Reform team uncovers land scam

Reform team uncovers land scam

JAKARTA (JP): The city administration's reform team is
investigating gross irregularities in the acquisition of 120
hectares of land near Bogor by the city-owned property
development company PD Pembangunan Sarana Jaya and Bank DKI.

Deputy Governor for development affairs Abdul Kahfi, who heads
the team, told the media that the case was still under
investigation and that no officials had yet been named as
suspects.

Kahfi said the land in Sawangan, Bogor, was bought from a
private firm.

He refused to name the firm or its executives and did not
disclose when the transaction took place.

Preliminary investigations by the Development Finance
Comptroller (BPKP) revealed that the firm received Rp 12 billion
in exchange for the 120-hectare site.

However, investigators' suspicions were aroused when they
attempted to trace the previous owners of the land.

"So far, we have only been able to trace the owners of 9.6
hectares of the (supposed) 120 hectares the city has paid for,
and documents verifying legal ownership could only be produced
for a mere 4.3 hectares," Kahfi said.

He said a massive housing complex for city officials was to
have been developed on the site.

BPKP are insistent that the case must be investigated and
brought to court because the money has already been transferred
out of the state budget.

"PD Pembangunan Sarana Jaya and Bank DKI have already filed a
lawsuit against the firm (that sold the land). Legal proceedings
are now underway," he said.

Kahfi said the city authorities would not hesitate to remove
any high-ranking officials implicated in any swindle from their
posts.

"We will take stern measures against any guilty high-ranking
officials if any scam is uncovered," he said, citing the recent
corruption scandal in the Jakarta Logistics Agency (Dolog Jaya)
which lead to the dismissal of some the agency's top officials.

Amarullah Asbah, the chairman of Commission C for financial
affairs, complained on Tuesday that Kahfi's team had yet to
publicly announced the findings of its investigations or take any
steps toward bringing corrupt officials to account for their
misdeeds.

"All of us are determined to eradicate corruption and we all
want clear action to be taken.

"We, the councilors, have yet to receive any reports or
information from the team," the Golkar councilor said. (ivy)