Batam officials grilled over graft case

Fadli ,  The Jakarta Post ,  Batam   |  Thu, 05/08/2008 11:03 AM

The Corruption Eradication Commission (KPK) has questioned officials from the Batam Industrial Development Authority (BIDA) and Bintan regency over graft suspicions involving the use of protected forest land for business purposes.

The interrogation at the Batam Police office on Tuesday summoned several officials, including the secretary of Batam municipality Agussahiman, BIDA chief of general affairs Agus Hartanto and National Agrarian Agency local chief Nurman.

Agussahiman confirmed he was grilled about a protected forest conversion case.

"I cannot tell you about all the questions raised. But the interrogation was not related to the graft case involving a legislator who has been detained by the KPK," he told The Jakarta Post.

Agus Hartanto said he was questioned over the changed land use status of the Baloi Dam protected forest in Batam to a commercial area.

BIDA spokesman Dwi Djoko Wiwoho said he was unaware of the KPK interrogation but that Agus Hartanto was BIDA's director of land affairs when the protected forest was converted to a business zone.

On Wednesday, the KPK questioned Batam municipal council Commission II Chairman Sahat Sianturi, former head of the Forestry, Fisheries and Plantation Office Abang Muzni and head of BIDA's financial division, Umen Dartono.

Sahat said he was questioned about his role as a Batam councillor dealing in economic affairs, including forestry issues.

"I was only asked about my main duties as a Batam municipal councillor at Commission II," he said.

According to Sahat, he was summoned for questioning by the KPK on May 3 at Barelang police station. He acknowledged he was unaware whether or not the KPK had found evidence the forest conversion process had involved corruption.

BIDA was established in 1971 to manage the development of Batam into an industrial zone and has the authority to issue land use permits to foreign and domestic investors.

The dam, which had the capacity to supply 200,000 cubic liters per day on the 109-hectare protected forest site, was permanently closed after its land use status was converted to "business use".

Based on BIDA's data, 3,000 of the 10,000 hectares of the protected forest in Batam have been converted for industrial, residential and commercial use.

The change in land use procedures was submitted to the Forestry Ministry in 2003. Despite the forestry minister M. Prakosa advising against any changes, BIDA and the Batam municipality shifted land use rights to a number of businesspeople.

The new arrangement allowed BIDA to collect annual taxes proportionate to the size and location of the land from the third parties. The protected forest area where the Baloi Dam was located is categorized as a first-class area in Batam.

Heavy machinery is clearing the area, which is now considered part of the city. A number of developers who have gained access to the area have distributed leaflets to promote the future business district.

Several parties had filed complaints to the police and the Batam attorney's office prior to the KPK's investigation.

The anti-corruption commission is investigating a similar case in Bintan implicating the House of Representatives agriculture and forestry commission members as well as regency officials.

The 1999 law on forestry carries a maximum five-year jail sentence and Rp 50 billion fine for anyone found guilty of looting or converting protected forests and national parks for business use.

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