Indonesian Political, Business & Finance News

Pertamina clarifies Ginandjar trip bill

| Source: JP

Pertamina clarifies Ginandjar trip bill

JAKARTA (JP): Cash payments were not part of the assistance
provided by state-owned oil and gas company Pertamina to
Coordinating Minister for Economy, Finance and Industry Ginandjar
Kartasasmita during recent overseas trips, company president
Soegianto said yesterday.

Pertamina's assistance was limited to reserving hotel
accommodation and transportation services when Ginandjar visited
the U.S. on July 7 to July 11 and Tokyo on July 11 to July 15 to
discuss Indonesia's year-long economic crisis with government and
business leaders of the two countries, he told reporters
yesterday.

"It's just to make things easier, but the bills will be the
responsibility of Ginandjar's office."

He declined to reveal the amount of the bills, saying they had
yet to be forwarded to Ginandjar's office.

A July 2 letter requesting Pertamina's assistance, signed by
Ginandjar's secretary K. Inugroho, was leaked to the media
Monday, leading to speculation the former oil and mining minister
had illegally used the company's money.

Inugroho said there was no truth to the accusation.

"It's only a matter of coordinating things. We asked the help
of Pertamina because it has representative offices in the two
countries," Inugroho told The Jakarta Post yesterday.

He stressed the hotel and transportation bills would be paid
by Ginandjar's office.

Indonesian embassies abroad are often asked for similar
assistance during Ginandjar's official visits, he added.

Minister of Mines and Energy Kuntoro Mangkusubroto said Monday
he would check Inugroho's letter and make sure no Pertamina money
was provided to Ginandjar.

Speculation was fanned because of widespread allegations that
many high-ranking officials have used state-owned companies for
their personal cash needs.

Pertamina has been a frequent target of accusations due to its
lucrative monopoly business.

But company is burdened with a massive US$800 million in
outstanding loans because the government has not paid the oil
subsidy over the past year. (rei)

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