NZ to assist Indonesia locate Soeharto's wealth

Annastashya Emmanuelle and Claire Harvey, The Jakarta Post, Jakarta

Visiting New Zealand Prime Minister Helen Clark said here on Monday that her government was willing to assist Indonesia locate assets of the Soeharto family.

The family of former president Soeharto in the late 1990s purchased a large sheep farm on New Zealand's south island, Clark said, but she believed the farm had recently returned to New Zealand ownership.

"Where the money is I don't know, but I don't think it's sitting in a sheep station in New Zealand," Clark said at a press conference hosted by the Jakarta Editors Club.

"I repeat that any time Indonesian authorities ask for support in tracing such assets they will have our full cooperation," Clark added.

Battling corruption has been President Megawati's administration's top priority.

Clark has also encouraged Megawati to attend independence celebrations in East Timor. The President has yet to make an announcement on her attendance.

"I understand that President Megawati's attendance at the East Timor celebrations would not be without controversy in Indonesia," she said, "but her attendance would be very well received indeed."

On the two countries' ties, Clark said one of the main irritants in the relationship had been the murder of New Zealand peacekeeper Pvt. Leonard Manning in East Timor by pro-Jakarta militias in 2000.

New Zealand has previously objected to the six-year prison sentence handed down to the West Timorese man, Yakobus Bere, convicted of Manning's murder, but Clark said she was pleased that prosecutors were appealing the light sentence.

Nevertheless, New Zealand will not restore military ties without more evidence that past human rights abuses are being punished.

"We want to see some further movement yet on the tribunals before which the human rights violators from East Timor are to be brought and we still have some concerns about the role of the military with respect to Aceh and Papua," Clark said.

East Timor has been a thorny issue for Indonesia, since pro- Jakarta militias went on a killing spree in 1999, prompting the United States, New Zealand and other countries to cut military ties with Indonesia.

Earlier, in a joint press conference with Megawati, Clark pledged to increase its quota on the intake of refugees to help reduce Indonesia's burden.

New Zealand, she said, would take on around 200 refugees per year as defined by the United Nations High Commissioner on Refugees (UNHCR).

Around 600 Afghan and Iraqi refugees are now being processed in Indonesia to be resettled in other countries.

Megawati in her welcoming speech, stressed the importance of Clark's visit as a "means of consolidation between the two countries based on mutual respect".

Illegal migrants and displaced people issues have been high on the agenda in their talks.

Clark warned people-smugglers that New Zealand would fine anybody NZ$500,000 who attempted to enter the territory and that there would be no granting of asylum.

"Anyone who arrives in New Zealand with illegal migrants can expect to face up to 20 years in New Zealand prison as well as heavy fines, no asylum nor getting their boats back again," Clark said following the news conference.

Clark is in the country for an official two-day visit.