Thu, 27 Nov 1997

Seven questioned over Jamsostek funds scandal

JAKARTA (JP): The Jakarta Provincial Prosecutor's office questioned yesterday seven people in connection with the alleged misuse of billions of rupiah of the state-owned insurance company PT Jamsostek.

Head of the prosecutor's office Fachri Qasim said two officials from the Ministry of Manpower, one from the Ministry of Finance, two Jamsostek executives, a hotel employee, and a secretariat staff of the House of Representatives faced a team of prosecutors, including one from the Attorney General's Office. The team was led by Togar R. Hutabarat, intelligence assistant to the prosecutors' office.

The questioning started at 9 a.m. and lasted until late in the afternoon. Qasim refused to identify the people under investigation, citing the presumption of innocence principle.

He said nine people were originally on the list, but one of them had been questioned last Monday and the other failed to turn up yesterday for undisclosed reasons.

"The questioning of the seven people has already finished. Hopefully, we can complete the investigation in two weeks," he said.

He said the team of prosecutors would examine the possibility that the nine had committed crimes.

"The investigation will not go that far," Qasim said when asked whether the investigation team would summon Minister of Manpower Abdul Latief.

The prosecutor's office launched the investigation following Jamsostek president Abdillah Nusi's confession last week that the firm had used Rp 3.1 billion to finance the deliberation of the manpower bill between July and September this year.

Abdillah said the funds, taken from the company's budget allotted for protection of workers and membership expenditure, were disbursed upon Latief's request. The minister had allegedly originally asked for Rp 7.1 billion.

Former minister of home affairs Rudini supported yesterday the call for the authorities to question Minister of Manpower Abdul Latief. He said it would calm workers who were disappointed with the alleged misuse of Jamsostek funds.

"The investigation of Latief will be favorable to the state's security and order," he said after addressing a discussion on the post monetary crisis held by the Association of Indonesian Political Scientists here.

He said he opposed Latief's decision to use Jamsostek's money to finance the deliberation of the manpower bill.

"The insurance scheme is intended to protect Indonesian workers," he said. "Each cent of Jamsostek's funds should be used only for the workers' benefit."

Criminal law expert Muladi said prosecutors could not charge House legislators with corruption for taking the money provided by Jamsostek.

"Corruption charges will be used against people who abuse their power to collect money. But those who receive some of the money face no legal consequences because we cannot presume they took illegal money," Muladi said.

However, he said the recipients of allegedly illegal money faced a moral burden. "It's up to them whether to return the money or not," he said.

Muladi said the House legislators did not only take bribes because they received the money from Jamsostek. "The Criminal Code says bribery is intended to lure somebody to break the law," he said.

"The fact is that Jamsostek provided the funds for good purposes," he added.

Another legal expert, Soetandyo Wignyosoebroto, said he was afraid the Jamsostek row had plunged the House into further disrepute.

"Don't blame the public for being cynical to the House. The shameful scandal is enough to answer why people have so far lacked respect for the House," he said. (10/har/imn/amd)