Tue, 10 Jul 2001

Ramelan named suspect in Rp 54b Bulog scandal

JAKARTA (JP): The Attorney General's Office on Monday named former State Logistics Agency (Bulog) chief Rahardi Ramelan as a suspect in a case involving the swindling of Rp 54 billion (some US$4.7 million) of the agency's non-budgetary funds.

Spokesman Muljohardjo revealed at a press briefing that Rahardi, who also served as minister of industry and trade during the 16-month administration of President B.J. Habibie, had abused his power between 1998 and 1999 by ordering Bulog's finance deputy to disburse the money.

"The suspect ordered the disbursement to procure goods in order to stabilize prices, build stores and buy equipment, but there was no accountability for the use of the funds," Muljohardjo said during the media conference which he attended along with acting Attorney General Soeparman.

Muljohardjo added that state prosecutors were still investigating the whereabouts of the money. The spokesman, however, did not give the name of Rahardi's deputy.

Soeparman, who is also assistant attorney general, pointed out that his office had summoned Rahardi and asked him to report immediately.

Rahardi's whereabouts, however, are still not clear. According to some media reports, he is currently living and studying abroad.

Apart from Rahardi, Soeparman also disclosed the results of an investigation into four cases involving the misuse of the equivalent of billions of U.S. dollars of state liquidity support funds for 48 now-defunct commercial banks.

The state prosecutors have completed the books of evidence on two other suspects in the PT Bank Harapan Sentosa case, namely the bank's commissioner Eko Edi Putranto and director Sherly Konjongian. The amount of alleged losses to the state has not been disclosed.

The main defendant in the case, bank owner Hendra Rahardja, is still facing extradition proceedings in Australia.

Muljohardjo said that the three other cases were now being investigated further as there was sufficient evidence to warrant this. They are the cases of PT Bank Umum Nasional (BUN), PT Bank Umum Servitia and PT Bank Modern.

He explained that BUN's former director Leonard Tanubrata and former deputy chief commissioner Kaharuddin Ongko, along with its chief commissioner Mohamad "Bob" Hasan, had misdirected the liquidity support funds.

In the period between Nov. 17, 1997 and April 3, 1998, the bank incurred debts of Rp 1.2 trillion. It also received Rp 2 billion in loans from Bank Indonesia on condition that the money was not to be used for expanding credit, lending to affiliated business groups or foreign exchange speculation.

"But the three broke the agreements which they signed in the form of a notarial deed. As an example, they extended loans to their affiliate PT Landasan Teru Sentosa amounting to Rp 9.4 billion," Muljohardjo said.

The prosecutors are also ready to take proceedings against Servitia's former director David Nusa Wijaya for misusing Rp 988 billion, and Modern's chief commissioner Samadikun Hartono, who was accused of causing Rp 80 billion in losses to the state.

The other suspect from Servitia, the bank's operational executive Wuryatin Nusa, is still at large.

The liquidity support scandal has resulted in a total of Rp 138.4 trillion ($12 billion) in state losses. (bby)