds during his two-week assessment.

"There were a few crimes, but they were not done that subtly," Billy told journalists after presenting a report on the results of the agency's audit for the second semester of the current fiscal year to President B.J. Habibie.

A copy has also been presented to the House of Representatives.

"There were some inefficiencies, there were things which should not have been done, but were done, things which should not have happened, but happened."

Billy declined to disclose details of the violations, arguing that the agency could not publicly disclose its findings under the law.

Only the legislature is legally entitled to decide on divulging the findings.

"If the ladies and gentlemen here want us to announce (complete audit results) to the press, we suggest that you ask the House to change the law on the BPK (Law No. 5/1973)."

Billy, a former trade minister during Soeharto's administration, said he would make the agency independent of any influence to help the House better monitor the use of state funds.

He said Habibie responded positively to his commitment to make BPK independent.

"The President agreed and hoped that BPK could as soon as possible become, to use his terms, a civil, modern and moral BPK according to the 1945 Constitution."

Assembled journalists jeered and sniggered at the comment.

"You laugh and we don't because that's really true," Billy retorted.

Known as "Mr. Clean" during Soeharto's era, Billy vowed to revamp the image of the agency.

The country has long been criticized for rampant corruption which was synonymous with Soeharto's rule.

Following the fall of Soeharto in May, the Habibie administration pledged to crack down on corruption, but many observers believe gains from the campaign have been minimal.

Steps have been taken to clean up ministries and demonstrate that the administration is serious about cracking down on corruption.

They include the arrest of the former head of the Jakarta office of the State Logistics Agency (Bulog) over a rice scam involving the unlawful export of 1,900 metric tons of rice to Kuching in Sarawak, Malaysia.

He faces corruption and subversion charges, which carry a maximum penalty of death.

The government is currently auditing Bulog, as well as state oil and gas company Pertamina and state electricity company PLN, all of which were allegedly used as cash cows by the extensive Soeharto clan and cronies. (prb/rid)