Indonesian Political, Business & Finance News

Soeharto did not get land illegally: Durin

| Source: JP
Soeharto did not get land illegally: Durin

JAKARTA (JP): State Minister of Land Affairs Hasan Basri Durin
said on Thursday that his office has not found any violations in
the way former president Soeharto acquired land in various areas,
but acknowledged that the amount involved may cause "social
envy."

Durin told reporters covering a discussion held by the
Indonesian Society of Transparency (MTI) here that none of
Soeharto's land was obtained in ways which contradicted the
agrarian law.

However, the amount involved may disturb "people's sense of
justice," he said.

He did not mention how much land is controlled by Soeharto or
his family, but cited a number of examples, including 750
hectares of farmland in Tapos, West Java.

The land may have been obtained legally, he said, but for the
tenant farmers displaced when the land was acquired, "it's not
fair."

He conceded that one of the main difficulties in investigating
the legality of Soeharto's land ownership was because many plots
were obtained and are registered under company names.

Efforts to determine the true value of wealth allegedly
amassed by Soeharto during his 32 years in power have so far been
held back by technicalities such as proving land ownership.

The day-long discussion also featured agrarian law expert
Maria S.W. Sumardjono from Yogyakarta's Gadjah Mada University,
Mohamad S. Hidayat, a real estate industry executive, I Gusti M.
Tantra from the forestry and plantations ministry, Thoriq
Basalamah from the Indonesian Real Estate Association (REI) and
law professor Koesnadi Hardjasoemantri.

During the discussion, Durin promised his office would issue a
decree to set a maximum area to the amount of land that can fall
under the control of private enterprises and business groups.

He said the planned decree would limit real estate companies
to controlling a maximum of 400 hectares in a province and a
total of 4,000 hectares countrywide. A resort and hotel developer
will be allowed to control a maximum of 200 hectares in a
province and a total 2,000 hectares nationwide.

He said the decree would set a maximum of 400 hectares in a
province and a total of 4,000 hectares nationwide for an
industrial zone developer; a maximum of 20,000 hectares, or a
total of 100,000 hectares nationwide for a plantation company;
and a maximum of 100 hectares in Java and 200 hectares in other
provinces, or a total of 2,000 hectares nationwide for
aquaculture enterprises such as prawn farms.

Sugar plantation companies will be allowed to control a
maximum of 60,000 hectares in a province, or a total of 150,000
countrywide, he added.

He pointed out that companies were only granted land use
rights and that the government technically retained the actual
ownership.

Durin, a former governor of West Sumatra, also said the
government had recently issued a regulation on the utilization of
idle land.

Maria spoke about what she believed to be flaws in national
land management regulations that had led to a proliferation of
disputes. She cited cases where residents had invaded unused
areas of land and laid claim to rights of use.

Coordinating Minister for Economy, Finance and Industry
Ginandjar Kartasasmita recently revealed that many large plots of
land under private company ownership are lying idle.

He said the plantation sector had been granted permits for 2.9
million hectares of land, of which only 470,433 hectares, or 16.2
percent, had been tilled.

On Thursday, Maria said Durin was just beginning to "taste how
messy things have been" in national land management.

She said the main cause of trouble in land affairs was the
imbalance of access to land ownership and control, with ordinary
people frequently losing out to business interests.

"(So the new) land policy must allow people to obtain and
utilize land as well as enable them to participate in the
drafting of land use plans," Maria said.

Maria said the decree to be issued by the government should
encourage fair and peaceful settlement of disputes. (aan)
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