Prosecutors arrest North Sumatra plantation tycoon

Eva C. Komandjaja, The Jakarta Post, Jakarta

The Attorney General's Office (AGO) arrested the founder and president of plantation company PT Torganda, Daulat L. Sitorus, for converting a protected forest into a plantation.

AGO spokesman RJ Soehandojo told The Jakarta Post that the plantation tycoon was taken into custody by the AGO late on Tuesday in Medan, North Sumatra, and immediately taken to Jakarta for questioning.

"The suspect is being questioned right now. There is a possibility that officials from related offices, such as the National Land Agency (BPN), might be involved," Soehandojo said on Wednesday.

Daulat has been charged with illegally transforming some 30,000 hectares of protected forest belonging to the state in North Sumatra's South Tapanuli regency into an oil palm plantation.

There is suspicion that BPN officials are involved in the crime in that PT Torganda was issued a permit for the land.

Meanwhile, Minister of Forestry MS Kaban was quoted as saying by Antara that state losses in the case could reach Rp 30.4 billion (about US$3.04 million). He did not elaborate.

He also said that Daulat should automatically be charged with illegal logging as he had cleared land in the Padang Lawas protected forest by fire.

Soehandojo said he had not received any information from the prosecutors on when the crime had taken place or how Daulat had obtained control of the protected forest, but according to the Ministry of Forestry, it began in 1998.

"Pak Hendarman (Deputy Attorney General for Special Crimes Hendarman Supandji) told me he had ordered North Sumatra Prosecutor's Office head Wisnu Subroto to arrest Daulat," Soehandojo said.

An arrest warrant for Daulat was issued by the AGO on July 4, but he was only captured on Tuesday afternoon at a hotel in Pematang Siantar, some 100 kilometers from Medan.