Indonesian Political, Business & Finance News

No bars on officials' children

| Source: JP

No bars on officials' children

JAKARTA (JP): State Minister of Administrative Reform T.B.
Silalahi said yesterday that there is no regulation banning the
children of government officials from running businesses.

"These children are Indonesians with rights similar to other
citizens," Silalahi told reporters yesterday.

"Once they are no longer dependent on their parents, once they
have their own family, they are free. How is it that they can't
indulge in business?" he queried after meeting with President
Soeharto at Bina Graha presidential office.

The minister was commenting on a debate started by members of
the House of Representatives at a hearing with Attorney General
Singgih on Monday.

Members of the House's Commission III, which deals with legal
issues, asked Singgih about the legality of senior government
officials' offspring running business in view of a 1980
regulation barring civil servants from pursuing business directly
or indirectly.

The regulation made no specific stipulation about the
offspring of civil servants.

The legislators fear that given the position of the senior
officials, some of the young entrepreneurs could have an unfair
advantage over competitors in securing lucrative government
contracts and projects.

The concerns were reinforced by allegations of collusion and
nepotism in the way government contracts and credit from state
banks are granted.

"Let's not narrow the interpretation of Government Regulation
No. 30/1980 about the discipline of civil servants," Silalahi
said yesterday. "Let's face it, once these children are married
or financially independent, they should be allowed to run their
own life."

Against the law

Regarding the allegations of nepotism and collusion, he said
it was against the law, whether it involved officials' children
or not, and should be stopped.

Asked about control mechanisms on collusion and nepotism, he
pointed out that each official in the administration is
responsible to monitor the activities of his subordinates.

On top of that, there are government agencies and state
institutions such as the State Audit Agency, the Supreme State
Audit Agency and the inspector general for development to monitor
the situation.

Silalahi said his office was in the last stages of reviewing
regulation no. 30/1980 when the debate surfaced on Monday.

Nepotism and collusion were not discussed during his meeting
with President Soeharto, he added.

The legislators were not the first people this month to voice
concern about collusion and corruption in business.

The influential Indonesian Ulema Council said earlier that it
was very concerned at the level collusion and corruption and that
it plans to discuss the issue at its congress later this month.

Silalahi said yesterday, however, that the council may have
been exaggerating and that the problem isn't as grave as they
suggest. "You'll find corruption, collusion and nepotism
everywhere in this world. But don't say its grave in Indonesia."
(emb)

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