Police probe graft at BI
Police probe graft at BI
JAKARTA (JP): Three former Bank Indonesia (BI) directors are
being questioned about alleged acts of corruption at the central
bank, their lawyer said.
On Saturday, while accompanying his three clients to Jakarta
Police Headquarters, Amir Syamsuddin told reporters that the
former executives were summoned on the basis of Article 28 of Law
No. 3/1971 on corruption.
The article carries a maximum penalty of a life sentence and
fines worth Rp 30 million (US$5,770) for those found guilty of
causing financial loss to the state.
A fourth man, also a former BI director, is reportedly in
Melbourne, Australia and has yet to be questioned.
But Amir, the police and Bank Indonesia remain tight-lipped
about the alleged corrupt acts committed by the men.
Some reports claim that the four men were summoned for
questioning in relation to bank scams worth trillions of rupiah,
the money having been allegedly lent to several privately owned
banks, such as Bank Arta Prima, Bank Dwipa, Bank Asta and Bank
Perniagaan.
Other reports stated that some of the former directors were
questioned regarding the liquidation of 16 private banks on Nov.
1.
It was also speculated that one of the men was also believed
to have been responsible for the Dec. 8 fire in the top stories
of Bank Indonesia's new tower. Fifteen people died in the blaze,
including three of the bank's employees.
No information was forthcoming about police progress after the
second questioning session at the city police headquarters on
Saturday.
The three men have been identified as BI's former director for
private foreign exchange supervision, Hendrobudiyanto; the former
director for market operations, Paul Soetopo Tjokronegoro; and
the former director of legal affairs, Heru Soepraptomo.
The one believed to be in Australia is BI's former director
for the supervision of private non-foreign exchange banks.
As reported earlier, the four were summoned by police shortly
after they were dismissed from their positions last Tuesday.
Paul and Heru met with police detectives on the same day as
the summonses were served, while Hendrobudiyanto arrived three
days later after cutting short medical treatment in Japan.
They have appointed a team of lawyers, including Amir,
Agustinus Hutajulu and Nasrullah.
Amir said questioning had centered on management structure,
organization in the central bank and their authority.
"It has not reached the stage where questioning relates to the
police summons against them."
The dismissal and questioning of the four former Bank
Indonesia directors -- some of whom were senior officers -- has
attracted widespread public attention as it has happened in the
midst of the monetary crisis and following the government's
revocation of operation permits for 16 private banks.
Hendrobudiyanto, 67, had been the director of private foreign
exchange supervision for almost 14 years.
He was a student soldier during the 1945-1949 postindependence
war and he has received a number of honorary medals from the
government for his loyalty. He studied economics at Nederlandsche
Economische Hoogeschool in Rotterdam.
Paul, 57, started his career at the central bank as a
researcher in 1965. A Boston University graduate, he was
installed as a director at the central bank in 1983.
Heru Soepraptomo became the director for legal affairs in
1993. He is doctor of law and graduated from Airlangga University
in Surabaya.
Mansjurdin Nurdin was installed as director of the supervision
of private non-foreign exchange banks in 1993. The Bogor
Agricultural Institute graduate started his career at the central
bank in 1965 as a clerk in the general economics department.
When asked to comment, economist Emil Salim urged people to
remain calm but called on Bank Indonesia's governor to publicly
disclose the case after the former executives were named as
suspects. (jun/bsr)
Editorial -- Page 4