Poll commission chief charged with corruption

Poll commission chief charged with corruption

Muninggar Sri Saraswati, The Jakarta Post, Jakarta

General Elections Commission (KPU) chairman Nazaruddin Sjamsuddin
sat in the dock on Monday as prosecutors of the Corruption
Eradication Commission (KPK) indicted him for graft worth over Rp
14 billion (US$1.44 million).

Wearing a black jacket and blue shirt, Nazaruddin attended his
first court hearing quietly. His wife Nurida and two KPU members
Chusnul Mar'iyah and Daan Dimara were among those who witnessed
the opening of the trial at the Anticorruption Court.

Under the indictment, the defendant was accused of being
involved in approving an agreement with insurance firm PT
Asuransi Umum Bumi Putera Muda 1967 to insure all KPU members and
staff during the 2004 general elections.

Nazaruddin, who has been in detention since May 20, endorsed
the insurance agreement days after he met a director of the
company in June. Prosecutors said the approval was made without
following the procedures stipulated in Presidential Decree No.
80/2003 on material procurements for government offices.

KPU treasurer Hamdani Amin later ordered one of his
subordinates to produce fake documents to make it appear as
though the policy deal with the insurance firm followed
legitimate procedures, according to the prosecutors.

They said Heru Hermawan, Hamdani's staffer, rejected the
order. But Hamdani insisted, telling him, "It's an order from the
(KPU) chairman."

Later in July, Hamdani contacted Mu'alim Muslich, the
insurance company director, and asked him to hand over 34 percent
of the total transaction as a kickback to the KPU.

Nazaruddin gave his approval for the KPU to pay Rp 14.8
billion to the insurance company on July 8. Five days later, the
insurance company gave US$566,795 back to Hamdani. He told
Hamdani to keep the money in the latter's safe in his office.

The defendant later allowed Hamdani to disburse the kickback
money to KPU members and staff as well as other parties,
including officials from the State Audit Body (BPK), a
legislator, and persons from the Ministry of Finance's Budgetary
Directorate.

Nazaruddin received $75,000, KPU deputy chairman Ramlan
Surbakti $55,000, and other KPU members -- current justice
minister Hamid Awaluddin, Rusadi Kantaprawira, Daan Dimara,
Chusnul Mar'iyah, Mulyana W. Kusumah, Valina Singka Subekti and
Anas Urbaningrum -- received $40,000 each.

KPU secretary general Safder Yusacc and deputy secretary
general Susongko Sahardjo also got $15,000 each, while a staffer,
Syaukani, was only given $10,000.

The money was used to finance their trips abroad.

"The defendant's acts have enriched himself, KPU members and
other officials as well as the insurance company," chief
prosecutor Wisnu Baroto told the hearing.

Nazaruddin is charged with violating Article 2 (1) of Law No.
31/1999 on anticorruption, which carries a penalty of four years
to 20 years imprisonment as well as a fine of Rp 100 million to
Rp 1 billion.

The defendant has denied any wrongdoing. On Monday, his team
of lawyers asked the court to release him from detention.

Prosecutors also revealed that the KPU also obtained kickbacks
from its other partner firms that provided election materials
during the general elections, including PT Astra International
(some Rp 2.3 billion), PT Indologis (Rp 500 million) and Metro
Pos (Rp 230 million) as well as PT Leces ($511,000), PT Pura
($170,000) and PT Surabaya Agung ($155,000).

Nazaruddin is the fourth KPU official named as a suspect in
the high-profile corruption scandal, which was unveiled after KPU
member Mulyana W. Kusumah, who is a trained criminologist, was
caught red-handed trying to bribe a Supreme Audit Agency
official.

Mulyana, Susongko and Hamdani Amin are also on trial in
separate hearings at the same court. However, the KPK was yet to
announce prosecutions of other KPU members and employees over the
same case.