Rp 820 billion in irregularities found

Rp 820 billion in irregularities found

Bambang Nurbianto, The Jakarta Post, Jakarta

The Supreme Audit Agency (BPK) has found financial irregularities
worth about Rp 820 billion (US$97.62 million) in the selected
city administration offices and city-owned companies (BUMD), but
the City Audit Agency (Bawasda) seems to be taking the news
lightly.

Bawasda's head Firman Hutajulu claimed that his office had
found no indications of corruption related to the 138 BPK
findings at four city-owned enterprises and eight institutions in
the city administration.

"Don't think that the findings are always an indication of
corruption ... So far, we've only found that there were mistakes
in procedures and administrative things," Firman told the press
after meeting with Governor Sutiyoso on Friday.

Firman, however, stressed that his office would make a further
investigation into BPK's findings, case-by-case, to see who
should take responsibility for each of the irregularities
involving taxpayer money.

In its report to the House of Representatives's Commission II
for legal and home affairs in February, BPK said there were 79
irregularities in the eight institutions worth Rp 140.26 billion
and 59 findings at four city companies worth Rp 678 billion.

The findings were based on the BPK's audits of routine and
development expenses from the 2001 and 2002 City Budgets at the
eight institutions and the 2001 and 2002 books of the four city-
owned companies.

The eight institutions comprised the Central Jakarta and the
North Jakarta mayoralties, the city transportation agency, the
city training office, the city tourism agency, the city
population and civil registration agency, the city parks agency
and a number of religion and education offices.

While the four city-owned companies audited were bank PT Bank
DKI, PT Food Station Tjipinang Jaya (known as the Cipinang rice
market), property company PT Jakarta Propertindo and the Ragunan
Zoo.

There were no details given about the amount of money
allegedly misappropriated from each institution or company.

In his argument that the irregularities were only
administrative mistakes, Firman cited a case in the population
and civil registration agency on the purchase of computers for an
on-line system from his office to each subdistrict in the city.

He said that all the computers had been purchased and the
specification of the products had met the requirements.

"The problem was that the computers had not been installed.
The project leader should be responsible for the sluggish process
of computer installment," he said.

According to Firman, the head of each working unit like the
head of agencies and the head of bureaus should not be held
responsible for the irregularities made by project leaders, whose
letter of appointment was directly signed by the governor.

But he said that starting this year, the head of each working
unit should also be responsible for any project in the working
unit.

Recent reports said that there were a number of corruption
cases allegedly involving city officials. However, the settlement
of most of them remained unclear. Almost none of them went to
court. In a few cases, several low-ranking officials received
administrative sanctions, but their supervisors were untouched.