C

lose ties between Bank Century's former controlling shareholder Robert Tantular and several top Bank Indonesia (BI) officials may have helped the bank avoid being penalized for numerous alleged violations committed by bank shareholders and management.

Former Bank Century shareholder Rafat Ali Rizvi told reporters Wednesday Robert not only had direct access to BI officials, but had also helped one of them with a bid to get a senior post on BI's board of governors.

"I am not versed on the political aspects. Hesham *Al-Waraq* and I are not involved in politics. Robert was close to them and told me on several occasions he financed the selection process for one of the officials to become senior deputy governor," Rizvi said.

Members of the BI board of governors are selected by the House of Representatives from nominations submitted by the government.

"I don't know *how much was spent in the selection process*. I told Robert he shouldn't be doing this. It's tantamount to bribery. Robert said it was alright," Rizvi said, adding he learnt of the matter from conversations with Robert.

Rizvi, a British national, and Saudi national Hesham Al-Waraq - both Robert's former partners in Bank Century - have been on Indonesia's most-wanted list since late last year for their alleged role in helping Robert plunder Bank Century between 2001 and 2008, according to the Attorney General's Office.

Robert is serving a four-year prison sentence.

The BI officials alleged by Rizvi to have special ties with Robert served at the central bank between 2001 and 2004.

A Supreme Audit Agency (BPK) audit on the Bank Century bailout said BI officials who drew up policies for managing and supervising the bank include then senior deputy governor Anwar Nasution, then deputy governors Miranda Goeltom, Maman Soemantri, Aulia Pohan, Maulana Ibrahim, Bun Bunan Hutapea, and then directors Siti Fadjrijah and Sabar Anton Tarihoran.

In testimony to the House bailout inquiry committee, Anwar claimed he had only met Robert once, while Anwar's successor Miranda admitted to knowing Robert well.

"I first met Robert at a New Year *gathering*," Miranda told the inquiry committee.

BI spokeswoman Dyah Makhijani denied Rizvi's allegation, saying that as the bank's former controlling shareholder, Rizvi bore responsibility for any fraud.

"Rizvi's allegations are slanderous. BI has never allowed any violations at Bank Century to pass unchecked. We always respond by taking stern measures."

The government decided in November 2008 to rescue Bank Century, now renamed Bank Mutiara, with a bailout that eventually cost Rp 6.76 trillion (US$716 million), saying if the bank collapsed, it could pose a systemic risk to the banking sector amid the raging global financial crisis.

However, the BPK said regulatory violations were to blame for the bank's near-collapse than those of the crisis adversities.

Rizvi claimed Robert was responsible for violations that were committed, saying "Robert destroyed the bank. He is essentially a criminal."

Rizvi claimed he, Al-Waraq and other investors were not involved as together they held only 15 percent ownership, with Robert directly or indirectly controlling the remaining 85 percent, a claim denied by BI, the BPK and Robert.

Robert's lawyer Bambang Hartono said Rizvi and Al-Waraq were the main fraud suspects.

"Rizvi is the mastermind. It is also not true that Robert had close ties with BI officials. Rizvi is passing the blame."

Rizvi, who is regularly staying in Singapore, refuses to return to Indonesia, citing concerns for his safety.