Two BLBI corruptors get less than a year, one acquitted
Two BLBI corruptors get less than a year, one acquitted
Muninggar Sri Saraswati, The Jakarta Post, Jakarta
In another blow to the legal battle against violators of the
Bank Indonesia Liquidity Fund (BLBI), the West Jakarta District
Court sentenced on Thursday two former directors of the now-
defunct Southeast Asia Bank to 10 months and eight months
respectively.
The judges ruled that defendants Handy Sunardio and Jemy
Sutjiawan were guilty of violating the Anticorruption Law and
banking regulations. The pair could have faced a maximum sentence
of life in jail.
Both defendants had asked the central bank in 1996 for a loan
because the Southeast Asia Bank was suffering financial
difficulties. Bank Indonesia approved the request on Sept. 17,
1996 to save the bank from bankruptcy, the judges said.
Handy and Jemy were also found guilty of violating banking
regulations by channeling the credit to their group's companies
from 1991 to 1997, despite the central bank's guarantee.
However, the judges cited mitigating factors for a lenient
sentence, including the defendants had opportunities to commit
the crimes; they committed the crimes to prevent bankruptcy; and
the defendants showed goodwill by surrendering two parcels of
land worth about Rp 40 billion (US$4.4 million), which covered
losses to the state.
Chief prosecutor Godang Riadi Siregar earlier demanded Handy
and Jemy be sentenced to one year and 10 months in jail
respectively.
Godang earlier accused them of corruption and causing losses
to the state totaling Rp 158 billion (US$16.5 million). But he
later reduced that amount to only Rp 39.9 billion on the grounds
that experts from the State Audit Agency (BPK) and the central
bank had miscalculated the Southeast Asian Bank's account balance
at the central bank.
The judges did not order the defendants to immediately start
serving their sentences. Instead, they ordered Handy and Jemy to
each pay Rp 500 million in fines or serve six months in jail.
The judges acquitted defendant Leo Andyanto, the former credit
director for the bank, of charges of breaking banking rules on
the grounds that the rules were made in 1993, but he violated
them in 1991 and 1992.
The rules state that a bank should not disburse credit
amounting to more than 30 percent of its capital.
The judges ruled that Leo was not actively involved with the
bank in 1994.
Godang refused to comment on the matter and said that he was
considering whether or not to appeal the verdict.
Many people have been outraged over legal proceedings of cases
involving the misuse of Bank Indonesia liquidity funds as they
consider the legal system to have failed in delivering
appropriate punishment to offenders or to return funds to the
state.
The central bank disbursed Rp 144.5 trillion in liquidity
support to rescue 48 troubled banks. Ironically, the BPK declared
that 95 percent of the support funds were misused.
So far, the state has been losing in its legal battle against
BLBI violators. In March, David Nusa Wijaya of Bank Umum Servitia
was sentenced to one year in jail for manipulating Bank Indonesia
liquidity funds, which cost the state Rp 1.27 trillion.
The West Jakarta District Court argued that the light sentence
was necessary to give David a chance to work and raise the money
he promised to repay to the state. However, David is currently
missing.
Last Friday, the Central Jakarta District Court acquitted Bank
Modern commissioner Samadikun Hartono, who was allegedly involved
in the misuse of Rp 1.7 trillion in Bank Indonesia liquidity
funds.