New sports savings scheme criticized

New sports savings scheme criticized

JAKARTA (JP): The raising of funds for sports development is
yet again enveloped in controversy.

The sale of disinfectant swabs for cleaning telephones by the
Danubian Rungkaya Foundation, which claims to have obtained a
license to monopolize the business, has insisted that customers
are not coerced into buying the product.

People have voiced concerns that telephone subscribers will be
compelled to buy them, with some questioning the legality of the
sales.

"Customers are free to buy or not to buy the product," says
the foundation's deputy chairman Anthony Lendeng who called a
news conference last week to clarify his position.

The swabs, costing Rp 1,000 (almost 50 cent US dollar) a
packet, are available at banks appointed by the state-owned
telecommunication company, PT Telkom, to collect telephone
payments across the city.

Lendeng explained that the bulk of the money would be
contributed to the development of sports, a high spending sector
which has often sparked national controversy with its fund
raising methods.

Last month, the government's plan to initiate a savings scheme
with prizes drew fire from Moslem groups who judged it as
disguised gambling. Gambling is disallowed by both the law and
Islam.

Lendeng also said that part of the money will also be
contributed to social institutions like orphanages and rest homes
in Jakarta.

Lendeng denied reports that PT Telkom gets Rp 5 from each
packet sold. "Telkom gets no commission whatsoever from the
business," he said as quoted by Antara.

The Danabina Rungkaya Foundation hopes that it will be able to
raise at least Rp 500 million a month from at least 500,000 of
Jakarta's 1 million telephone subscribers.

The product is made in Tangerang and Jakarta by the
government's youth organization, Karang Taruna. (pan)