Soeharto sues `Time' magazine for US$27 billion
JAKARTA (JP): Former president Soeharto lodged a civil lawsuit against New York-based Time magazine on Monday, demanding Rp 189 trillion (US$27 billion) in compensation for suggesting that he and his family had amassed a $15 billion fortune during his 32- year reign.
The lawsuit, citing articles in the May 24 Asian edition of Time, was filed at the Central Jakarta District Court by lawyers Juan Felix Tampubolon, O.C. Kaligis and Indriyanto Senoadji.
The magazine disseminated false news and cast aspersions against our client's good name, Juan said.
"Our client is also demanding the magazine restore his good name by issuing a clarification and public apology through several local and foreign media," he said, citing Time itself and Kompas, Republika, Tempo, and all six local TV channels.
Soeharto also demanded Rp 280 million ($40,000) in immaterial losses to cover lawyers' expenses.
The lawsuit named Time Inc. Asia based in Hong Kong as the first defendant. Also named were Time Asia editor-in-chief Donald Morrison, Hong Kong bureau chief John Colmey, and reporters David Liebhold, Lisa Rose Weaver, Zamira Lubis and Jason Tedjasukmana. The last two defendants are Jakarta residents.
The civil lawsuit followed a criminal complaint filed by the former president with the Jakarta Police in early June.
The magazine, following four months of extensive investigation in 11 countries, claimed that the Soehartos' fortune included a $9 billion fund that was transferred from Switzerland to Austria only days after the former strongman resigned on May 21, 1998.
The alleged fortune also includes cash, stocks, corporate assets, jewelry and fine arts.
Soeharto has repeatedly denied that he personally had any bank accounts abroad, and challenged the magazine to come up with evidence to back its claim.
His denial does not include the possessions of his six children, most of whom are known to have bought property abroad. All six children were active in business during his reign, receiving preferential treatment and lucrative contracts.
In a brief TV appearance in connection with the civil action, Soeharto said on Monday that he had no recourse but to file the lawsuit against Time.
"It was not only an insult but also libelous. It was not only me that has been defamed but also the Indonesian nation," Soeharto told the ANteve channel.
His lawyers sent two letters to Time magazine demanding a retraction to the articles but the editors said they stood by the story. Their response prompted the criminal and civil actions.
Juan told reporters that if his client won the civil action, he would donate all the Rp 189 trillion to the government to help with the poverty eradication drive.
Time's Indonesian lawyer, Todung Mulya Lubis, meanwhile said on Monday night that his client was ready to deal with the civil lawsuit.
He said the legal action was based on the claim that Time could not supply evidence to support the articles' allegations.
"The magazine stands by the report," he said by phone on Monday.
Todung questioned whether an Indonesian court has any jurisdiction to hear the civil action against a foreign magazine.
"The aim of the lawsuit is not clear," he said, adding Soeharto should have filed the case in a New York court.
"This is a very sensitive and complex case," he said.
The Time articles also prompted public outcry in Indonesia for the government to launch its own investigation.
President B.J. Habibie, who has been accused of dragging his feet in investigating allegations of corruption by his predecessor and political mentor, sent then attorney general Andi M. Ghalib and Minister of Justice Muladi to Switzerland and Austria in June to check on the reported fund transfer.
The two officials were told that Swiss and Austrian banks would only cooperate if an official court investigation against Soeharto was underway.
The Attorney General's Office has also summoned five of Soeharto's six children for clarification. All denied the amount of their individual fortunes stated by the magazine.(asa)