Private colleges subject to independent auditing

Private colleges subject to independent auditing

JAKARTA (JP): Minister of Education and Culture Wardiman
Djojonegoro says private universities and colleges will soon have
to have their finances audited by public accountants.

The move, which will be part of a controversial decree from
the minister now in the making, is intended to compel
universities to account for every rupiah they receive from
students.

"The point is that the student is entitled to get something in
return for every rupiah he spends," Wardiman told reporters after
meeting with President Soeharto at the Bina Graha presidential
office on Saturday.

The planned decree, which would empower the government to
intervene in some of the affairs of private universities,
initially spawned stiff opposition from the foundations which
manage the colleges. They said that the decree would give too
much power to the government, allowing it to intervene in their
internal affairs.

Wardiman said that he has already won Soeharto's approval to
issue the decree, which he stressed is intended to provide
supervision for the private universities.

"You should go ahead with the supervising task, I'm sure it
will work out fine," he quoted the President as saying.

The minister said he has already circulated the draft of the
decree to various parties, including BMPTSI, the forum of private
colleges in Indonesia, to obtain their views.

The majority of private colleges are now in support of the
decree. "One or two still oppose it, but that's either because
they don't understand it or don't want to understand."

Wardiman also said that the decree is consistent with the laws
on education which authorize government supervision of the
activities of private universities.

Private colleges are increasingly playing an important role in
Indonesia as the 49 state universities are only able to
accommodate 600,000 students at a time.

There are currently 1,122 private colleges offering 1.4
million seats nationwide. These colleges, unlike the state owned
ones, do not receive government subsidies and charge hefty
tuition fees.

Some of the leading universities have been beset by internal
problems. Bickering in cases such as the appointment of rectors
often comes at the expense of the student body.

The new decree is intended chiefly to protect the interests of
students in the face of such problems, according to Wardiman.
(emb)