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KPK closes in on Pelindo II corruption probe

Following up: Corruption Eradication Commission (KPK) deputy chairman Basaria Panjaitan (left) and Presidential Chief of Staff Teten Masduki (second left) receive on Wednesday a report from the National Commission on Human Rights (Komnas HAM) on a series of inquiries that it held to hear land dispute cases between citizens, corporations and other parties

Haeril Halim (The Jakarta Post)
Jakarta
Thu, March 17, 2016

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KPK closes in on Pelindo II corruption probe Following up: Corruption Eradication Commission (KPK) deputy chairman Basaria Panjaitan (left) and Presidential Chief of Staff Teten Masduki (second left) receive on Wednesday a report from the National Commission on Human Rights (Komnas HAM) on a series of inquiries that it held to hear land dispute cases between citizens, corporations and other parties.(JP/Wendra Ajistyatama) (KPK) deputy chairman Basaria Panjaitan (left) and Presidential Chief of Staff Teten Masduki (second left) receive on Wednesday a report from the National Commission on Human Rights (Komnas HAM) on a series of inquiries that it held to hear land dispute cases between citizens, corporations and other parties.(JP/Wendra Ajistyatama)

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span class="inline inline-center">Following up: Corruption Eradication Commission (KPK) deputy chairman Basaria Panjaitan (left) and Presidential Chief of Staff Teten Masduki (second left) receive on Wednesday a report from the National Commission on Human Rights (Komnas HAM) on a series of inquiries that it held to hear land dispute cases between citizens, corporations and other parties.(JP/Wendra Ajistyatama)

A Corruption Eradication Commission (KPK) investigation has moved closer to scrutinizing the possible role of Haryadi Budi Kuncoro, the younger brother of former KPK commissioner Bambang Widjojanto, in the alleged irregularities plaguing the procurement of fixed crane-type loading and unloading equipment worth US$20 million at state-owned seaport operator Pelindo II in 2012.

The KPK is looking for more possible suspects in the case by attempting to dig further into Haryadi'€™s testimony. The commission questioned Haryadi, formerly a senior manager of equipment at Pelindo II, for a third time on Wednesday. Earlier, the KPK named former Pelindo II boss RJ Lino a suspect for allegedly enriching himself, other people and the tender-winning company from the project.

The antigraft body first launched an investigation into Pelindo II during Bambang'€™s tenure as commissioner in 2014, but it took some time for the KPK to name Lino a suspect in the case. It did so on Dec. 18, 2015, months after Bambang was removed from his post because of his alleged role in a perjury case dating back to 2010. The Attorney General'€™s Office has since dropped the prosecution against Bambang.

KPK spokesperson Yuyuk Indriati said on Wednesday that Haryadi'€™s status remained as a witness, but added that KPK investigators were still collecting evidence to step up the case.

Haryadi visited the KPK on Wednesday following his failure to meet a KPK summons on Monday, the day he was also questioned as a suspect by the National Police in a separate investigation on the controversial procurement of 10 mobile cranes carried out by Pelindo II in 2011. Haryadi was the second suspect named by the police in that case, after former Pelindo II operations and technical director Ferialdy Nurlan, since the police'€™s investigation began in August last year.

The Supreme Audit Agency'€™s (BPK) 2015 audit report showed that the procurement of the cranes led to possible state losses of Rp 37.9 billion.

In addition, the KPK decided to focus on scrutinizing Haryadi'€™s role in the case following an audit report from the Development Finance Comptroller (BPKP) on the procurement of three container cranes (QCC) at Pelindo II, a copy of which was obtained by The Jakarta Post. The report cited his name among 10 individuals deemed responsible for irregularities in the $20 million project.

The 10 people included Lino, Haryadi and Ferialdy, who has also been questioned by the KPK in the case, as well as Pelindo II'€™s internal supervisory team chief Dawam Atmosudiro, legal division head Armen Amir, former procurement division head Wahyudi Hardianto, senior management assistant Mashudi Santoyo, former non-technical goods procurement division head Dedi Iskandar and Teguh Pramono, a former assistant to the company'€™s technical procurement division head.

'€œThe procurement process from direct selection [in February 2010] to direct appointment [completed in April 2010] of the tender-winning company did not go through proper channels,'€ the BPKP said in the document.

The document suggested several violations, including in the direct appointment of Chinese company Wuxi Huadong Heavy Machinery (HDHM) to supply the cranes at a cost of $17 million. The KPK alleges that Lino'€™s intervention in the procurement project resulted in $3.6 million in state losses.

As for Haryadi, the audit highlighted that he should be held accountable in the case because he '€œfailed to do his job as technical team officer to evaluate documents on HDHM'€™s ability to produce twin-lift QCC with 61-ton capacity'€.

Separately, KPK chairman Agus Raharjo said the commission would also probe other cases at Pelindo II following the House of Representatives special committee'€™s (Pansus) move to submit evidence on alleged irregularities on the PT Jakarta International Container Terminal (JICT) contract and the development of a container terminal at Kalibaru Port in North Jakarta.

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