Police have no right 'to probe corruption'

JAKARTA (JP): Attorney General Singgih said yesterday that all corruption cases should be investigated by his office and not the police.

An agreement cosigned by the Supreme Court, Ministry of Justice, Attorney General's Office and National Police outlines the ruling, Singgih told reporters during a year-end media conference.

He was referring to the Jakarta Police investigation of three former directors of Bank Indonesia (BI) who have been formally charged with corruption.

"The case regarding the three former BI directors -- whether it's corruption or other crimes -- is still unclear because we haven't received official notification from the police about the investigation," Singgih was quoted by Antara as saying.

According to the agreement, police should notify the Attorney General's Office, he said, adding that his office would later determine the nature of the crimes.

Singgih cited as an example the matter of state-owned social security insurance company, PT Jamsostek, which is being investigated by the Development and Finance Control Board.

If there is an indication of corruption, the case will be handled by his office and if it is about common crime, it will be investigated by the police, he said.

Singgih reiterated that his office has the authority to decide whether a case should be prosecuted.

"In this particular case, the Attorney General has the right to stop the investigation for the sake of public interest," he said.

Police were not available for comment yesterday evening.

Earlier in the day, a senior police officer said the three bank executives had been questioned about their alleged involvement in granting loans to five ailing private banks which were rocked recently by scams worth Rp 1.95 trillion (US$375 million).

But the head of economic affairs for National Police Detective Corps, Col. Made Mangku Pastika, said the questioning did not necessarily mean that the men had committed corruption or caused huge financial losses to the country or the central bank.

"They were not questioned about alleged acts of corruption at the central bank, but about their possible involvement in improper loans granted to the five troubled private banks."

Made said the three suspects -- Paul Soetopo Tjokronegoro, Hendrobudiyanto and Heru Soepraptomo -- were investigated following a probe of the five banks.

The banks have been identified as Bank Arta Prima, Bank Perniagaan, Bank Asta, Bank Dwipa and Bank Citra, all based in Jakarta, he said.

Allegations of fraud were recently leveled against employees of the banks.

Thirty-five suspects, including at least four former BI executives, have been arrested for their alleged involvement in fraud which involved fake loans and the issuing of commercial papers and deposits.

Made said the investigation would prove whether the three, who have already been charged with corruption, were ever involved in manipulating procedures for granting BI loans to the five banks.

"But it's too early to say whether the three men have used their positions at the central bank to help the swindlers derive loans from the bank."

Made said about Rp 1.5 trillion of the estimated losses of Rp 1.95 trillion were mostly in the form of loans given to the banks and that the remaining was derived from the public.

"But, once again, it doesn't necessarily means that the three suspects were responsible for the loss of Rp 1.5 trillion at BI." (cst)