Prosecutors talk tough on graft, still no action

Muninggar Sri Saraswati, The Jakarta Post, Jakarta

State prosecutors are seeking a life sentence for the former commissioner and president of the now-defunct BHS Bank, Hendra Rahardja, in a corruption case that cost the state more than Rp 2.6 trillion (about US$260 million) in losses.

They also urged the Central Jakarta District Court to sentence former BHS Bank commissioner Eko Edi Putranto and former director Sherny Konjongian to 20 years in jail each.

Prosecutor Andi Rahman Asbar, who read the sentence demand, also asked the court to order the three defendants to pay compensation of Rp 1.95 trillion (about $195 million) to the state.

The three defendants were charged with Anticorruption Law No. 3/1971, which carries a maximum penalty of 20 years in jail.

The sentence recommendations were obviously beyond expectations because, never before has a prosecutor sought the maximum penalty, let alone a life sentence for a defendant in a corruption case.

Despite the hearing, all three defendants are still on the lam.

Lawyers Alamsyah Hanafiah and OC Kaligis earlier insisted that they wanted to prepare a defense, but the court rejected the request as the defendants are still at large. On Monday, however, the lawyers were allowed to present their legal opinion.

Bank BHS received Bank Indonesia Liquidity Credit from 1993 to 1997, and the Bank Indonesia Liquidity Support, from 1997 to 1999. Most of the money, however, was misappropriated.

Bank Indonesia had disbursed BLBI funds amounting to Rp 144.5 trillion to 48 banks to help them during the economic crisis, but the Supreme Audit Agency revealed in 1999 that 95 percent of the funds were misused.

Only 12 people have been prosecuted in the BLBI debacle.

On Monday, the West Jakarta District Court sentenced David Nusa Wijaya of Bank Umum Servitia to one year in jail for corruption and ordered him to pay back the Rp 1.27 billion he had misused. The prosecutor earlier asked the court to sentence David to four years in jail.

Last year, the Central Jakarta District Court sentenced Hendrawan Harjono of Bank Aspac to one year for violating bank laws, and fined him Rp 500 million. He was acquitted of corruption charges. The prosecutor had earlier asked the court to sentence Hendrawan to five years imprisonment for corruption.