Mon, 28 Jan 2002

Watch groups demand investigation of Sutiyoso

Ahmad Junaidi, The Jakarta Post, Jakarta

Activists have demanded that the Inspectorate General of the Ministry of Home Affairs mount an immediate investigation into Jakarta Governor Sutiyoso for allegedly violating ministry decree No. 50/1999.

Chairman of the Jakarta Residents Forum (Fakta) Azas Tigor Nainggolan said the ministry should punish Sutiyoso if he were found guilty of violating the decree, due to his ongoing role as commissioner of city-owned market firm PD Pasar Jaya.

"Besides being punished, Sutiyoso must also return all his salary as a commissioner of PD Pasar Jaya," he told The Jakarta Post Saturday.

Violating a ministerial degree usually results in an administrative penalty, such as a warning letter.

Bylaw No. 3/1999 on PD Pasar Jaya states that a commissioner shall receive a monthly salary equal to 40 percent of the company president's.

Sutiyoso is reportedly the richest governor nationwide with wealth amounting to Rp 15 billion (US$1.44 million), according to the Audit Commission of State Officials' Wealth.

Secretary of the Jakarta Study Center (PPJ) Ganda Hutabarat strongly believes Sutiyoso also holds similar posts in other city-owned firms, especially those with the legal status of Perusahaan Daerah (PD) or provincial companies.

"Sutiyoso must resign from his post in the companies even though the bylaw allows him to hold the commissioner's post," Ganda told The Post.

The Jakarta Administration currently has 25 city-owned firms. Eight of them have PD status, meaning they are supposed to provide a public service, while others are limited companies (PT), which concentrate more on earning profits.

According to bylaws on PD firms, a governor automatically becomes the firms' commissioner.

Sutiyoso's position as commissioner of the market firm was revealed during a two-day meeting at the city-owned resort Wisma Jaya Raya in Puncak, Bogor, last week. Most city councillors were surprised that Sutiyoso held the position.

PD Pasar Jaya and other city-owned firms are widely viewed as "cash cows" exploited by officials and councillors.

Several retail outlets in shopping centers operated by the firm were reportedly allocated to the councillors. The firm operates dozens of traditional markets and shopping centers, including the country's largest textiles center, Tanah Abang market in Central Jakarta.

Allocating commissioner posts in provincial companies to councillors and officials has tended to breed corruption.

Two years ago, several city officials and councillors traveled to South Korea, Japan and Australia with the financial support of city-owned developer PT Pembangunan Jaya.

Deputy Governor for Financial Affairs Fauzi Alvie Yasin admitted that Sutiyoso was still PD Pasar Jaya's commissioner, adding that the governor would soon resign from the firm.

However, he threw his weight behind the governor saying Sutiyoso was still needed as the firm's commissioner in order to prevent internal corruption.

Fauzi admitted the firm was the worst of the city-owned companies in terms of corruption and collusion, due to its large number of employees.