Two senior BI officials arrested for corruption

The Jakarta Post , Jakarta | Fri, 02/15/2008 10:11 AM | Headlines

The Corruption Eradication Commission (KPK) detained Thursday two Bank Indonesia senior officials for the alleged misappropriation of Rp 100 billion (US$10.81 million) from the central bank.

Commission deputy chairman Chandra M. Hamzah confirmed the arrest of BI's director of legal affairs Oey Hoey Tiong and Rusli Simanjuntak, the head of the central bank office in Surabaya.

But governor Burhanuddin Abdullah, who was named a suspect by the commission last month, was scheduled to face questioning next week.

Oey was taken into police detention on Jl. Gatot Subroto in South Jakarta after being questioned by the KPK for more than five hours from 11 a.m.

At 6 p.m. he was taken to a car with commission officials protecting him from journalists.

Prosecutors then rushed Rusli, a former BI communications bureau head, to a car that carried him to the Mobile Brigade detention center at Kelapa Dua, West Jakarta.

He had been questioned for seven hours from round 9:50 a.m.

"They (Oey and Rusli) will stay in detention for 20 days starting today (Thursday)," Chandra told a news conference.

He declined to reveal the roles of each suspect, saying that could affect ongoing investigations.

"And we have yet to name any more new suspects."

The anti-graft body also questioned Supreme Audit Agency head Anwar Nasution, the whistle-blower on the case, and two other witnesses -- former BI deputy governor Iwan R. Prawiranata and lawmaker Hamka Yamdhu.

Anwar arrived at KPK offices at 9.45 a.m. and said he had provided an audit report detailing the case in November 2006.

"I have done my part in auditing financial reports. And now it's time to let the commission do its job," he said.

The BPK report said more than 10 active and former lawmakers were implicated in the graft case for allegedly having received "grease money" during the BI law's amendment in 2003.

Hamka, who was among them, eventually showed up after defying two KPK summonses.

On Tuesday, the commission questioned former House member Anthony Zeidar Abidin.

Eight members of the House of Representatives disciplinary council came to the anti-corruption body questioning session.

Council deputy chairman Gayus Lumbuun said his side gave full support for the commission to take action against lawmakers involved in the case.

"We will not protect any House members who are found guilty," he told a news conference at the KPK office.

The misappropriated Rp 100 billion was disbursed from the BI's Indonesian Banking Development Foundation between 2003 and 2004.

Out of the fund Rp 68.5 billion was used to hire lawyers to deal with the resolution of the Bank Indonesia Liquidity Assistance (BLBI) cases, while the rest, Rp 31.5 billion, was allegedly distributed to House members with the financial affairs commission during the amendment of the BI law. (ewd)

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