Wed, 11 May 2005

Team to probe graft in state enterprises, ministries

Muninggar Sri Saraswati, The Jakarta Post, Jakarta

President Susilo Bambang Yudhoyono officially handed over on Tuesday a number of files on alleged major corruption cases involving state enterprises and ministries to the newly established special antigraft team for investigation.

"Today, we received information from the President. (We will) examine it starting today," Hendarman Supandji, the deputy attorney general for special crimes who also leads the team, told the press after a meeting between the team's leaders and Susilo.

Cabinet Secretary Sudi Silalahi said at the same press briefing that the President had assigned the Coordinating Team for Corruption Eradication to investigate at least 16 alleged major graft cases in state enterprises and ministries.

"There are at least 16 cases, most of which (have caused state losses) of more than Rp 50 billion. One of them involves up to Rp 2.1 trillion, two others Rp 1.2 trillion and one Rp 871 billion," added Sudi, a close aide to President Susilo.

Sudi however declined to name the state institutions accused of corruption, arguing that it could disrupt the planned investigations.

Last week, Susilo announced that the government would launch investigations into at least 16 state enterprises, four ministries and three private companies as well as hunt down 12 graft criminals who had fled abroad.

It was unclear from what sources Susilo obtained information on the alleged corruption in the state institutions. However, it appeared that the President had been provided with reports by the Supreme Audit Agency (BPK) concerning alleged misuse of state budgetary funds.

Government sources said that among the cases to be probed were matters involving the Ministry of Defense, the Ministry of Health, the Ministry of Justice and Human Rights, and the Ministry of Communications, as well as state oil firm Pertamina and electricity company PT PLN.

Hendarman added that investigations into the corruption cases, which were ordered by the President, were also likely to target several offices around the presidential complex.

"It likely (involves those) around the State Palace," he said, adding that he had not yet opened the files he had just received from the President.

Most of the graft cases involved procurement by state institutions.

Hendarman said the team would first examine the information from the President. Should they find indications of graft, either police or prosecutors would investigate the cases, he added.

"We'll report it should there be any developments. We are also required to make a written report to the President every three months," he said, adding that the President did not give any deadline for completion of the graft investigations.

During the meeting, Susilo asked the team not to worry about possible disruption to national stability or the economy as a consequence of the national anticorruption campaign.

"It is the authority of the President," Hendarman said, quoting Susilo.

The President also asserted that no-one would be allowed to intervene into the team's investigations.

The 51-strong special antigraft team was set up last week to intensify and improve the government-led anticorruption drive, which has been running for about six months but has yet to record significant results.

Consisting of prosecutors, police officials and state auditors, the team is tasked with investigating and prosecuting graft cases, hunting down and arresting suspects, as well as tracing and preserving assets from being laundered or illegally transferred abroad.