Fri, 27 Nov 1998

Team to gather data on Pinrang riots

JAKARTA (JP): Director General for Regional Autonomy and Public Administration Ryaas Rasyid of the Ministry of Home Affairs said on Thursday in Jakarta that he had sent a team to Pinrang, South Sulawesi to gather data regarding riots there.

"We'll check it up first and ask them (officials in the region) to take necessary preventive steps... we are also monitoring the situation through the governor," he said.

The dispatched team would arrive in Pinrang on Thursday, he said.

Ryaas said that he understood why the people in Pinrang resorted to violence, but he also called on the people to give the law a chance.

"What we can do is persuade people to stay calm while waiting for the legal processes of the court," Ryaas said on the sidelines of a deliberation on a political bill at the House of Representatives.

Tens of thousands of people who feel that they have been cheated by two local cooperatives, set fire to a number of government offices in protest of the administration's handling of the scam.

The people had entrusted their savings, which according to South Sulawesi vice governor Masnawi AS reached at least Rp 745.17 billion, to the Latimojong and Buasa Sawito cooperatives. Many customers said that they were cheated because the cooperatives promised them at least a 30 percent interest rate.

A team set up to handle the complaints has pledged to return only Rp 3.1 million of the lost savings.

The scam not only victimized the customers, but has also cost local officials their jobs. Regent Firdaus Amirullah, chief of the local military command Lt. Col. Slamet Haryanto and police chief Lt. Col. Suwarno have been fired for alleged involvement in the swindle.

On Thursday, the situation in the city remained tense as people threatened to burn buildings again, including the local prison where the managers of the cooperatives are detained. On Wednesday night, the house of a councilor, also a cooperative executive, was set on fire. Up to 1,000 security personnel have been deployed to the area. (30/prb/aan)