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Palace denies report on trip funds misuse

| Source: JP

Palace denies report on trip funds misuse

JAKARTA (JP): The presidential palace denied on Wednesday that
there had been financial impropriety involved when it sent
US$300,000 to President Abdurrahman Wahid during his recent trip
to Saudi Arabia.

Secretary to the President, Mujib Manan, told a press briefing
that the money was taken from the presidential secretariat's
coffers to cover "additional expenses" of the presidential
entourage during the haj pilgrimage.

Mujib confirmed that the money was delivered by the crew of a
Garuda Indonesia flight to staff traveling with Abdurrahman in
Saudi Arabia.

Earlier reports that the funds were delivered by Garuda
sparked speculation that the money had been milked from the
national airline.

Mujib flatly denied the speculation saying that "the money was
taken from the presidential secretariat and not from Garuda."

"(The money) had to be delivered by the airline and could not
be transferred (through a bank) because it would be too late as
the haj was about to begin," Mujib said.

Wahyu Muryadi, the chief of palace protocol, who was present
on Wednesday, said the government had assumed the Saudi
government would cover all expenses during the presidential visit
there, but because the visit took place during the peak period of
the Haj pilgrimage season, Riyadh was only prepared to pay for 35
members of the delegation.

"The Saudi government only accorded state-guest status to 35
people including the President, the First Lady, the President's
daughters, some cabinet members, his guards, and two legislators
traveling with the President."

"About 60 other people had to pay for themselves, and
therefore we sent the funds. But the funds did not belong to
Garuda," Wahyu said, admitting that the trip to Saudi Arabia was
"not carefully planned".

The case became public after the leaking of copies of a letter
from Mujib's deputy, Bambang Irawan, to an unnamed general
manager of Garuda at Soekarno Hatta International Airport. In the
letter, the airline was asked to deliver the money to staff
traveling with the President.

Mujib, who was just named secretary to the President in
October, made another revelation on Wednesday when he admitted
that he actually didn't know that his office had sent US$300,000
in cash to the President while he was abroad.

"I only heard about the case from the media. I was still in
Surabaya when I was asked about it by the media. I immediately
called Pak Bambang and was then told about all this," Mujib said
referring to his deputy.

The revelation is the latest blow to Abdurrahman, who has
already come under strong criticism for making too many overseas
trips and leaving behind a myriad of domestic problems.

The case also provides legislators with more ammunition with
which to attack Abdurrahman, who has also been under pressure to
resign after the House of Representatives censured him on Feb. 1
over his alleged involvement in two financial scandals. (byg)

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