Q+A-Indonesia's corruption court bill
JAKARTA, Sept 14 (Reuters) - Indonesia's parliament plans to pass a corruption court bill this month which would severely weaken the court and anti-corruption agency, the two key weapons in the fight against graft in Southeast Asia's biggest economy.
Here are some questions and answers about the bill:
WHY DOES THIS MATTER?
Indonesia needs tens of billions of dollars from domestic and foreign investors, but endemic corruption, red tape, and an unpredictable legal system all serve as deterrents, leaving Indonesia far behind countries like China and India in securing funds.
President Susilo Bambang Yudhoyono promised to tackle graft when he was elected in 2004 and has made some progress thanks mainly to the powerful anti-corruption agency (or KPK) and the corruption court, far more effective than other courts.
The perception that the president is serious about combatting graft, combined with political and economic stability, have helped put Indonesia back on investors' radars again, giving a boost to the rupiah currency IDR=, stocks .JKSE and bonds.
But by weakening the two institutions most effective in jailing corrupt officials, bankers and businessmen, Indonesia will still repel investors, post GDP growth rates below potential and create insufficient jobs for a rapidly growing population.
It needs to modernise and expand its decrepit and inefficient railways, ports, airports, roads, ferries, power plants and grid, water and sewerage systems, and communications networks.
It has also failed to attract essential investment and technological expertise to develop its oil, gas, geothermal, and mineral resources, including several high-profile projects.
HOW WILL THE CORRUPTION COURT BE WEAKENED?
Mainly through changes to the panel of judges.
The panels now consist of two career judges and three ad hoc judges. The bill may change the balance to three career judges and two ad hoc, giving the power to select career judges to the head of the Supreme Court.
WHY DOES THE PANEL COMPOSITION MATTER?
The judiciary is rated among Indonesia's most corrupt institutions. The corruption court's 100 percent success rate is due in part to the ad hoc judges and their majority on the panel: change that and it will become like Indonesia's other courts, which have a poor record in such cases.
"If this happens, I'm afraid we will not have a relatively independent corruption court," said Teten Masduki of Transparency International Indonesia.
Both Masduki and Todung Mulya Lubis, Indonesia's most respected lawyer, went to parliament on Monday to present a petition opposing the bill in its current form, which also includes provisions to set up several regional corruption courts.
DOES INDONESIA NEED CORRUPTION COURTS IN THE PROVINCES?
Indonesia has only one corruption court, in Jakarta.
The new bill provides for a compromise, with the central government to build courts in the 33 provincial capitals. Legislators originally wanted to set up about 500 district-level corruption courts, which would strain resources, given the shortage of suitable ad hoc judges, and create more bureaucracy.
Even with 33 provincial courts, anti-corruption watchdogs say Indonesia could struggle to find enough ad hoc judges and career judges committed to fight graft.
WILL THE ANTI-CORRUPTION AGENCY STILL BE ABLE TO FUNCTION ?
The KPK plays an important role in the fight against rampant graft, investigating and prosecuting in the corruption court.
But some parliamentarians are keen to neuter the KPK, limiting its role to investigating cases and giving the authority to prosecute back to the Attorney General's office, another institution in need of reform.
Local media also reported that members of parliament want to stop the KPK from using phone-taps in investigations.
WHO WANTS TO BRING THE COURT DOWN?
Yudhoyono's Democrats and other parties in the parliament have supported the proposed changes. Several lawmakers have already been sent to jail by the powerful court, and others are awaiting trial, prompting corruption watchdogs to warn that this is why members of parliament want to curb the court's powers.
"This is the revenge of corrupt politicians and business mafia towards the KPK and the corruption court, because KPK and the corruption court have started to prod their affairs," said Febri Diansyah, a researcher from Indonesian Corruption Watch.
Here are some questions and answers about the bill:
WHY DOES THIS MATTER?
Indonesia needs tens of billions of dollars from domestic and foreign investors, but endemic corruption, red tape, and an unpredictable legal system all serve as deterrents, leaving Indonesia far behind countries like China and India in securing funds.
President Susilo Bambang Yudhoyono promised to tackle graft when he was elected in 2004 and has made some progress thanks mainly to the powerful anti-corruption agency (or KPK) and the corruption court, far more effective than other courts.
The perception that the president is serious about combatting graft, combined with political and economic stability, have helped put Indonesia back on investors' radars again, giving a boost to the rupiah currency IDR=, stocks .JKSE and bonds.
But by weakening the two institutions most effective in jailing corrupt officials, bankers and businessmen, Indonesia will still repel investors, post GDP growth rates below potential and create insufficient jobs for a rapidly growing population.
It needs to modernise and expand its decrepit and inefficient railways, ports, airports, roads, ferries, power plants and grid, water and sewerage systems, and communications networks.
It has also failed to attract essential investment and technological expertise to develop its oil, gas, geothermal, and mineral resources, including several high-profile projects.
HOW WILL THE CORRUPTION COURT BE WEAKENED?
Mainly through changes to the panel of judges.
The panels now consist of two career judges and three ad hoc judges. The bill may change the balance to three career judges and two ad hoc, giving the power to select career judges to the head of the Supreme Court.
WHY DOES THE PANEL COMPOSITION MATTER?
The judiciary is rated among Indonesia's most corrupt institutions. The corruption court's 100 percent success rate is due in part to the ad hoc judges and their majority on the panel: change that and it will become like Indonesia's other courts, which have a poor record in such cases.
"If this happens, I'm afraid we will not have a relatively independent corruption court," said Teten Masduki of Transparency International Indonesia.
Both Masduki and Todung Mulya Lubis, Indonesia's most respected lawyer, went to parliament on Monday to present a petition opposing the bill in its current form, which also includes provisions to set up several regional corruption courts.
DOES INDONESIA NEED CORRUPTION COURTS IN THE PROVINCES?
Indonesia has only one corruption court, in Jakarta.
The new bill provides for a compromise, with the central government to build courts in the 33 provincial capitals. Legislators originally wanted to set up about 500 district-level corruption courts, which would strain resources, given the shortage of suitable ad hoc judges, and create more bureaucracy.
Even with 33 provincial courts, anti-corruption watchdogs say Indonesia could struggle to find enough ad hoc judges and career judges committed to fight graft.
WILL THE ANTI-CORRUPTION AGENCY STILL BE ABLE TO FUNCTION ?
The KPK plays an important role in the fight against rampant graft, investigating and prosecuting in the corruption court.
But some parliamentarians are keen to neuter the KPK, limiting its role to investigating cases and giving the authority to prosecute back to the Attorney General's office, another institution in need of reform.
Local media also reported that members of parliament want to stop the KPK from using phone-taps in investigations.
WHO WANTS TO BRING THE COURT DOWN?
Yudhoyono's Democrats and other parties in the parliament have supported the proposed changes. Several lawmakers have already been sent to jail by the powerful court, and others are awaiting trial, prompting corruption watchdogs to warn that this is why members of parliament want to curb the court's powers.
"This is the revenge of corrupt politicians and business mafia towards the KPK and the corruption court, because KPK and the corruption court have started to prod their affairs," said Febri Diansyah, a researcher from Indonesian Corruption Watch.