No racial conflict in Medan, despite riots: Governor

JAKARTA (JP): North Sumatra Governor Raja Inal Siregar denied yesterday that there was a racial conflict in Medan, the provincial capital, which was hit by a series of riots last week that were considered by many to have serious racial overtones.

Raja Inal said the attacks against the shops owned by Chinese Indonesians during the riots were the work of agitators who were exploiting racial differences. He added that the riots did not reflect the harmonious relations that actually exist between the indigenous people and the ethnic Chinese.

"The protests had nothing to do with racial issue," he told reporters after a meeting with Minister of Manpower Abdul Latief at the latter's office.

He said that the provincial government takes a great pride in its success in promoting harmonious relations between the various ethnic groups in the area.

"The ethnic Chinese, for example, have joined in the marsipature hutana be program," he said, referring to the program urging North Sumatrans living outside the province to send money home to help develop their villages.

The governor said the situation in Medan has calmed down and most factories have resumed their operation.

Both Raja Inal and Latief blamed the riots, which killed an Chinese Indonesian shopowner, on the "Pakpahan Group, the phrase officials now use to refer to the independent Indonesian Prosperous Labor Union (SBSI).

The SBSI, which is chaired by Muchtar Pakpahan, has been singled out as the main perpetrator of the riots but its executives in Jakarta, while acknowledging that they organized and encouraged the strikes and protests, have denied that they were behind the violent acts.

Latief said the government is now considering prosecuting the Pakpahan Group for instigating the violence in Medan.

He repeated the government's position of not recognizing the SBSI as a labor union and noted that the government had once denied the SBSI's application to be accredited as a union.

Latief also called the demands of the striking workers "ridiculous," saying that there was no grounds for a hike in the official minimum wage level from Rp 3,100 a day to Rp 7,000.

"Their demands are irrational," he said. "Their real objective was not for higher wages but to create chaos in the city and try to discredit the government."

Governor Raja Inal played down the impact as minimal. "Maybe one or two investors have pulled out .. That is to be expected," he said adding that in general however, business is expected to return to normal soon.

He also predicted with confidence that the economy of North Sumatra province will grow by an average of 11 percent a year during the next five years, up from nine percent in the previous five years.

But Suratno Hadisuwito, the chairman of the Association of Indonesian Employers (Apindo) who also met with Latief yesterday, said the riots had dented the investment climate in North Sumatra. "There is no doubt that the riots have hurt the investment climate," he said.

Meanwhile in Medan, spokesman of the North Sumatra Police Lt. Col. Leo Sukardi said the authorities were investigating 47 people detained in connection with the riots.

"We have completed eight dossiers and sent them to public prosecutors," Leo said.

Various charges

They will be face various charges, including murder, vandalism and looting, he said.

Police are also still looking for Amosi Telaumbanua, an executive of the local SBSI office, who was believed to have masterminded the riots, he said.

There are unconfirmed reports that he may have taken refuge at a foreign consulate in Medan, posing difficulties for the police.

"If it is true, the police cannot arrest him," Leo said.

Although the situation is calmer, there were still sporadic industrial strikes outside Medan yesterday such as in Belawan, Deli Serdang, Langkat and Pematang Siantar.

At least 120 workers of two fishery companies PT Surya Sempurna Samudra and PT Prima Minatama Sumatra refused to work unless their employers raise their daily wages from Rp 8,000 to Rp 10,000.

Around 500 workers of PT Seribu Satu in Stabat, Langkat, demanded their employer to comply with the minimum wage regulation. They said they were forced to go to strike because they were paid only Rp 1,250 daily.

In Pematang Siantar, over 500 workers of PT Marsitek marched around the city calling on their employers to hike their daily wage from Rp 1,500 to Rp 3,100. (rms/rmn)