Sat, 10 Mar 2001

Prosecutors probe alleged scam

TANGERANG (JP): The Tangerang Prosecutor's Office has summoned a number of agricultural cooperative organizers for a second session of questioning in connection with an alleged mismanagement in the disbursement of Rp 14 billion (US$1.41 million) in loans to farmers.

The office's intelligence unit chief, Nandi Warsidi, said on Friday the questioning was scheduled to begin next week and was conducted by a special team set up to investigate the case.

Nandi said the team found in its preliminary investigation that some cooperatives had channeled the loan into fictitious projects.

An executive of a cooperative in Kali Asin subdistrict, identified as Surai, has been named a suspect in the case. Nandi, however, was not informed as to when the dossier of the suspect would reach the district court. (41)