National

Court holds on-site trial of graft case

Panca Nugraha, The Jakarta Post, Mataram | Sat, 01/10/2009 10:19 AM
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Nearly all involved in a Corruption Court trial of an embezzlement case worth Rp 17 billion (US$1.53 million) centering on an land-exchange deal involving the West Lombok regency administration inspected the two office complexes at the heart of the case in West Nusa Tenggara on Friday.

Izzat Husein, the director of PT Varindo Lombok Inti (VLI), which was the partner in the exchange dead, attended the viewing, but suspended West Lombok Regent Iskandar, who is also implicated, was absent on the grounds of illness.

Justices and prosecutors handling the case questioned a number of West Lombok officials at the site, including regency secretary HL Serinata, about Izzat's testimony.

During the viewing session, which visited the former West Lombok regency office on. Jl Sriwijaya in Mataram and the new regency office complex in Gerung, West Lombok, where the 13 buildings are located, the justices and prosecutors repeatedly put forth questions to Izzat, who was accompanied by his lawyers Ainudin and Zarman Hadi.

Corruption Eradication Commission (KPK) prosecutor Riyono told reporters that the viewing was to gather a first-hand impression of the settings at the heart of the case.

"We want to determine whether or not the swap deal took place and whether or not the office would have been vacant *at the time*. As you can see, some of them *the offices* are still being used," Riyono said as quoted by a witness to the viewing at the former regency office.

Under the office-exchange deal, struck between 2004 and 2005, the headquarters of the West Lombok administration moved to an office complex outside of Mataram.

The administration swapped its office buildings and land spanning 7.6 hectares on Jl. Sriwijaya for a newly built 13 office-building complex in Gerung district.

The deal stipulated the administration should pay Rp 32 billion for its new residence, but an ensuing KPK assessment found that the true value of the offices had been Rp 19 billion.

Riyono said a court-appointed team of doctors was still determining suspended regent Iskandar's medical condition.

"But every matter depends on the justices. If they decide there will be an on-the-scene trial session for defendant Iskandar, then there will be one, but he is still undergoing medical observations now," he said.

Riyono said prosecutors had presented a number of expert witnesses in the case.

He said the KPK had confiscated the disputed assets and entrusted their care to the West Lombok regency administration.

Izzat's lawyer, Ainudin, said the swap deal had not been finalized because the regency administration had yet to officially hand over its ownership of its former offices to VLI even though the company had already transferred the rights for the new complex to the administration.

"Handling this case as a graft *case* is inappropriate because this is actually a civil case," he said, adding that the regency administration had occupied the 13 offices despite not surrendering the old offices.

"A swap deal is struck when two objects are exchanged with the mutual approval of both parties," he said.

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