YPPI ex-chief, treasurer to testify at Aulia's trial

The Jakarta Post ,  Jakarta   |  Tue, 03/17/2009 9:13 AM  |  National

The Corruption Court is scheduled to hear testimonies from the Indonesian Banking Development Foundation's (YPPI) former chief, Baridjusalam Hadi, and former treasurer, Ratnawati Priyono, in a graft trial involving the alleged misappropriation of Rp 100 billion (US$8.4 million) of Bank Indonesia (BI) funds.

Amir Karytatin, a lawyer of defendants Aulia Pohan and three other former Bank Indonesia (BI) deputy governors, told kompas.com on Tuesday that his camp would question the witnesses who were involved in the case.

The scandal revolves around the allegedly illegal disbursement of Rp 100 billion by the BI board of governors in 2003 through the bank's proxy, YPPI.

The Corruption Eradication Commission (KPK) alleges that this decision was made by the board and several BI officials then.

Of the misappropriated funds, Rp 68.5 billion was allegedly used for personal and family expenses including buying houses and opening savings accounts. Part of this money was also used as a bribe to halt investigations by the Attorney General's Office into BI Liquidity Assistance (BLBI) cases involving the five former senior BI officials: Paul Sutopo, Hendro Budiyanto, Heru Soepraptomo, Iwan R. Prawiranata and Soedradjad Djiwandono.

The remaining Rp 31.5 billion of YPPI funds was allegedly distributed among members of the House of Representatives' then Commission IX (which oversaw financial affairs), to expedite the settlement of BLBI cases and amendment of the 1999 BI law. (dre)

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