Jakarta, ID
Monday, May 28 2012, 10:49 AM

Jakarta

Tangerang regency to resume construction of Balaraja hospital

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Tangerang regency administration will soon resume the construction of Balaraja General Hospital (RSUD Balaraja), which has been at a standstill since the project ran into corruption problems in 2007.

"We will resume the construction work as soon as Banten provincial administration hands over the asset to the regency," Tangerang Health Agency chief Hani Haryanto said on Saturday.

The regency had allocated Rp 75 billion from its 2009, 2010 and 2011 budgets, to finance the physical construction of the hospital in Tobat village, Balaraja district, including the provision of health equipment, Hani said.

"And not just funding. We have also provided the hospital with 120 paramedics who have been temporarily placed at Tangerang General Hospital," he said.

However, Banten administration is responsible for supplying the new hospital with certain health equipment, Hani said.

Since the project had encountered problems previously, Hani said the administration would be more careful this time.

The hospital's construction commenced in 2005 but was stopped in 2007 when Banten Prosecutor's Office alleged graft problems in the budget for project, worth some Rp 20 billion in losses, and subsequently named five officials as suspects.

The suspects were Banten Health Agency chief Djadja Budiharja, Banten Finance Agency chief Muhammad Natsir, PT Gelindingmas Wahana Nusa director Jhon Chaidir, hospital project director Dimas Widiyatmo and PT Cipta Serang Mitra consultant Ade Siswanto.

However, investigations into the case were halted in June on the grounds that no evidence of budget embezzlement had been found.

The prosecutor's suspected something was awry during the construction because several parts of the half-completed building had cracked and damaged, despite there being adequate budget for the construction.

In 2005, Banten administration spent Rp 6 billion to acquire six hectares of land for the hospital, and disbursed Rp 14 billion for the construction work in 2006.

The Health Ministry also disbursed Rp 2 billion early last year to procure health equipment for Balaraja.

"We allocated funds from the budget for the sake of public healthcare," Hani said.

- JP/Multa Fidrus