Sat, 21 Jun 1997

RI business may have no ethics, says Aburizal

JAKARTA (JP): Indonesian businesses may have no ethics, so it is understandable that the public considers businesspeople cunning and hostile members of society, noted businessman Aburizal Bakrie said here yesterday.

Aburizal, chairman of the Indonesian Chamber of Commerce and Industry said: "I personally believe there are no business ethics in Indonesia."

There were many violations of what should have been standard business ethics, he said.

"In such cases, businesses merely seek as much profit as they can with total disregard for the public's interest and the environment," he said as he announced his plan to launch a campaign to promote business ethics.

Examples included the extensive practice of bribing government officials, the indifferent displacement of people in areas where projects were to be built and the efforts of big businesses to squash small businesses.

"In fact, there is a public belief that businesses are so powerful, they can actually steer government policies. This belief is very dangerous because not only does it harm business reputations but the government's as well," he said.

"In the long run, this could lead to social discontent," he said.

He said the bureaucracy was also responsible for this situation.

"It takes two to tango: Bribes and illegal fees would not be happening if there was no response from businesses," he said.

He said the business ethics campaign -- to be held by the Indonesian Business Ethics Foundation of which he is chairman of the board of advisors -- would be targeted at the public in general because business ethics should be understood not only by businesspeople but also by those not directly involved in business such as government officials.

The campaign will be in the form of a series of seminars which will start next week and continue until December.

Speakers will include religious figures, businesspeople, and political, social and cultural experts.

Aburizal said the campaign would promote the concept that a good business should be based on reliable ethics.

"Business calculations and policies that aim only at increasing a company's profits are wrong. Good and ethical business practices take into account all parties related to the business," he said.

Aburizal, who was accompanied by political scientist Fachry Ali at yesterday's press launch of the campaign, said that creating an Indonesian society which adhered to sound business ethics might be a utopian ideal which could take decades, or more, to achieve.

"But I don't believe our culture encourages practices such as corruption and collusion. It is the conditions that people face that pressure them into doing disrespectful things," he said.

Aburizal said the campaign was expected to nurture a "culture of shame" because the punishment meted out by the public would be "far greater than that by the authorities".

"Currently (government officials) openly ask for something in return for the services they provide ... If they felt shame, they would not do this," he said.

Aburizal agreed that legal certainty was an important aspect in promoting business ethics.

"But there are certain things that are not covered by the law, but still violate ethics," he said.

Fachry Ali said results of the foundation's studies and seminars could be used as a basis for a law to prevent monopolies.

Observers have called for such a law, but the government has never given a serious response. (pwn)