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Jakarta Post

Issue of the day: '€˜Godfather of fuel'€™ on the brink

Dec

The Jakarta Post
Mon, December 14, 2015 Published on Dec. 14, 2015 Published on 2015-12-14T08:10:11+07:00

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D

ec. 10, 2015

The man is like a shadow, avoiding media exposure while quietly raking in trillions of rupiah over the last decade by controlling Indonesia'€™s imported fuel business. But some light has exposed the shadow after a conversation with Maroef Sjamsoeddin, the president director of gold-mining firm PT Freeport Indonesia, leaked out to the public.

The name of the shadow is Muhammad Reza Chalid, known as the '€œgasoline godfather'€, a kingpin in the fuel import business. The kingpin now finds himself in the vortex of a case that involves him and House of Representatives Speaker Setya Novanto allegedly attempting to secure shares and a project from Freeport in exchange for a contract extension for the mining giant'€™s operations in Papua.

The 53-year-old businessman of Arab descent was caught on tape allegedly orchestrating the scheme with Setya. The House'€™s ethics council released a recording of the incriminating conversation to the public last week.

Your comments:

'€œWe'€™re one but we'€™re many'€ sounds like our national anthem. Should one be afraid of listening to the tune? We'€™re many but one, kiddo. Try harder, probably sending ninjas would do.

Gordon Freeman

I can only thank God that I was not born in this very beautiful country of yours! Looks like here everything is wrong! I don'€™t think ninjas would be of any help. You would need a tsunami to clean the country of all that is on top and start anew!

Bond James

With his enormous amount of money, Reza will be untouchable; politics in Indonesia is dominated by dirty politicians. Most are corrupt. It is difficult to find a clean or good party.

His existence in the mafia of oil might involve some dirty politicians. His money, friendships and connections with dirty politicians could help him to get away or escape from prosecution, when mostly powerful corrupt politicians defend him. The law will be blunt.

Hartono

In the recording, Reza mentions Hendropriyono and Marciano as friends who gave him advice and reminded him to stay low.

Reza is not the only shadow master of puppets. I know at least one very powerful person who lives like a shadow but he decides on many important government decisions at the top level. Not going to mention the name because black shadows will hunt me.

If you see politicians or important people on TV, what you are seeing is just a puppet show. But the master of puppets who pulls the string is always out of the frame.

By the way, in the recording Reza mentions Budi Gunawan as a game changer. Budi and his team are the men who stopped Prabowo'€™s shadow operations, so Reza believes that without Budi, Prabowo will become president. Shadow world, a puppet and the master.

Tampo Cluring Bwi

How was his fortune made? He sold oil to Petral at a big markup. Petral then sold the oil to Pertamina with a further markup. Pertamina in turn sold the oil, after being refined etc, to the Indonesian public. So as always the ones who got screwed were Indonesians themselves. Nothing new there. And there will be no shortage of screwed Indonesians.

Now if you know of an Indonesian who makes his/her fortune (US$500 million and above) from a tech innovation (Amazon, Facebook, Google) or from a revolutionary invention (new medicine for cancer, HIV/AIDS) or even from a business started from scratch (Tony Fernandes started AirAsia with $10,000 capital 12 years ago), please let me know.

Wandering Star

Reza is not at home.

Shutting the barn door when the horse has bolted. Or, can Indonesia ask Interpol to bring Reza home sweet home and confiscates his assets?

AnimisticGod


There was a very interesting article in The Economist where they proved that the so-called '€œsubsidies'€ for rice in Indonesia are actually just scams which let a corrupt in-group extract a cut of markups.

Rice in Indonesia is more expensive than in any other Southeast Asian country, despite the supposed subsidies. All the warehouses and government hoarding and all the rest are really just devices to enable insider groups to get a cut of the corruption money. As you say, the locals pay the price.

Lasem Benny


As usual, elites are siphoning where ever they can.

Sukajadi

Does Chalid say anything on that recorded conversation? Just being in the room casts suspicion, but does not prove guilt. So his lawyers will keep the courts busy if he is charged with anything.

Randomthought

In a '€œtrue democratic republic'€ your comment is correct, but Indonesia does not qualify for this title.

Goneasia

Thank you very much Energy and Mineral Resources Minister Sudirman Said for your honesty and braveness. May Indonesia, my lovely country, be better.

M. Pinem

Heard Sudirman turned over a US$285,000 diamond to the KPK, too.

Chew MyBacon

What I don'€™t understand is the greed. For an ordinary Indonesian, US$1 billion would last for your great grandchildren and beyond! In fact, even $10 million would do that!

To gather and work for even more is far beyond normal. You can'€™t bring it with you! What do you want to do with it? Buy God?

Pauloh


Like I said, he will have no problems staying away and living a luxurious lifestyle. His worth in Indonesia is in all likelihood a small fraction of what he has in other countries.

His businesses are even close to untouchable outside of the offices and accounts in Indonesia. Wouldn'€™t surprise me if in five years he was still gone but Indonesia was still doing business with some of his businesses.

Always funny how people know a person is involved with criminal activity long before they ever decide to look into them. Coins are round so they can roll downhill.

Simaging

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