Soeharto ordered bill funding
Soeharto ordered bill funding
JAKARTA (JP): Minister of Manpower Abdul Latief said yesterday
that it was President Soeharto who ordered the use of state-owned
social insurance company PT Jamsostek's funds to finance the
deliberation of the manpower bill.
Latief said the President's decision was taken because the
ministry fell short of funds and the government was pressed for
time to establish such a crucial law in the face of many problems
such as unemployment.
According to Latief, the President told him that from now on
he would directly oversee the spending of Jamsostek's funds.
"The President instructed me to convey this to the press," he
told journalists after attending a ceremony to present Upakarti
awards for small companies at the State Palace. The ceremony was
led by Vice President Try Sutrisno.
Latief met with Soeharto Wednesday at the latter's residence
on Jl. Cendana, in Central Jakarta to report on, among other
things, the controversy surrounding the use of Jamsostek's funds
to finance the deliberation of the manpower bill.
Latief came under severe criticism for allegedly paying
members of the House of Representatives to help pass the
controversial bill his office sponsored. He denied the
allegation, but admitted to using the money for, among other
things, computer services during deliberation at some expensive
hotels.
Earlier reports said that Latief had asked Jamsostek president
Abdillah Nusi for Rp 7.1 billion (US$2.15 million) to finance the
two months of deliberation, but the company only managed to
provide Rp 3.1 billion. The money was taken from the company's
budget earmarked for protection of workers and membership
expenditure.
"As I told you before, Rp 2.85 billion has been used (to
process the bill). It included Rp 950 million for secretariat and
computer services," Latief said yesterday, adding that
Jamsostek's funds had also been used to finance the repatriation
of 24,000 illegal Indonesian workers from Saudi Arabia last
month.
Latief said the government asked for Jamsostek's help because
the company had performed commendably. Its assets are worth Rp
5.3 trillion, with cumulative profits in the past three years
reaching Rp 476 billion.
The Development Finance Comptroller (BPKP) and the Attorney
General's Office are now investigating the alleged misuse of the
funds. The Jakarta Provincial Prosecutor's office has questioned
eight people in connection with the case.
Latief said the President had also assigned Minister/State
Secretary Moerdiono "to solve problems with related state
agencies".
"This is the President's instruction. As an aide of his I must
obey his order. An honest minister must act like that," he said.
Deputy House Speaker Syarwan Hamid and legal expert Muladi
found nothing wrong with Soeharto's order to Latief, saying that
it was common for a leader to take over his or her aides'
responsibility.
"In management, such a practice is acceptable," said Syarwan.
Muladi said although the takeover was constitutional, legal
proceedings to investigate possible administrative irregularities
in the use of Jamsostek funds must go on.
"The investigation itself remains under the President's
supervision, given that both the BPKP and the Attorney General's
Office are two government institutions," Muladi said. (prb/amd)