Wed, 04 Feb 2004

Parties deny receiving aid from Saddam

Fabiola Desy Unidjaja and Kurniawan Hari The Jakarta Post Jakarta

Leaders of Indonesian political parties have denied reports by foreign media that deposed Iraqi president Saddam Hussein donated money to them in an effort to seek political support from the world's largest Muslim country.

Deputy chairman of the Indonesian Democratic Party of Struggle (PDI-P) Arifin Panigoro conceded that when the United Nations had imposed a trade embargo on Iraq he had participated in the oil- for-food program. But he claimed he had not acted in his capacity as a businessman.

"We bought oil from Iraq but the relations between PDI-P and Saddam's Baath Party gained nothing from the deal," Arifin said on Tuesday. It has recently been reported by foreign media that a document from the Iraqi oil ministry indicates that PDI-P leader Megawati Soekarnoputri and National Mandate Party (PAN) leader Amien Rais were among 200 individuals who received donations from Saddam.

Amien also denied the allegations, "There is not a single element of truth (in that report)," he was quoted by his close aide Alvin Lie as saying.

Alvin, also deputy secretary-general of PAN, said he had directly contacted Amien shortly after hearing the reports.

According to the reports, Megawati had received coupons for eight million barrels of oil between 1999 and 2002, while Amien had secured four million barrels within the same period.

Arifin said that PDI Perjuangan had received an invitation from the Baath Party in 1999 to visit Baghdad. He explained that Megawati had sent him and Sophan Sophiaan to Baghdad on behalf of PDI-P.

"While I was there, I was looking for a possible business opportunity, which I found in the oil-for-food program. But it had nothing to do with PDI-P," Arifin said.

He said that his company PT Medco had made three transactions and secured two million barrels of oil in each deal.

Sophan concurred with Arifin's statement, saying that the party had received nothing from the business deal. He claimed that during the visit, the party had also donated medicine for Iraqi people.

"As far as I know PDI-P did not receive anything," Sophan, who exited the party in 2002, told The Jakarta Post.

"I am a staunch critic of Megawati, but we have to be objective and honest in this case, she got nothing from the deal," he said.

Separately, PAN deputy chairman Abdillah Toha denied the claims, saying that if the party had received the oil, it would now be wealthy.

"You should directly check the report with Pak Amien. As far as I know, that is impossible," he told the Post.

According to him, PAN had been collecting money from its members and spending it on campaign T-shirts.

PDI Perjuangan won 27 percent of the seats in the 1999 general election, while PAN won only seven percent.