Pura Barutama suspected of printing counterfeit money

JAKARTA (JP): Several legislators have expressed their suspicions that PT Pura Barutama, a paper printing company in Kudus, Central Java, was involved in a recent fake money case.

Permadi, a member of the House's joint team handling the dispute between the central bank, state-owned PT Peruri and Pura over a Rp 5000 and Rp 1000 banknote-printing project, said the House would cooperate with the National Police to investigate Pura's alleged involvement in the case.

"Frankly speaking, several legislators who are included in the joint team are suspicious that Pura has collaborated with certain officials in the State Intelligence Coordinating Board (Bakin), National Police, Indonesian Military (TNI), Bank Indonesia (BI) and Peruri in printing fake money in the past," he said after a meeting between the joint team and Bank Indonesia deputy governor Aulia Pohan here on Monday.

The counterfeiting case is still in progress in the Surabaya, East Java, district court. A number of serving and retired officials from the central bank and military were allegedly involved.

Permadi, who along with the team's other members visited Pura last week, said the legislators' suspicion was based on the fact that the company was able to print money and has printed Somalian money in the past.

"Besides, according to Presidential Decree No. 96, issued in 2000, Pura has been authorized to print money, and so far no mechanism has been put in place for monitoring security printing and other printing companies," he said.

Surya Darma Ali, another team member, concurred and said the Presidential Decree contradicted Government Regulation No. 34 issued in 2000 which stipulated that Peruri had the exclusive authority to print money.

"The illegal distribution of counterfeit money has not only provoked social unrest but also raised the inflation rate and affected the rupiah's conversion rate against the American dollar, and it could have something to do with the recent bombings," he said.

Evi Casino, spokeswoman for the Pura Group, denied the suspicions, saying that her company had never been involved in counterfeiting.

"Pura has never been involved with certain elements in the bureaucracy, military and National Police in printing fake money. Pura is open for investigation by the Police and the House," she told The Jakarta Post by telephone here on Monday.

Aulia Pohan, who was also allegedly involved in the case, denied the allegation, saying that no officials from the central bank were involved.

"I'm ready to undergo a police investigation into the case and I'll argue I'm not involved in it," he said.

Asked to comment on the US$7 million banknote project, Aulia said the central bank would not interfere in the project because it was a contract between Peruri and Pura.

"Peruri and Puri should solve the dispute bilaterally," he said.

Peruri has ordered Pura to stop printing Rp 1000 and Rp 5000 banknotes because those printed thus far they did not meet the required quality. Aulia said that so far Pura had printed 400 million Rp 1000 banknotes.

House deputy speaker A.M. Fatwa, also chairman of the joint team, said the house would not interfere with the banknote contract because it was a matter for the government.

However, he said BI, Peruri and Pura should not trade accusations but meet around the table to seek a amicable solution to the problem.

"The problem can be solved if Peruri seeks another banknote supplier and compensates Pura which has suffered losses from the project. All this is for the sake of the nation," he said. (rms)