Former health minister Achmad Sujudi may face up to 20 years in jail if convicted on an alleged corruption charge related to health ministry procurement procedures in 2003-2004, said to have caused state losses of Rp 104,46 billion (US$11.05 million).
"The defendant Achmad Sujudi is allegedly involved in a corrupt scheme along with *president director of PT Kimia Farma* Gunawan Pranoto and *director of PT Rifa Jaya Mulia* Rinaldi Yusuf concerning ministry of health equipment procurement projects in 2003-2004," said Prosecutor Muhibuddin while reading out the indictment at the Corruption Court on Thursday.
The prosecutor said that in 2003, the defendant had directly appointed state owned health firm PT Kimia Farma to be the supplier in ministry of health procurement projects for Eastern Indonesia and for the Indonesian Red Cross.
Existing regulations stipulate that procurement projects in government institutions should go through public tender procedures.
The company later appointed PT Rifa Jaya Mulia as a partner in the procurement project. In October, of 2003, Gunawan and Rinaldi had determined the price of the equipment they would provide through the project , then totaling Rp 193.97 billion, allegedly including marking up the prices. The price offered was later reduced to Rp 190.45 billion after a negotiation between the supplier and the minister's officials.
Gunawan and Rinaldi also subcontracted the provision of the equipment to four other companies which were : PT Berca Indonesia, PT Prima Semesta Internusa, PT Arun Prakarsa Indonesia and PT Penta Valent.
PT. Rifa Jaya Mulia allegedly accepted illegal benefits from the project in the form of markups amounting to Rp 28.32 billion, while PT Berca Indonesia allegedly accepted Rp 5.39 billion, PT Prima Semesta Internusa Rp 6.64 billion, and PT Penta Valent Rp 91 million.
"Gunawan also gave Rp 200 million to the defendant, while Rinaldi gave him Rp 500 million," said prosecutor Risma Ansyari.
Gunawan also gave between Rp 25 million and Rp 700 million to a number of Health Ministry officials who were also associated with the deals.
"Total kickbacks Gunawan paid to the ministry officials came to Rp 8.34 billion," the prosecutor elaborated.
Achmad was also indicted for abuse of power in order to enrich himself, other people and corporations, therefore causing significant losses to the state.
Gunawan and Rinaldi, stood separate trials for the same case on the same day, having faced similar indictments and charges in respect of similar offences in relation to the same procurement project.
Another defendant from the Health Ministry who was indicted the same day was former Planning and Budgetary division head Madiono, who was allegedly involved in a corruption case in relation to the ministry's x-ray procurement arrangements for remote areas.
The latter could also face up to 20 years jail for appointing a certain company as the winner of the public auction. KPK found indications of possible state losses of Rp 9.48 billion as a result of markups.