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oba Samosir Regent Pandapotan Kasmin Simanjuntak stood trial at the Medan Corruption Court on Thursday for his alleged involvement in a graft-ridden land purchase deal worth Rp 4.4 billion for the Asahan III hydroelectric power plant (PLTA).

During the hearing'€™s first session, state prosecutors charged Simanjuntak with Article 2 of the Corruption Law and Article 3 of the Money Laundering Law.

Prosecutor Fitri Zulfahmi said the two charges were in relation to a land acquisition project for the development of the access road and base camp of the Asahan III PLTA project in North Meranti subdistrict, Pintu Pohan district.

'€œThe case caused state losses amounting to over Rp 4.4 billion, of which Rp 3.8 billion was in the defendant'€™s account,'€ Fitri told the court.

Fitri said the defendant issued a policy on the establishment of a committee to acquire land for the PLTA Asahan III project.

This, according to Fitri, was beyond the defendant'€™s authority as the right to establish the committee was the governor'€™s prerogative as the project was located in two regencies, Toba Samosir and Asahan.

The prosecutor said that together with the committee, the defendant instructed which plots of land to acquire and decided land prices '€” Rp 50,000 per meter for empty land and Rp 1 million per meter for an oil palm plantation.

On October 21, 2010 the defendant was said to have issued a license for the development of the base camp on a 9-hectare plot of land, of which 6.2 hectares belonged to Maruli Siahaan but had been claimed to be owned by the defendant'€™s wife.

State-owned electricity company PLN then bought the land, which according to the Forestry Ministry was located inside a protected forest.

Fitri said that PLN had transferred the money for the purchase of the 6.2 hectares worth Rp 3.8 billion to the defendant'€™s bank account.

The prosecutor added that payments were made twice, on Nov. 18, 2010 Rp 2 billion and the remaining Rp 1.8 billion on Dec. 28, 2010.

'€œThe defendant has committed money laundering by spending the money to buy watches worth Rp 380 million and distributed them to Andi M. Situmorang, Rusmala Siallagan, Rudi Hasiholan,'€ Fitri said.

Responding to the prosecutor, defendant Pandapotan, through his lawyer, said that he would respond to the charges in the next hearing, which is scheduled to take place on March 19.

Before closing the first hearing, one of the presiding judges, Parlindungan Sinaga, asked the prosecutor why the defendant had not been detained.

Fitri said that the defendant'€™s family had put up Rp 200 million for his bail. The prosecutor then asked the court to detain the defendant during the ongoing trial.

The panel of judges said they would decide whether the defendant would be detained during the next court session.